Karnataka Bank’s Q4 Net profit at` 81.21 Crores, up by 20.51%.

Karnataka Bank’s Q4 Net profit at` 81.21 Crores, up by 20.51%.

mangaloretoday.com

Mangalore, May 16: Mangalore based Premier Private Sector Bank, Karnataka Bank Ltd., has reported an increase of 20.51% in its Q4 Net Profit at ` 81.21 crore. In the corresponding period of last year, the net profit was at ` 67.39 crore. The meeting of the Board of Directors of the Bank which was held today, here at Mangalore, has approved the audited financial statements. Bank has also proposed a dividend of 40% to its share holders.

The business turnover of the Bank has touched ` 68,928 crore as on                   31-03-2014, registering a growth rate of 12.51% on year-on-year basis. The deposits of the Bank grew from ` 36056.22 crore to ` 40582.83 crore with a growth rate of 12.55% and advances grew from ` 25207.68 crore to ` 28345.49 crore with a growth rate of 12.45 %.

The gross income of the Bank for the year has increased from ` 4161.93 crore to ` 4694.41 crore recording an annual growth rate of 12.79%. The operating profit of the Bank has increased from ` 635.34 crore to `687.05 crore showing a growth rate of 8.14%. The Net Interest Income has increased by 16.86 % on year-on-year basis to  ` 1056.07 crore from ` 903.73 crore. The annual Net Profit is ` 311.03 crores.

The capital adequacy ratio of the Bank stood at 13.30 % (under Basel II) and at 13.20% (under Basel III) as at the end of March-2014 as against minimum 9% stipulated by RBI.

“The year 2013-14 was a challenging year for the economy on account of various domestic and international factors. Inspite of this,  Karnataka Bank has been able to show a modest growth in all spheres of banking and has also made prudent provisions, which goes a long way in strengthening the Balance Sheet. Sustainable growth, containing the NPAs, prudent provisioning, expansion of network of branches and ATMs etc have been the highlights of


Current Year’s performance. Going forward, the increased network of branches,
implementation of BPR [ Business Process Re-engineering]  recommendations etc will add to the top line and I am optimistic of an impressive growth in the years to come”, said Shri P Jayarama Bhat, MD & CEO of the Bank. “Capital Adequacy of 13.20% as per Basel III, as against the minimum stipulation of 9% by RBI, is a testimony for Bank’s inherent strengths”, he added.

The Bank which has its presence in 21 states and 2 union territories has opened 50 new branches & 196 ATMs during 2013-14. As on 31-03-2014 Bank has 600 branches and 700 ATMs. The Bank has plans to open 75 more new branches and 300 more new ATMs by March-2015, thus aiming for 1,675 service outlets, consisting of 675 branches & 1000 ATMs.