State-run Punjab National Bank (PNB) on Friday posted standalone net profit of Rs 308.45 crore in the April-June quarter as against Rs 1,018.63 crore a year ago, even as provisions for bad loans doubled.

While the numbers show a drop of 70 per cent, the lender’s regulatory filing said that the numbers are not comparable as it merged Oriental Bank of Commerce and United Bank of India with itself effective April 1, 2020. “Operating profit of the bank grew by 2.5 per cent on a YOY basis to Rs 5,280 crore in the first quarter of FY’21,” the bank said in a separate statement.

Bank’s net interest income stood at Rs 6,748.5 crore as against Rs 4,141 crore a year ago.

Total income rose to Rs 24,292.80 crore during the June quarter of 2020-21, as against Rs 15,161.74 crore in the same period, bank’s regulatory filing said adding that it’s capital adequacy ratio under Basel III norms stood at 12.63 per cent as compared to 9.77 per cent a year-ago.

Speaking about the gross-non performing assets (NPAs), the lender’s NPA dropped to 14.11 per cent of gross advances at the end of June 2020, as against 16.49 per cent at the end of June 2019.

Net NPAs declined to 5.39 per cent as against 7.17 per cent earlier.

However, provisions for bad loans more than doubled to Rs 4,836.40 crore from Rs 2,147.13 crore.

Provision Coverage Ratio (PCR) improved to 80.75 per cent from 70.37 per cent.

During the quarter, the bank availed dispensation for deferment of provision in respect of frauds amounting to Rs 1,693.68 crore as per RBI guidelines, it added.