Mangalore, May 15: Karnataka Bank Ltd, a premier private sector bank has registered a net profit of Rs 348.08 crore for the financial year 2012-2013 as against Rs 246.07 crore for the corresponding period in 2011-2012, an increase of profit by 41.46%.
The business volume of the bank has recorded Rs 61263.90 crore registering a growth rate of 17.07% on year-on-year basis. The deposit of the bank has shown an increase by 14.07% as compared to the previous year for the same period i.e. RS 36056.22 crore in 2013 and Rs 31,608.32 in 2012 and advances jumped to Rs 25,207.68 in 2013 from 20720.70 showing an increase by 21.65%.
The gross income of the bank for the year has increased to Rs 4161.93 crore from Rs 3447.27 crore in 2012, an increase by 20.73%.The operating profit of the bank has registered a growth of 24.53% i.e.Rs.510.21 crore in 2012 and in 2013 Rs 635.34 crore. The net interest increased by 23.44% on year-on-year basis to Rs 903.73 crore from Rs 732.12 crore. The bank has announced a higher dividend of 40% as compared to 35% last year.
The non-performing assets have shown downward trend. The net NPA% of the bank has decreased from 2.11% as on 31.03.2012 (Rs 435.20 crores) to 1.51% as on 31.03.2013(Rs 377.75 crores).The gross NPA% also decreased from 3.27% as on 31.03.2012 (Rs 684.72 crores) to 2.51% as on 31.03.2013 (Rs 638.86 crores)
The capital adequacy ratio of the bank stood at 13.22% (under Basel 11) as at the end of March 2013 as against minimum 9% stipulated by RBI.
P.Jayarama Bhat, MD&CEO of the bank said that for the overall growth, good recovery in NPAs and impressive growth in advances have contributed to an all time high net profit of Rs 348.08 crore.
During Q4 of the financial year 2013 the bank has earned an operating profit of Rs 153.59 crore as compared to Rs 182.35 crore of Q4 FY12 and net profit of 67.39 crore as compared to Rs 83.16 crore earned during Q4 FY 12.
The bank has its branches all over in 20 states and 2 union territories and has opened 47 branches and 152 ATMs during 2012-2013.The bank has 550 branches and 504 ATMs in line with national priority. The bank has opened 10 financial inclusion branches at Arakere,Aladakatti GP,Hothpet GP,Vibhuthikere GP,Haradanahalli GP,Babbur GP,Chinchalli GP,Kodigehalli GP,Jajur GP,&Attavara GP,thus taking the total number of financial inclusion branches to 19.
The bank has also provided banking facilities through B C Model (business correspondents) to the remote villages. Bank also opened 26 ultra small branches during 2012-2013 apart from sponsoring financial literacy and credit counseling centre at Kundugol, Karnataka.
During the year bank has received many recognitions, bank has been adjudged as the (1) Best banker in customer friendliness-runner up in the mid-sized bank category by The Sunday standard Finwiz 2012 (11)”Best risk Management security Initiative-second runner up” and(111) Best financial inclusion Initiative-second runner up in the category of private sector banks by the Indian banking association (1v) Operational excellence award by NPCI for ATMs (v) STP award by bank of New York Mellon for improved payment formatting and straight Through process rate. Further bank has secured ISO 27001-2005 certificate of registration from NQA for its three IT set ups.
Bank has plan to open 50 more new branches and 100 more new ATMs by March 2014 thus aiming for 1200 service outlets,consisting of 600 branches and 600 ATMs.
The bank is contemplating to increase the turnover of Rs 78,000 crore for the year 2013-2014 comprising of deposit of Rs 45,500 crore and advances of Rs 32,500 crore.