Public sector bank, Corporation Bank announced on Friday that it has recorded a fall of 25 per cent in the net profit to Rs. 303 crore for the third quarter of the financial year.

The Mangalore-based lender had recorded a net profit of Rs. 402 crore during the same period of the previous year. The bank indicated that the profits fell mainly due to increased provisions during the third quarter from October to December, 2012.

Corporation Bank’s provisions rose 49 per cent to Rs. 406 crore in the October to December quarter of the year compared to Rs. 273 crore recorded in the third quarter of the previous financial year. The bank’s total income grew 12.8 per cent to Rs. 4,257.85 crore compared to Rs. 3,776.31 crore recorded during the same quarter of the previous financial year.

The bank said that the operating profit fell 5 per cent to Rs 759 crore as against Rs 798 crore earlier while the net interest income rose moderately to Rs. 883.39 crore in the quarter compared to Rs. 862 crore in the third quarter of 2011.

The shares of the company fell 6.21 per cent to Rs. 427.85 at the Bombay Stock Exchange.