Sector Bank A Premier Public Sector Bank Performance highlights for the Quarter/ Year ended 31 st March, 2016. 1. Performance highlights of the Bank for the 12 months ended 31.03.2016: [Rs. in Crore] Parameter 31.03.15 (12 Months) 31.03.16 (12 Months) Growth Business 3,44,412 3,45,493 0.31% Deposits 1,99,346 2,05,171 2.92% Credit 1,45,066 1,40,322-3.27% Interest Income 19,556 19,411-0.74% Non-Interest Income 1,482 1,735 17.07% Total Income 21,038 21,146 0.51% Operating profit 3,027 3,095 2.25% Net Profit 584 (506) Interest Expenses 15486 15172-2.02% Cost to Income Ratio 45.48% 48.20% Saving Bank Deposits 26,285 30,863 17.42% CASA 39,315 45,420 15.53% CASA Share 19.72% 22.14% Cost of Deposits 7.97% 7.51% Yield on Advances 11.07% 10.23% Yield on Investment 7.86% 7.57% Net Interest Margin [NIM] 2.07% 2.06% No. of Branches 2,298 2,440 142 No. of ATMs 2,933 3,040 107 Branchless Banking Units 4,685 4724 39 Provision coverage ratio 55.34% 55.05% Net worth 10,484 11,344 8.20% Bulk to total Deposits 51.04% 45.53%
Business as at 31.03.2016 stood at Rs.3,45,493 Crore, recording an increase of Rs.1,081 Crore (growth rate of 0.31%) over the corresponding figure of previous year. Deposits as at 31.03.2016 stood at Rs.2,05,171 Crore registering a growth of Rs.5,825 Crore, (2.92%) over the corresponding figure of previous year. Advances as at 31.03.2016 stood at Rs.1,40,322 Crore decreased by Rs.4,744 Crore from a level of Rs.1,45,066 Crore as at 31.03.2015 Operating profit has increased to Rs.3,095 Crore for FY 2015-16 as against previous year figure of Rs.3,027 Crore. Interest expenses has come down to Rs.15,172 Crore during FY 2015-16 as compared to previous year Interest expenses of Rs.15,486 Crore. The CASA share to total deposits has improved to 22.14% as at 31.03.2016 as against previous year figure of 19.72%. In absolute terms, the CASA portfolio has increased from Rs.39,315 Crore as at 31.03.2015 to Rs.45,420 Crore as at 31.03.2016. The savings bank portfolio has increased from Rs.26,285 Crore as at 31.03.2015 to Rs.30,863 Crore as at 31.03.2016, with a growth of 17.42%. Cost of deposits of the Bank for the FY 2015-16 has come down to 7.51% as against the previous year figure of 7.97%. The net worth of the Bank has increased by Rs.860 Crore during FY 2015-16 and reached a level of Rs.11,344 Crore as at 31.03.2016. Share of bulk to total deposits has come down from 51.04% as at 31.03.2015 to 45.53% as at 31.03.2016. 2. Performance highlights of the Bank March 16 [Q4] over March 15 [Q4]: [Rs. in Crore] As at As at Parameter 31.03.15 [Q4] (3 Months) 31.03.16 [Q4] (3 Months) Growth Business 3,44,412 3,45,493 0.31% Deposits 1,99,346 2,05,171 2.92% Credit 1,45,066 1,40,322-3.27% Interest Income 4,881 4,734-3.01% Non Interest Income 504 484-3.97% Total Income 5,385 5,218-3.10% Operating Profit 965 725-24.87% Net Profit 45 (510) Interest Expenses 3,768 3,744-0.64% Cost of Deposits 7.71% 7.32% Yield on Advances 10.91% 9.59% Yield on Investment 7.88% 7.60% Net Interest Margin [NIM] 2.26% 1.89% 2 P a g e
IMPORTANT RATIOS Yield on advances stood at 10.23% for FY 2015-16. (Previous year 11.07%) Cost of Deposits reduced to 7.51% in FY 2015-16. (Previous year 7.97%) Yield on investments stood at 7.57% in FY 2015-16. (Previous year 7.86%) Net Interest Margin (NIM) stood at 2.06% in FY 2015-16. (Previous year 2.07%) CASA share improved to 22.14% as at 31.03.2016 (Previous year 19.72%) Provision coverage ratio stood at 55.05% as at 31.03.2016 (Previous year 55.34%) Number of Branches increased from 2298 to 2440. Number of Branchless Banking Unit increased from 4685 to 4724. Average Number of hit per day in ATM was 94 in FY 2015-16. ( previous year 79) Gross NPA ratio stood at 9.98% as at 31.03.2016. (Previous year 4.81%) Net NPA ratio stood at 6.53% as at 31.03.2016. (Previous year 3.08%) CRAR of the Bank as at 31.03.2016 under BASEL III at 10.56% (Previous year 11.09%). Bulk deposits to total deposits stood at 45.53% as at 31.03.2016. (Previous year 51.04%) The usage of various delivery channel, Debit Cards, Credit Cards, Point of Sales (POS), E-Lobbies has increased as at 31.03.2016 vis a- vis 31.03.2015. The comparative position is as under: Product Issuance/Registrations 31.03.2015 31.03.2016 % increase Net Banking & Mobile App 9,69,337 11,55,136 19 SMS Banking 19,82,777 25,91,281 31 Debit Card 83,24,114 96,54,622 16 ATM 2,933 3,040 4 Credit Card 61,478 79,077 29 POS 30,354 85,207 181 E-Lobbies 102 246 141 CAPITAL INFUSION During the FY 2015-16, Government of India and LIC have infused Rs.857 Crore and Rs.143 Crore respectively by way of equity which has strengthened the Net worth of the Bank. The net worth stood at Rs.11,344 Crore as at 31.03.2016. 3 P a g e
