South Indian Bank profit goes up 24%

The South Indian Bank recorded a net profit of Rs 220.18 crore for the second quarter against Rs 177.44 crore for the corresponding period of the previous year, registering a growth of 24.08 per cent.

Business rose Rs 10,724 crore — from Rs 56,386 crore to Rs 67,110 crore — on a year-to-year basis, growing 19.02 per cent. While deposits went up Rs 5,451 crore — from Rs 33,038 crore to Rs 38,490 crore (16.50 per cent) — advances went up Rs 5,272 crore — from Rs 23,348 crore to Rs 28,620 crore (22.58 per cent).

V A Joseph, MD & CEO attributed the bank’s performance to the improvement in its net interest margin. He said the bank would be able to achieve a total business target of Rs 75,000 crore, 750 branches and 750 ATMs by March 31, 2013.

 

The bank earned a total income of Rs 2,289 crore during the half-year, against Rs 1,751 crore in the corresponding period of the previous year, a growth of 30.75 per cent. The net interest income rose Rs 131 crore from Rs 464 crore to Rs 595 crore, registering a growth of 28.20 per cent.

The bank’s capital adequacy ratio stood at 14.43 per cent (under Basel-II standards), against the regulatory requirement of nine per cent.