Centurion Bank Q1 net up 251%

Centurion Bank announced a 251.4 per cent jump in net profit to Rs 11.1 crore during the first quarter of the current fiscal as against Rs 3.2 crore in the year-ago quarter.

The rise was driven by a 212 per cent increase in other income to Rs 20.6 crore (Rs 6.6 crore in the year-ago period).

The Centurion Bank scrip gained 1.25 per cent at Rs 14.59 on the Bombay Stock Exchange today.

These are stand-alone results of Centurion Bank without considering the results for the same period of Bank of Punjab, with whom the bank's board has approved a merger, subject to shareholder and regulatory approvals.

Bank of Punjab will announce its quarter results tomorrow. The bank has called for an extraordinary general meeting on August 3 to seek shareholder approval for the merger.

"The increase in net profit is on account of a 66.6 per cent growth in retail and 49.1 per cent growth in corporate advances coupled with a strong growth in other income," said Centurion Bank managing director Shailendra Bhandari.

"Going forward, the bank will continue to focus on retail and with the merger, the entity will grow its small and medium enterprise business and agriculture business," added Bhandari.

Its net interest income stood at Rs 53 crore in the quarter ended June 2005 (Rs 42.14 crore). The bank's total income rose to Rs 119.82 crore (Rs 91.68 crore).

Capital adequacy of the bank as of June 2005 stood at 20.7 per cent (5.1 per cent). Net non-performing assets to advances stood at 2.4 per cent (4.4 per cent).