Vijaya Bank's Financial results for the Quarter ended as on 30.6.2012(Q1)

Vijaya Bank's Financial results for the Quarter ended as on 30.6.2012(Q1) were announced at a Press Meet at Bank's Head Office,Bangalore on 25.7.2012 by Shri HS Upendra Kamath,Chairman&Managing Director,Vijaya Bank in the presence of Smt.Shubhalakshmi Panse,Executive Director,Vijaya Bank and Shri KR Shenoy,Executive Director,Vijaya Bank.

Business mix of Vijaya Bank reached an all time high level of Rs.145770 crore as on 30.06.2012. Deposits increased to Rs.86464 crore as on 30.06.12 from Rs.75877 crore as on 30.06.2011. Advances increased to Rs.59306 crore as on 30.06.2012 from Rs.51130 crore as on 30.06.2011. Efforts made towards improving asset quality and containing the amount as well as percentage of delinquent assets at below March, 2012 levels paved the way for posting overall good numbers for the quarter ended on 30.06.2012 said Shri. H S Upendra Kamath, Chairman and Managing Director of the Bank.

For the 1st quarter of 2012-13, Interest income of the Bank was Rs.2197 crore against Rs.1785 crore for the corresponding period of the previous year up by 23%. Due to the calibrated approach adopted by the Bank, the level of gross non-performing assets could be contained at Rs.1693 crore which is below the figure of Rs.1719 crore as on 31.03.2012. Similarly, the amount of Net NPA as on 30.06.2012 (Rs.979 crore) is also below the level as on 31.03.2012 (Rs.998 crore). The percentage of Gross and Net NPAs as on 30.06.2012 ie., 2.85% and 1.67% are well below the level as on 31.03.2012 ie., 2.93% and 1.72%, respectively.





Capital to Risk Weighted Assets Ratio (CRAR) stood at 13.18% (Basel-II) with Tier I ratio at 9.83% and Tier II ratio at 3.35%. CRAR of the Bank is well above the minimum stipulated level of 9% by Reserve Bank of India.



Total advances of the Bank as on 30.06.2012 increased by 16% when compared to the number as of 30.06.2011. Advances of the Bank as on 30.06.2012 include Priority Sector advances of Rs.17527 crore which recorded an increase of 16.30% (Y-o-Y). While agriculture advances improved to Rs.6082 crore registering a growth of 10.12%, MSE advances increased to Rs.7604 crore registering a growth of 30.85%. Advances to weaker section improved by 17.61% and constitute 7.71%of ANBC. Loans to Women improved by 31.91% and constitute 6.44% of ANBC.



Major developments during the quarter:

• Total number of ATMs reached 752

• Bank launched two new deposit products for 400 days viz. “V-Vriddhi Term Deposit” and “V-Vriddhi Recurring Deposit” Scheme, as part of the Vision 100 campaign.

• HNI Branch at Dollars Colony, Bangalore opened recently.

• In the month of May, 2012 the Bank has launched campaign to ensure at least one Bank account for each family in FI Villages. So far 98,723 accounts are opened under the campaign.



GUIDANCE :

• Bank aims to reach a business level of Rs.165000 crore,.

• To open at least 100 new braches during the current year and to expand the ATM net work further.

• Opening of more HNI and Gennext branches to suit the requirements of the Tech-savvy youth / elite customers.

• To concentrate more on retail credit and CASA for improving the bottom line and core earning ratios.

• Increased focus on fee based income by increasing the non-fund based business and exploiting avenues like credit syndication, bancassurance etc to the full extent.

• Continue to monitor the advance portfolio of the Bank closely for arresting fresh delinquencies and also to improve the gross and net NPA ratios further.

• Target more recoveries in NPA /written off accounts.

• Under financial inclusion, 601 villages with 1000 to 2000 population allotted to the Bank on pan India basis, will be covered during the Financial Year 2012-13.
Sourced From: Vijaya Bank