PRIORITY SECTOR Total Priority Sector Advances stood at Rs.58,756 Crore as on 31.03.2016. The share of priority sector advances to Adjusted Net Bank Credit (ANBC) stood at 42.71% surpassing the regulatory target of 40%. The Bank has reached regulatory target under priority sector advance and its sub sectors except that of Agriculture and Minorities communities. Bank has achieved 108.87 % of annual disbursement target under Pradhan Mantri MUDRA Yojana [PMMY]. An amount of Rs. 985.31 Crore is disbursed to 1.51 lakhs of beneficiaries under PMMY during the FY 2015-16. BUSINESS Total Business of the Bank reached to the level of Rs.3,45,493 Crore as at 31.03.2016, as against Rs.3,44,412 Crore as at 31.03.2015 recording an Y-o-Y growth rate of 0.31%. Deposits of the Bank increased to Rs.2,05,171 Crore as at 31.03.2016 registering absolute growth of Rs.5,825 Crore, the Y-o-Y growth rate being 2.92%. RETAIL CREDIT The outstanding under Retail Credit improved from Rs.31,904 Crore as on 31.03.2015 to Rs.35,554 Crore as on 31.03.2016, recording a growth of Rs.3,650 Crore [11.44%]. The growth during the quarter is Rs.1443 Crore [4.2%]. The share of Retail Credit in Net Bank Credit [NBC] has improved from 22% as on 31.03.2015 to 25.20% as on 31.03.2016. Corp Home loans hold a major share (48%) in our Corp Schemes portfolio MICRO, SMALL & MEDIUM ENTERPRISES MSME advances stood at Rs. 29,382 Crore as on 31.03.2016 out of which Rs. 27,701 Crore is under priority sector as against Rs. 25,981 Crore as on 31.03.2015, thus registering a Y-o-Y growth of Rs.1,720 Crore in absolute terms. The flow of credit to Micro enterprises stood at Rs.11,164 Crore as at 31.03.2016 increased from the previous year figure of Rs.8,706 Crore, forming 7.44% of ANBC, surpassing the regulatory requirement of 7%. As per RBI guidelines, Board approved policy on contingent working capital & standby term loan, limits were introduced for existing loans under MSME. 4 P a g e
FINANCIAL INCLUSION Under PMJDY, the Bank has opened accounts of all households in the allotted villages and wards. Till 31.03.2016, Bank has opened 25.92 lakh accounts and mobilized an amount of Rs.741.46 Crore. Out of the above, 21.07 % of the accounts are zero balance accounts against the national average of 27.39%. The Average balance in the non-zero balance accounts is Rs.3663/- which is one of the highest (National average is Rs.2293/-). Bank has issued Rupay debit cards to 98% of the account holders and passbook to 90% of the account holders. Aadhaar number has been seeded in 61% of the PMJDY accounts, which is one of the best. SMS alerts are being sent to the customers for DBT/DBTL transactions. Total number of accounts canvassed under PMJJBY,PMSBY and APL till 31.03.2016 are as under: Sr No Name of the Scheme Number 1 Pradhan Mantri Suraksha Biima Yojana (PMSBY) 12,20,522 2 Pradhan Mantri Jeevan Jyoti Bima Yojna (PMJJBY) 5,58,484 3 Atal Pension Yojna (APY) 17,822 As on 31.03.2016, the total number of GCC accounts is 42731 amounting to Rs. 1019.5 Crore.As on 31.03.2016, the total number of KCC accounts is 323405 with outstanding amount of Rs. 7021 Crore. BANCASSURANCE / DIRECT AND INDIRECT TAX COLLECTION: The total Direct/Indirect tax and Customs duty collections of the Bank for the year ended 31st March,2016 reached Rs.62,206 Crore from 17.94 lakh challans as compared to Rs.44,453 Crore from 16.77 Lakh challans collected during the last year with a growth rate of 39.94% and 6.98% respectively. During the year, Bank has earned Rs.9.52 Crore from LIC business, Rs.3.30 Crore from General Insurance business and Rs.0.16 Crore from Mutual Fund business. MANPOWER PLANNING As at the end of 31.03.2016 total staff strength stood at 19569 (19213 as on 31.03.2015),. During the Financial Year 2015-16, a total of 11,930 Staff Members were imparted different types of trainings (Previous year 8790) involving 44,307 Man-Days, comprising of 7155 Officials & 4775 Award Staffs. 5 P a g e
