Bankam Profit Rises 6 Per Cent To Rs 152.81 Crore

Bank of America (BankAm) has posted a marginal 5.95 per cent increase in net profit for 1999-2000 at Rs 152.81 crore against Rs 144.22 crore in the previous financial year.

The bank has registered an overall increase in loans to various sectors with a decrease of 44.32 per cent in loans given to priority sectors but an overall increase of less than a per cent in the total loans given out.

There has been no lending to the sensitive sector throughout the year. There has been an increase in the capital adequacy ratio to 12.93 per cent from 9.26 per cent as of last year.

 

The percentage of net non-performing assets to net advances as on March 31, 2000, was 1.92 per cent against nil last year.

Interest earned in the previous financial year has decreased from 917.5 crore to 665.6 crore. Interest income at as a percentage of working funds is at 7.72 per cent, while the non-interest income as a percentage of the same is 2.39 per cent.

BankAm's net profit for the year increased due to a rise in other income, despite the decrease in interest earned.

The return on assets has decreased from last year to 1.02 per cent (1.98 ). The operating net profit saw a fall from last year and now is 2.15 per cent of the working funds.

The deposits for the year have increased from Rs 99, 974, 229 to Rs 131,205, 593 while the profit per employee has also seen a rise of Rs 9,91,398.

There has been a decrease in the contingent liabilities for the year by 14.20 per cent.

Net non-performing assets (NPA) of the bank stood at nil at the beginning of the year due to adequate provisions made for them.

The bank saw fresh NPAs through the year of Rs 68.64 crore with no recovery made throughout the year. The year-end figure of net NPAs was the same.

There has been an decrease in the investments of the bank by 40.91 per cent as against the previous year.