Axis Bank surprises with ₹2189 crore loss in Q4 on rising bad loans

Axis Bank’s net loss was ₹2189 crore ($327.94 million) for the three months ended March 31, compared with a profit of ₹1225 crore a year ago.

Axis Bank Ltd, India’s third-biggest private sector lender by assets, reported a surprise fourth-quarter loss, plagued by a rise in provisions for bad loans.

Gross bad loans as a percentage of total loans rose to 6.77% at end-March, compared with 5.28% in the preceding quarter and 5.04% a year ago. (Reuters File Photo)

Net loss was ₹2189 crore ($327.94 million) for the three months ended March 31, compared with a profit of ₹1225 crore a year ago, the bank said.

Analysts had on average expected a profit of ₹514 crore, according to Thomson Reuters data.

Gross bad loans as a percentage of total loans rose to 6.77% at end-March, compared with 5.28% in the preceding quarter and 5.04% a year ago.