Indusind Bank Net Up 24 Per Cent At Rs 91 Cr

IndusInd Bank has recorded a 24 per cent rise in net profit to Rs 91.12 crore for the financial year 1997-98 as against Rs 73.32 crore the previous year.

The board of directors of the bank met yesterday and have recommend a 20 per cent dividend which also includes the interim dividend.

Despite the 24 per cent growth in profits, it is lower than the targeted Rs 103-crore net profit when it launched a public issue in 1997. Besides, the profit growth has been on a higher base as the number of branches have increased from nine in 1996-97 to 18 in 1997-98.

Following the public issue in the last financial year, the networth of the bank has increased by 83 per cent to Rs 512.68 crore against Rs 279 crore in the previous fiscal.

The total income earned by the bank has increased by 44 per cent to Rs 705.87 crore, while total expenditure has gone up by 47 per cent to Rs 614.75 crore.

According to a press statement issued by the bank, return on average net worth has exceeded 23 per cent, while the return on average assets stood at 2.12 per cent.

Based on a study submitted by its consultant Coopers & Lybrand which was appointed to review the banks business strategy, IndusInd Bank has decided to focus on corporate banking, retail and personal banking, treasury services, investment banking and asset management.

Advances of the bank have grown by 27 per cent to Rs 2,450.83 crore, deposits by 38 per cent to Rs 4,273.33 crore and investments by 61 per cent to Rs 1,696.24 crore.