Indian Bank (INDIANB) Q4 03/04 earnings summary

Executive summary

• FY03-04 net profit more than doubled to Rs.405.75 crore; operating profit rose 35.95% to Rs.802.46 crore, while total business reached Rs.45,379 crore.

• Capital adequacy strengthened and net NPA ratio fell to 2.71%; service-brand rankings and customer-service initiatives supported business growth.

Financial highlights

• Total income was Rs.3,414.25 crore vs Rs.3,056.91 crore; net interest income increased 36.16% to Rs.1,117.06 crore.

• Net profit rose 114.88% to Rs.405.75 crore from Rs.188.83 crore; operating profit increased 35.95% to Rs.802.46 crore.

• Deposits rose 12.69% to Rs.30,444.40 crore; global credit increased 15.08% to Rs.14,126.08 crore.

• Other income increased to Rs.747.33 crore from Rs.524.99 crore, including net investment-sale gains of Rs.465.47 crore vs Rs.272.80 crore.

Outlook and guidance

• Strategic objective remained to become one of the country’s best banks, supported by sustained growth, stronger profitability and service quality.

• Core banking implementation was underway; customer-care centres, e-services and ATM expansion were intended to strengthen service access and technology-led growth.