a udited
DESCRIPTION
Analyst Meet. A udited. F inancial. R esults. for the year ended 31st March 2009. KEY INDICATORS. KEY INDICATORS. KEY INDICATORS. NET INTEREST INCOME. NON INTEREST INCOME. OPERATING EXPENSES. PROVISION & CONTINGENCIES. RESOURCES. RESOURCES. DEPLOYMENT. TREASURY. DEPLOYMENT. - PowerPoint PPT PresentationTRANSCRIPT
Audited
Financial
Results
for the year ended 31st March 2009
2
KEY INDICATORS
[Rs. Crore][Rs. Crore]
F.Y.F.Y.GrowthGrowth
[%][%]
QuarterQuarterGrowthGrowth
[%][%]2007-082007-08 2008-092008-09 Mar’08Mar’08 Mar’09Mar’09
Total income 3154.02 3877.62 22.94 882.98 1035.83 17.31
Total expenses 2467.58 3151.26 27.71 664.05 848.07 27.71
Operating Profit 686.44 726.36 5.82 218.93 187.76 [14.24]
Exceptional items
Profit on sale of properties
29.95 0.00 29.95 0.00
Provision for wage revision
0.00 70.00 0.00 20.00
Business Operating Profit
656.49 796.36 21.30 188.98 207.77 9.95
Provisions 326.65 303.70 [7.03] 107.94 76.60 [29.03]
3
KEY INDICATORS
[Rs. Crore][Rs. Crore]
F.Y.F.Y.
GrowthGrowth
[%][%]
QuarterQuarter
GrowthGrowth
[%][%]
2007-082007-08 2008-092008-09 Mar’08Mar’08 Mar’09Mar’09
Net Profit 359.79 422.66 17.47 110.99 111.17 0.15%
Business Net Profit [excl. exceptional items]
329.84 492.66 49.36 81.04 131.17 61.86
EPS [Rs.][non annualized]
12.54 14.74 3.87 3.88
Return on Assets [Annualized] - %
1.06 1.02 1.21 1.00
4
KEY INDICATORS
[Rs. Crore] 31.03.08 31.03.09% Growth over
Mar 08
Aggregate Deposits 32232.39 41405.12 28.46
Inter Bank Deposits 1710.79 1645.49 [3.82]
Total Deposits 33943.18 43050.61 26.83
Gross Advances 23381.16 29185.36 24.82
Investments 10334.98 12538.32 21.32
Gross NPA Ratio [%] 2.45 2.13
Net NPA Ratio [%] 0.94 1.09
CRAR [%] Basel I 11.09 10.73
CRAR [%] Basel II N.A 12.07
5
NET INTEREST INCOME
[Rs. Crore]Growth
[%]
QuarterGrowth
[%]2007-08 2008-09 Mar’08 Mar’09
Interest Income 2675.90 3447.50 28.84 730.24 895.79 22.67
Advances 1953.37 2565.98 31.36 545.22 668.24 22.56
Investment
691.90 828.13 19.69 176.67 220.04 24.55
Inter Bank 19.92 17.20 [13.65] 2.34 4.55 94.44
Others 10.71 36.19 237.91 6.01 2.96 [50.75]
Interest Expense
1817.14 2383.07 31.14 500.99 656.83 31.11
Deposits 1718.11 2255.90 31.30 471.35 624.14 32.42
Others 99.03 127.17 28.42 29.64 32.69 10.29
Net Interest income [NII]
858.76 1064.43 23.95 229.25 238.96 4.24
6
NON INTEREST INCOME
[Rs. Crore]Growth
[%]
QuarterGrowth
[%]2007-08
2008-09
Mar 08 Mar 09
Commission 120.94 132.31 9.40 34.69 37.53 8.19
Profit from Securities 90.02 54.32 [39.66] 8.48 22.01 159.55
Profit from sale of Properties / F&F
29.95 0.00 30.24 [0.62]
Forex Exchange 42.03 43.86 4.35 7.48 9.58 28.07
Process fee 30.10 39.51 31.26 11.24 16.43 46.17
Incidental charges 11.38 26.09 129.26 3.69 21.78 490.24
Recovery in written off advances
114.29 100.24 [12.29] 43.23 27.54 [36.29]
Other Misc. 39.41 33.80 [14.23] 13.69 5.79 [57.70]
Total non interest income
478.12 430.13 [10.04] 152.74 140.04 [8.31]
7
OPERATING EXPENSES
[Rs. Crore]Growth
[%]
QuarterGrowth
[%]2007-08 2008-09 Mar 08 Mar 09
Staff Expenses 370.85 467.89 26.17 85.77 116.69 36.05
Insurance 33.75 38.47 13.99 8.53 9.98 17.00
Postage/Telephone 9.31 12.88 38.35 2.23 3.70 65.92
Printing/Stationery 10.34 9.94 [3.87] 2.61 1.80 [0.81]
Depreciation 29.45 26.84 [8.86] 8.26 6.49 [21.43]
Lighting 19.39 21.03 8.46 4.08 4.63 13.48
Rent & Taxes 36.95 47.82 29.42 10.45 13.25 26.79
Advertising 9.47 11.21 18.37 4.39 3.40 [22.55]
Auditors Fees 7.64 7.45 [2.49] 2.33 2.32 [0.43]
Repairs/Maintenance 19.13 19.31 0.94 4.71 2.76 [41.40]
Core Banking Solution
35.65 33.06 [7.27] 10.00 6.50 [35.00]
Other Expenses 68.51 72.29 5.5 19.70 19.71 0.01
Total Expenses 650.44 768.19 18.10 163.06 191.23 17.28
8
PROVISION & CONTINGENCIES
[Rs. Crore]Quarter
Mar 08 Mar 09 Mar 08 Mar 09
