Catholic Syrian Bank Registers Record Net Profit in H1, 2016-17

During the first half of the financial year 2016 -17 Catholic Syrian Bank has registered the highest ever net profits during the first half, in the entire history of the 96 year old organization. Backed by surge in treasury profits on account of favorable interest rate movements, effective management of stressed assets, improvement in CASA and asset growth and strict control over operating expenses, the bank has recorded a net profit of Rs. 53 crore in H1 of 2016-17 as against a loss of Rs. 41 crore during H1 of previous year. The operating profit of the Bank for the first half was Rs. 95 Crore.

Year on year the gross NPA has come down from Rs. 504 Cr to Rs. 463 Cr and net NPA from Rs. 405 Cr to Rs. 331 Cr. Thanks to the accelerated provision made by the bank the Provision coverage ratio has improved from 41% as on 30th September, 2015 to 52% as on 30th September, 2016. CASA ratio has improved from 18.64% a year ago to 21.30%. The capital adequacy ratio of the bank has further improved from 10.55% as on 31st March, 2016 to 10.69% as on 30th September, 2016 as against the RBI stipulation of 9.63 %. The results have been subject to limited review by the auditors.

Bank had at the AGM held on 23rd September obtained necessary shareholder approval for preferential issue of capital and accordingly subsequent to 30th September bank has raised Rs. 115 Cr. Talks are on with various strategic investors for further raising of capital.