South Indian Bank net up 20%
By South Indian Bank chairman A Sethumadhavan s | 31 Jul 2003
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Kochi: South Indian Bank's net profit rose by 20 per cent to Rs 22.60 crore (Rs 18.81 crore) in the first quarter of 2003-04. The operating profit for the period grew to Rs 52.09 crore (Rs 44.65 crore).
South Indian Bank chairman A Sethumadhavan says despite the fall in spreads, the overall profitability of operations was maintained at a reasonable level with a 52-per cent growth in non-interest income to Rs 44.83 crore (Rs 29.48 crore).
The ratio of operating profits to average working funds increased from 2.59 per cent to 2.74 per cent. The net interest margin declined from 2.87 per cent to 2.30 per cent.
Though the bank could bring down the average cost of deposits from 8.29 per cent to 6.82 per cent, the yield on advances also declined from 12.14 per cent to 9.95 per cent. The average yield on investments also declined to 8.94 per cent from 10.82 per cent.
