You are here: HomeBanking & FinanceSouth Indian Bank’s Q4 profit surges to Rs. 114.10 Crore Recommends Dividend at 40%

South Indian Bank’s Q4 profit surges to Rs. 114.10 Crore Recommends Dividend at 40%

Published in Banking & Finance Thursday, 17 May 2018 12:49




South Indian Bank has announced the Q4 results with a net profit of Rs.114.10 Crore as against Rs. 75.55 Crore during the corresponding period of the previous year. The net profit for the current year is Rs.334.89 Crore as against Rs.392.50 Crore. Quarterly operating profit has grown from Rs.281 Crore to Rs.311 Crore (10.68%). Operating profit for the year has grown from Rs.1215 Crore to Rs.1481 Crore (21.92%).

Highlights
 
o    Business up by 12.55% Y-o-Y

o    Deposits up by 8.94% Y-o-Y

-    Current Deposit up by 11.02% Y-o-Y
-    Savings Deposits up by 8.39% Y-o-Y
-    CASA up by 8.85% Y-o-Y
-    NRI Deposits up by 12.09% Y-o-Y
-    NRI CASA up by 14.91% Y-o-Y

o    Advances up by 17.05% Y-o-Y

-    Agriculture loans up by19.39% Y-o-Y
-    MSME loans up by 18.04% Y-o-Y
-    Mortgage loans up by 59.73% Y-o-Y
-    Auto loans up by 27.90% Y-o-Y
-    Retail loans up by 19.21% Y-o-Y
-    Corporate advances up by 14.18% Y-o-Y

o    NII up by 12.07% Y-o-Y

o    Provisions down by 4.13% Y-o-Y

o    Cost Income Ratio for the year came down from 49.20 to 47.17 Y-o-Y

o    GNPA% up by 19 bps from 3.40 to 3.59 during Q4

o    NNPA % up by 25 bps from 2.35 to 2.60 during Q4
 

        Rs.in Crores
     Quarter ended    Quarter ended          
    31.03.2018    31.03.2017    Growth    %
Gross Business    127139    112963    14176    12.55
Deposits    72030    66117    5913    8.94
Advance    55109    47083    8027    17.05
NRI Deposit    18855    16821    2034    12.09
Core deposit    57469    54216    3253    6.00
CASA    17140    15746    1394    8.85
Net Interest Income    492    439    53    12.07
Other Income    179    138    41    29.71
Core fee income (Excl. Treasury & Forex)    156    111    45    40.33
Operating Profit    311    281    30    10.68
Net Profit    114    75    39    52.00
Gross NPA %    3.59    2.45          
Net NPA %    2.60    1.45          

V G Mathew, MD & CEO while announcing the results in Kochi, stated that during the current quarter, the Bank has returned to the normal trajectory of performance and growth with net profit of Rs.114.10Crore as against Rs. 75.55 Crore during Q4 FY17. He expressed satisfaction on the overall business performance with a clear shift of focus to Retail, MSME and Agriculture. The above shift is consistently delivering improvement in the operating performance of the Bank. The Operating Profit has increased from Rs. 281 Crore for Q4 FY 17 to Rs. 311 Crore for Q4 FY 18, despite a negative growth of 31% in the treasury profit.

The Bank’s GNPA stood at 3.59% as on March 31, 2018 as against 2.45% as on March 31, 2017,while the Net NPA stood at 2.60% as on March 31, 2018 as against 1.45% as on March 31, 2017.

The Gross Business of the Bank increased by Rs. 14,176 Crore to Rs.1, 27,139 Crore achieving a growth of 12.55% Y-o-Y.

The Deposits increased by Rs. 5,913 Crore to Rs. 72,030 Crore, registering a growth of 8.94% Y-o-Y. CASA of the Bank increased by Rs. 1,394 Crore to Rs. 17,140 Crore, registering a growth of 8.85% Y-o-Y. CASA now stands at 23.80% of total deposits. NRI deposits of the Bank showed a healthy growth of 12.09%, with the NRI deposit accounting for 26.18% of total deposits.

The Advances increased by Rs. 8,027 Crore to Rs. 55,109Crore, registering a credit growth of 17.05% Y-o-Y. The growth drivers continue to be SME loans, Mortgage Loans, Agriculture advances and Auto Loans.

Mr.V G Mathew, MD & CEO announcing the results in Kochi, stated that during FY18, the Bank’s annual operating profit registered a growth of Rs.266 Crores (21.92%). Profit after Tax for the year ended 31.03.2018 is Rs.334.89 Crore compared to 392.50 Crore as on 31.03.2017, the reduction in profit is mainly due to onetime provisioning of Rs.252 Crore in Q2.
The Capital Adequacy Ratio of the Bank stands at 12.70% as on March 31, 2018.


Major Achievements and Recognition

The Bank has recently won the “Best Technology Bank of the Year” in IBA Technology Awards 2018 for its Payment initiatives and use of Digital & Channel Technologies. The Bank also won the Social Banking Excellence Award from ASSOCHAM under the Priority Sector Lending. The Bank bagged the Award for Best Financial Services & Foreign Exchange Earner in South Region (Gold) 2015-16 from FIEO (Federation of Indian Export Organisations).

As on date SIB has 854Branches, 55 Extension Counters and 1383 ATM/CRM/ BNA/ CDMs. During the quarter, Bank had opened 13ATM/CRMsand 2 Extension Counter.

In order to continue the growth momentum in the Retail, MSME and Agriculture segment the Bank proposes to increase headcount around 750 during the FY 19.

Photo caption-

V.G.Mathew MD and CEO along with  Salim Gangadharan, Chairman South Indian Bank during the Q-4 press meet at Kochi.

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