Q3 HIGHLIGHTS
Total
business reaches all time high of Rs.137594 crores
up by 28%
Advances up by 28.16%
Deposits up
by 28.34%
Yield on advances
at 11.82% Vs 10.32%
Capital
Adequacy (
For
the third quarter of the financial year 2001-12, Vijaya Bank posted a Net
Profit of Rs.124.27 Crore as against Net Profit of Rs.151.80 Crore for the corresponding
quarter of last year. "Given the delinquency and restructuring
of certain large borrowal accounts, the numbers posted for the quarter ended December, 2011 are
considered reasonable and the Bank has taken strategic steps for ensuring
sustained growth " said Shri H S U Kamath, C&MD of the Bank.
Total
business of the Bank reached an all time high figure of Rs.137594 crore comprising deposits of Rs.81756 crore and
advances of Rs.55838 crore. Interest income
on advances of the Bank for the quarter increased by 51.40% and income on
investments by 11.21%. Other income also
registered a decent growth of 13.72% aided mainly by increase in the trading
profit by 27.27%.
Net profit of Rs. 124.27 crore is after making provision of Rs.111 crore towards non-performing assets and Rs.39 crore towards diminution in the value
of certain borrowal accounts due to restructuring. Capital to
risk weighted assets is comfortable at 12.39%
(Basel
Yield
on advances of the Bank for the 9 months ended 31.12.2011 improved to 11.62%
against 10.13% for the corresponding period of the previous year. Total interest income on advances for the
nine months ended Dec’11 is at Rs.4403 crore against Rs.3015 crore for the nine
months ended Dec’10 registering a growth of 46.04%. Similarly, income on investments for the 9
months ended Dec’11 improved to Rs.1381 crore against Rs.1185 crore for the
corresponding previous year period ie, up by 16.54%. For the nine months ended on Dec ’11, the
Bank posted a net profit of Rs.400.02 crore
Total
business of the Bank as on 31.12.2011 is at
Rs.137594 crore comprising
deposits of Rs.81756 crore and advances of Rs.55838 crore. Within the overall
advances, priority sector advances of the Bank aggregated to Rs.16942 Crore registering
a growth of 10.23%. Agricultural loans increased
to Rs.6082 Crore, up by 19.38% and loans
to MSME sector reached Rs.7784 Crore registering a growth of 19.52%. Loans to women beneficiaries increased by
21.31% and weaker sections by 7%. Educational loan portfolio of the Bank was at
Rs. 649 Crore, up by 8%.
MAJOR DEVELOPMENTS / INITIATIVES:
- Total
number of branches increased to 1252 as on 31.12.2011. Further 13 new branches were opened
after 31.12.2011 taking the total number of branches to 1265.
- Total
number of ATMs reached 669. Number of ATMs opened during nine months is
124 and 107 during December, 2011 quarter.
- V-Samrudhi,
term deposit scheme launched.
- Housing
and MSME loan melas at all major centers conducted.
- Under
Financial inclusion, out of 406 village with above 2000 population
allotted to the Bank, 394 villages have already been covered. Smart card enabled accounts numbering
1.55 lac have been opened in these villages. Mobile vans are provided in three more
districts viz., Dharwar, Haveri and Udupi for out reach to FI villages.
GUIDANCE MARCH 2012
- Bank
aims to reach a business level of Rs.1,44,000 crore with a deposit target
of Rs. 85000 crore and advance target of Rs. 59000 crore.
- Rolling
out of new branches and new ATMs.
- Steps
taken for improving retail and priority sector advances have started
yielding results and the Bank is confident of posting improvement under
these segments.
- Focus
on improving the NIM by mobilising more CASA and retail deposits to reduce
costs and increasing retail / mid-corporate advances for improving the
yields.
- Emphasis
on increasing the fee based income by focusing on marketing of bancassurance
products and other avenues like credit syndication.
- Focus
on special watch accounts to arrest further slippages and also on
recoveries in NPA accounts for upgradation.
- Take
advantage of the market dynamics and improve yield on investments.
Sourced From: Vijaya Bank
