Punjab National Bank (PNB) has reported a 62 per cent decline in its net profit at Rs.306.50 crore for the fourth quarter ended March 31 2015 against Rs.806.3 crore in the same period in the previous fiscal.
“The decline in profit is due to higher provisioning towards bad loans,” PNB Executive Director Gauri Shankar said while announcing quarterly numbers, which disappointed the market.
The bank has declared dividend of Rs.3.30 per share of Rs.2 each for 2014-15. Total income of the lender during the quarter increased by 7.7 per cent to Rs.13,455.65 crore from Rs.12,498.23 crore in the same period last fiscal.
Interest income rose by 4.9 per cent to Rs.11,651 crore against Rs.11,101 crore.
The gross non-performing assets rose to 6.55 per at the end of March 2015, from 5.25 per cent a year ago. The net NPAs too rose to 4.06 per cent against 2.85 per cent at March 2014. The bank restructured assets worth Rs.15,241 crore during the quarter including bad loans of Rs.404 crore.
On an annual basis, the net profit declined by 8.4 per cent to Rs.3,062 crore from Rs.3,343 crore an year ago. Total income of the bank during the year rose to Rs.52,206.09 crore against Rs.47,799.96 crore in the previous fiscal. — PTI
IOB posts decline in Q4 net
Indian Overseas Bank registered has registered a sharp decline in its net profit at Rs.35.50 crore for the quarter ended March 31, 2015, against Rs.268.33 crore in a year-ago period. The bank reported a net loss of Rs.516.03 crore in Q3 of 2014-15.The bank posted a net loss of Rs.454.32 crore for the year ended March 31, 2015, against a net profit of Rs.601.74 crore in the previous year. The operating profit stood at Rs.3,322.34 crore against Rs.3,997.24 crore in the previous fiscal.
“Very high accumulated losses of Q2 and Q3 of previous fiscal had an impact on the performance for the year. However, focus on recoveries, cost control measures and reduction in high cost deposits in Q4 helped to some extent. We will continue to focus on these areas and hope to end the current fiscal with a good profit,” R. Koteeswaran, MD and CEO said.
Total income saw a rise of 5 per cent at Rs.26,076.93 crore against Rs.24,853.07 crore, driven by 6 per cent growth in interest income at Rs.23,938.33 crore.
Total business of the bank was up four per cent to Rs.425,090 crore (Rs.409,057 crore). Deposits stood at Rs.246,049 crore (Rs.227,976 crore), while advances fell marginally to Rs.179,041 crore (Rs.181,081 crore).
Gross NPAs saw a rise to 8.33 per cent as of March 31, 2015 from 4.98 per cent a year-ago, while net NPA stood at 5.68 per cent when compared with 3.20 per cent. — G. Balachandar
SBT declares 50 % dividend
State Bank of Travancore (SBT) has declared a dividend of 50 per cent for 2014-15 against 25 per cent for 2013-14.
“We could have declared more dividend for 2014-15, but the bank decided to plug back funds towards its capital base,” SBT Managing Director, Jeevandas Narayan told reporters. The bank registered a net profit of Rs.335.53 crore for 2014-15 against Rs.304.34 crore in 2013-14.
The bank has achieved a net profit of Rs.191.97 crore in the last quarter of 2015 against Rs.48.58 crore in the corresponding period of the previous year.
The Managing Director said the net profit was driven mainly by reduction in interest expenditure, increase in other income including treasury income and reduction in the gross NPA level over the previous year.
The gross NPA stood at Rs.2,357 crore as on March 31, 2015 against Rs.3367 crore at the end of December 2014. The net NPA level was at 2.04 per cent against the 3.06 per cent in the previous quarter.
The overall business of the bank stood at Rs.1,60,984 crore comprising of total deposits of Rs.91,077 crore and gross advance of Rs.69,907 crore.
The bank has replaced high cost bulk deposits and Certificate of Deposits with retail deposits to cut interest costs. Mr. Narayan said the bank proposes to continue to aggressively grow in retail deposits. — Anil Radhakrishnan
SBH posts 29 % growth
State Bank of Hyderabad (SBH) has reported a 29 per cent increase in its net profit during 2014-15 at Rs. 1,317 crore against Rs.1,020 crore in the previous fiscal. The net interest income was at Rs.4,393 crore (Rs.3,976 crore). Total business stood at Rs.2,40,775 crore, a nine per cent growth over the previous fiscal. Intensive NPA recovery efforts were initiated resulting in the gross NPA ratio coming down to 4.59 per cent (5.89 per cent), while the net NPA ratio decreased to 2.24 per cent (3.12 per cent).
In the fourth quarter of 2014-15, the bank posted a net profit of Rs.445 crore compared to Rs.444 crore in the year ago period. On a sequential basis, the net profit was 33 per cent higher compared to the Rs.334 crore posted in the quarter ended December 31, 2014. — N. Ravi Kumar
Allahabad Bank Q4 profit up
Allahabad Bank has reported a net profit of Rs.202.63 crore for the fourth quarter ended March 2015 against Rs.157.75 crore, marking a rise of 28.5 per cent, on higher income from retail banking and other sources. Total income increased to Rs.5,390.71 crore for the fourth quarter from Rs.5,237.68 crore, the bank said in a filing to BSE.
The gross NPA came down to 5.46 per cent from 5.73 per cent. Net NPA or bad loans at 3.99 per cent of net advances also shrank in the March quarter against 4.15 per cent last fiscal.
Total income increased to Rs.21,712.13 crore for the year to March-end from Rs.20,912.43 crore for the year ended March 31, 2014. — PTI
