±
The Chennai
based Bharat Overseas Bank Ltd. (BOBL)
has achieved a Net Profit of Rs 35.08 crore for the financial year
2003-04 as against last year figure of Rs 28.52 crore, registering a growth of 23%.
±
The Net Owned
Funds of the Bank increased to Rs 172 crore as on 31.03.2004 from Rs
140 crore as on 31.03.2003, registering an increase of 23%
±
The Book
Value per Share (FV Rs 100) has crossed the Rs 1000 mark for the first time
and it is at Rs 1093 as on 31.03.2004 as against the earlier year figure
of Rs 891.
±
Capital
Adequacy Ratio (CRAR) as
on 31.03.2004 stands at 16.25% compared to 13.87% as at 31.03.2003.
±
Dividend
of 18% for the year is
proposed.
Business Volume
± The Total Business Volume comprising
Deposits and Advances grew to Rs 3900 crore achieving a growth of 17%.
Deposits
±
Savings
Bank Deposits of the Bank
has grown by 34%
±
Total
Deposits registering a
growth of 15%, stood at Rs 2472 crore as on 31.03.2004 as against
Rs 2149 crore as on 31.03.2003.
Advances
±
Gross
Advances has increased to Rs
1428 crore by the year ended March 2004 from Rs 1193 crore as of March
2003, achieving a growth of 20%.
±
CD Ratio of the Bank improved to 58% from
the earlier year figure of 55.52%
±
Priority
Sector Lending stands at 41%.
Profits
±
Net Profit of the Bank for the year 2003-04 is Rs
35.08 crore as against last year figure of Rs 28.52 crore.
±
Bank’s Operating
Profit for the year 2003-04 is Rs 56.83 crore as against earlier
year figure of Rs 49.31 crore.
± Net Interest Income increased to Rs 85.33 crore from
the previous year figure of Rs 60.54 crore, an increase of 41%.
±
Cost of
Deposit of the Bank has
reduced to 4.92% in 2003-04 as against 5.87% in last financial year,
resulting in reduction of 95 basis points.
±
Yield on
Advances decreased to 8.54% from 9.44% last year, a reduction of 90 basis
points.
±
Interest
Spread improved to 3.47%
in fiscal 2004 from 2.72% in the previous year.
±
Return on
Average Assets (ROA) has
increased to 1.27% in 2003-04 from 1.20% as of last year.
NPA
±
The Net
NPA of the Bank as on 31.03.2004 is 2.26% compared to 3.31% as on
31.03.2003
±
Gross NPA of the Bank as on 31.03.2004 is 4.99%
compared to 6.75% as on 31.03.2003
Employee Productivity
±
Business per
Employee increased to Rs 370 lacs as on 31.03.2004 from Rs 317 lacs as on
31.03.2003.
Bangkok Branch
›
Bangkok’s
central Bank, Bank of Thailand, has improved the Inspection Rating
awarded by it to Bangkok branch from Satisfactory to Good.
›
The Deposits grew by 10.36% (Increase from Baht 2341 mio to Baht 2583
mio)
›
Advances grew by 11.50% (Increase from
Baht 2018 mio to Baht 2250 mio)
›
Net Profit was INR 7.23 crore (Baht 65 mio)
› Net NPA - Nil
IT Initiatives – Status/Progress
± Bank has opted for FLEXCUBE Core Banking
Solutions. It has been implemented in 39 branches spread over 6 metros and four
other centers covering a total business volume of 73%
±
Trial runs
for Any-branch-banking transactions have also been completed and the Bank is
poised to offer the service to all the customers.
±
Six ATMs have
been installed at select branches and are part of the branch network. In addition, the Bank is actively working on
expanding the reach of its ATM services through strategic tie-ups.
±
Implementation
of Integrated Treasury Management Solution is in fairly advanced stages. Parallel runs in both domestic and forex
treasuries are underway. As regards RTGS the necessary infrastructure has been
put in place.
Para Banking Activities
The Bank is
transforming into an Integrated Financial Service Provider offering seamless
banking as well as Para-banking services.
v
The Bank has
entered into a Corporate Agency agreement with ING Vysya Life Insurance P Ltd.
for distribution of their Life Insurance products.
v
Bank has also
entered into Bancassurance relationship with National Insurance Co Ltd. for
distribution of their Non Life Insurance Products.
v
Bank has tied up with Bank of Baroda
for distribution of BOBCards at branches.
v
The Bank has also tied up with Western
Union Money Transfer (as sub
agents) for easy money transfer facility from abroad.
Branch Expansion
v
Bank has a balanced distribution of
branches across the country
v
As a major strategy, bank opened new
branches and extension counters in key centers across India, during ’03-04 at
Surat, Barasat, Chromepet, K.K. Nagar (Madurai) and Palakkad taking the total
number of branches to 85 branches.
v
The Bank will be opening shortly
branches at Jaipur, Indore, Kukatpally (Hyderabad), Kakinada, Erode (second
branch), Kottayam and extension counters in Rohini and Indira Nagar (Lucknow)
for which licenses have already been obtained from the Reserve Bank of India.
New Initiatives
±
Bank is in the process of tying up
with Stock Holding Corporation of India Ltd.
to facilitate demat
services at various branches
±
Plans are ahead to provide ATM sharing
facility to its customers through strategic tie-up with one of the leading ATM
networks in India.
Other Aspects
±
Bank has declared the year 2004-05, as the Year of Retail
Banking
±
Bank is in the process of introducing innovative Retail banking
products meeting the new demands of the community by taking full advantage of
the technology on hand
±
During March, 2004, the Bank issued 7% Tier II Bonds having a
tenure of 87 months aggregating Rs 20 crore with a Green shoe option of Rs 20
crore. The bond issue was fully subscribed by banks and financial institutions.
G. Chandran
Senior General Manager
For further
information please contact
Mr. N Easwaran
Senior
Asst. General Manager
Bharat Overseas Bank Ltd
Ph 044 28523216,
28522983 (Extn 103)
