DCB Bank (DCBBANK) Q4 01/02 earnings summary

Executive summary

• FY ended Mar. 31, 2002: total income ₹473.23 crore, operating profit ₹103.45 crore and net profit ₹34.05 crore; operating profit rose 61.59% and net profit 13.42% YoY.

• Growth reflected sharply higher non-interest income, including domestic securities trading profits; deposits and advances also expanded.

Financial highlights

• Total income ₹473.23 crore vs ₹437.57 crore; net interest income ₹91.07 crore vs ₹86.93 crore; non-interest income ₹95.84 crore vs ₹48.78 crore.

• Operating profit ₹103.45 crore vs ₹64.02 crore; net profit ₹34.05 crore vs ₹30.02 crore; EPS ₹14.82 on ₹10 face-value shares.

• Interest earned ₹377.38 crore vs ₹388.79 crore; interest expense ₹286.31 crore vs ₹301.86 crore; provisions and contingencies ₹69.40 crore vs ₹34.00 crore.

• Other income included ₹70.62 crore profit on investment sales vs ₹10.45 crore; ₹17.72 crore net profit from Held to Maturity sales was appropriated to Capital Reserve.

Outlook and guidance

• WAN connectivity with WIPRO was expected by end-Sept. 2002, supporting plans for Any Branch Banking, ATM interconnectivity and centralized telebanking.

• Planned customer and distribution initiatives included Home Banking, off-site ATMs, a MasterCard/Maestro debit card and broader personal financial services.

• Management anticipated lower securities prices and trading volumes in FY 2002-03 amid cooperative-bank failures, Gujarat unrest and border tensions.