SBM net grows 15% at Rs 59 cr

CORPORATE SCORECARD

State Bank of Mysore (SBM) has reported a 15.27 per cent rise in its net profit to Rs 59.40 crore for the quarter ended September 30, 2006 against the corresponding quarter of the previous year. This has been attributed to the strong growth in interest income.

However, return on assets for the quarter stood at 1.11 per cent, down from 1.17 per cent for the corresponding quarter last year. This is attributed to a sharp rise in assets (advances up by 32.4 per cent to Rs 13,725 crore), which has also led to a fall in the capital adequacy ratio.

The total income of the bank for the quarter grew by 43 per cent to Rs 484.87 crore and operating profit by 10.62 per cent to Rs 106.78.

"We are on a growth path and quite confident of achieving Rs 3,400 crore in deposits and Rs 3,500 crore in advances, the target set for the financial year," said P P Pattanayak, managing director, SBM.

Net NPA were at Rs 51.23 crore (0.38 per cent) as against Rs 103.51 crore (1.03 per cent) in the same period of the previous year.

The capital adequacy ratio (CAR) for the quarter has come down marginally by 1.15 per cent to 11.13 per cent.

During 2006-07, the bank has announced plans to expand its branch network by adding 17 general banking branches and increasing the ATM network by 125 over the present level of 215 ATMs.