NEW INITIATIVES New CBS platform Finacle has been introduced in newly opened branches at Kottara and Kulur, Mangalore successfully. The Bank has identified further 50 pilot branches for migration to the New CBS platform. In the Internet Banking portal, authentication by using digital signature for high-value transactions has been introduced. NEW PRODUCTS Pradhan Mantri Awas Yojana (PMAY) a new housing loan scheme for the urban poor has been introduced. Under the Scheme, Economically Weaker Section (EWS)/Low Income Group (LIG) beneficiaries in urban areas are eligible for interest subsidy on the housing loans availed by them. Two new payroll variants namely Corp Pay Elite & Corp Pay Delite has been launched exclusively for Government Employees with free accidental insurance as well as free term life insurance facility. Bank has launched premium version of Platinum cards to cater to the premium segments and Signature Cards, to cater to the super Premium and HNI segments in association with VISA. Bank s digital wallet App was launched on Android and IOS platforms with a host of features like Get Money, Bill Pay, DTH and Mobile Recharge, Scan and Pay, Direct and Indirect Tax Payments, Online Shopping etc. The Bank has launched Corp Saral plus NRE Product for NRE customers with Personal Accident Insurance cover of Rs. 5.00 lacs. The cover will be available even if the death occurs outside India, insurance claim will be settled in Indian Rupees only. AWARDS & ACCOLADES During the year 2015-16, Bank has received awards under various categories as under: - CIMSE Awards: 1. Winner of Best MSME Bank Award for Mid Sized Bank 2. Runners Up of CSR and Business Responsibility Award for Mid-sized Banks 3. Runners Up of Best Bank Award under MUDRA Yojana for Mid Sized Bank - ASSOCHAM Awards: 1. Winner of Rural Banking Category for Mid Sized Bank 2. Winner of Government Schemes category for Mid-Sized Banks 3. Winner of Social Bank category for Mid-Sized Bank 6 P a g e
The Bank has received three awards at the National Payments Excellence Awards 2015 function organized by National Corporation of India (NPCI). The Bank received the winner award jointly with Indian Bank for Cheque Truncation System under the mid sized category. The Bnak also received two runner up awards for National Financial Switch (NFS) for excellent performance in acquirer transactions and Immediate Payment Services (IMPS). Bank is also conferred with Excellence award on Empowering MSMEs 2016 instituted by Federation of Industry Trade & Services [FITS]. Corporation Bank bagged ten awards from NABARD for Best Performance under Self Help Group (SHG)/Joint Liability Group (JLG) Bank Linkage Programme in Karnataka state. Shri Jai Kumar Garg, MD & CEO of the Bank received the Awards from Shri Eugene E Karthak, Regional Director, Reserve Bank of India, Bengaluru at the State Level Awards Programme held at NABARD Regional Office, Bengaluru. Bank has won SKOCH Achiever Award 2016 for MSME enablement. Shri. Jai Kumar Garg, Managing Director & CEO of the Bank received the award from Shri. M Venkaiah Naidu, Hon ble Minister of Urban Development, Housing and Urban Poverty Alleviation and Parliamentary Affairs, Govt. of India. 7 P a g e
Operating Profit March 15 [Q4] [Rs. in Crore] Quarterly Results Financial year Results March 16 Growth Q4/Q4 March March 15 Growth 12M/12M 16 [Q4] Abs. % [12M] [12M] Abs. % 965 725-240 -24.87% 3,027 3,095 68 2.25% Net Profit 45 (510) (555) -1233.3% 584 (506) (1090) -186.64% Total Income 5,385 5,218 (167) -3.10% 21,038 21,146 108 0.51% Interest Income 4,881 4,734 (147) -3.01% 19,556 19,411 (145) -0.74% Net Interest Income Non-Interest Income from Core Areas 1,114 990 (124) -11.13% 4,070 4,239 169 4.15% 336 361 25 7.44% 1,135 1,256 121 10.66% As at : 31.03.2015 31.03.2016 Growth Abs March 16/March 15 Growth % March 16/March 15 Total Business 3,44,412 3,45,493 1,081 0.31% Deposits 1,99,346 2,05,171 5,825 2.92% Average Deposits 1,84,520 1,91,611 7,091 3.84% Net Advances 1,45,066 1,40,322-4,744-3.27% Average Advances 1,33,802 1,41,544 7,742 5.79% Investments 53,298 63,281 9,983 18.73% Average Investments 53,013 55,581 2,568 4.84% CRAR- Under Basel II 11.80% 10.88% Tier I 8.28% 7.33% Tier II 3.52% 3.55% CRAR - Under Basel III 11.09% 10.56% Tier I 8.05% 7.93% Tier II 3.04% 2.63% Net Worth 10,484 11,344 860 8.20% Gross NPAs 4.81% 9.98% (as % to gross advances) Absolute 7,107 14544 Net NPAs 3.08% 6.53% (as % to net advances) Financial Indicators Absolute 4,465 9160 8 P a g e