The public sector bank had posted a net profit of Rs 304.99 crore for the corresponding period a year ago.
Syndicate Bank parked a substantial amount towards deferred tax liability and provisions that led to the loss on its books.
"Total income has increased to Rs 6,188.25 crore for the quarter ended December 31, 2015 from Rs 5,921.58 crore for the quarter ended December 31, 2014," it said in a filing to the BSE.
For the third quarter of the current fiscal year, the bank made provisioning and contingencies to the tune of Rs 875.23 crore as against Rs 290.41 crore in the corresponding period of the previous fiscal year (2014-15).
The bank's gross non-performing assets (NPAs) or bad loans rose to 4.61 per cent of gross advances as of December 2015 from 3.6 per cent in the year-ago period.
Net NPAs (non-performing assets) were at 3.04 per cent of the net advances for the quarter under review, up from 2.38 per cent a year ago.
"As advised by RBI, bank has decided to recognise deferred tax liability (DTL) in respect of difference in valuation of held to maturity (HTM) securities between accounting income and taxable income... The bank has estimated and provided an amount of Rs 423.18 crore towards the same during the nine months ended December 2015."
"Similarly, following the opinion of expert advisory committee of ICAI, the bank has recognised deferred tax asset (DTA) on the difference in the provision for NPA...and the DTA of Rs 258.87 crore has been recognised as on December 2015," the bank said in the filing.
Shares in Syndicate Bank, on Thursday, ended 5.13 per cent lower at Rs 70.25 apiece on the BSE, whose benchmark Sensex finished down 0.09 per cent.
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