Non Performing Loans 264.00 199.44 127.12 39.88
Tax expense [42.17] 118.77 [128.33] 25.24
Investment Depreciation
27.58 21.05 30.15 12.83
Standard Assets 78.18 [54.78] 78.16 [1.65]
Other provisions [0.94] 19.23 0.84 0.30
Total Provisions 326.65 303.70 107.94 76.60
9
RESOURCES
[Rs. Crore] 31.03.08 31.03.09 % growth
Current Deposits 3015.97 3496.97 15.95
Savings Deposits 10239.19 11395.58 11.29
Term Deposits 18977.23 26512.57 39.71
Aggregate Deposits 32232.39 41405.12 28.46
CASA [%] 41.13 35.97
Inter Bank Deposits 1710.79 1645.49 [3.82]
TOTAL DEPOSITS 33943.18 43050.61 26.83
Borrowing 394.61 52.13 [86.79]
10
RESOURCES
33943
43051
0
5000
10000
15000
20000
25000
30000
35000
40000
45000
2007-08 2008-09
Deposits
11
DEPLOYMENT
[Rs. Crore] 31.03.08 31.03.09Growth over
Mar 08
Gross Advances 23381 29185 24.82
Priority Sec. Advance 8096 9715 20.00
Agriculture 2794 3851 37.83
Others 5302 5864 10.60
PS credit to NBC [%] 43.32 41.55
Retail Credit 4294 4424 3.03
S.M.E 3885 4775 22.91
CD Ratio [%] 68.88 67.82
Gross investment 10335 12538 21.32
12
TREASURY
[Rs. Crore] 31.03.08 31.03.09Growth over
Mar 08
SLR Investments 8595.31 10075.80 17.22
Non-SLR Investments 1739.67 2462.52 41.55
Total Investments 10334.98 12538.32 21.32
Of which HFT100.72
[0.97%]104.43
[0.84%]3.68
AFS1612.26
[15.60%]2489.27
[19.85%]54.40
HTM8622.00
[83.43%]9944.62
[79.31%]15.34
AFS / HFT Duration [modified]
3.39 2.86
Portfolio Duration [modified]
4.76 4.74
13
DEPLOYMENT
[Rs. Crore] Mar 08 Mar 09Growth [%]
[y on y]
Net Advances 23024 28878 25.43
Net Investments 10283 12473 21.30
23024
28878
0
5000
10000
15000
20000
25000
30000
Mar '08 Mar' 09
Net Advances
10283 12473
0
2000
4000
6000
8000
10000
12000
14000
Mar '08 Mar-09
Net Investments
14
CAPITAL ADEQUACY
[Rs. Crore] 31.03.08 31.03.09
Tier I capital 1535.55 1780.97
Tier II capital 986.38 1398.53
Total capital funds 2521.93 3179.50
Total RWAs 22742.25 29645.48
CRAR – Basel II N.A 12.07
CRAR Core – Basel II N.A. 6.76
CRAR – Basel I 11.09 10.73
CRAR Core – Basel I 6.75 6.01
Net Worth 1410.55 1637.00
15
ASSET QUALITY
[Rs. Crore] 31.03.08 31.03.09
Gross NPA 572.60 620.77
Net NPA 215.43 313.38
Gross NPA Ratio [%] 2.45 2.13
Net NPA Ratio [%] 0.94 1.09
NPA Provision 347.62 299.65
Provision coverage 60.71 48.27
16
ASSET QUALITY
23381
291852.45
2.13
0
5000
10000
15000
20000
25000
30000
35000
Mar '08 Mar'09
1.9
2
2.1
2.2
2.3
2.4
2.5
Gross Advances Gross NPA
2887823024
0.94
1.09
0
5000
10000
15000
20000
25000
30000
35000
Mar '08 Mar'09
0.85
0.9
0.95
1
1.05
1.1
1.15
Net Advances Net NPA
17
ASSET QUALITY
[Rs. Crore]Mar 08
[FY]Mar 09
[FY]Variation
[%]
Gross NPA
Opening Balance 744.48 572.60
Less:
Cash recoveries 184.86 188.72 2.09
Upgradations 114.07 191.38 67.77
Write off 288.96 247.44 [14.37]
Total Reductions 587.89 627.54 6.74
Add:
Slippage & Debit Operations 416.01 675.71 62.43
Closing Balance 572.60 620.77
18
FINANCIAL RATIOS [cost/yield]
[Quarter]
Mar’08 Mar’09 Mar’08 Mar’09
Cost of Deposits [%] 5.90 6.36 6.08 6.56
Cost of Funds [%] 5.95 6.47 6.13 6.64
Yield on Advances [%] 10.11 10.71 10.08 10.51
Yield on Investments with POSOI [%]
7.74 7.50 7.58 7.59
Yield on Investments without POSOI [%]
6.88 7.04 7.26 6.91
Yield on Funds [%] 8.22 8.76 8.35 8.36
19
FINANCIAL RATIOS[Quarter]
Mar’08 Mar’09 Mar’08 Mar’09
Int. Income as %age to avg. working funds
7.97 8.33 8.04 8.04
Non Int. Income as %age to avg working funds
1.31 1.04 1.56 1.26
Int. spread as %age to avg working funds (NII/Avg. Gross Assets)
2.63 2.57 2.59 2.14
Operating Profit as %age to avg working funds
2.02 1.76 2.38 1.68
Net Interest Margin [%][NII / Income generating assets on average basis]
2.84 2.91 2.81 2.38
Net Interest Margin [%][NII / Income generating assets on bal. sheet date]
2.75 2.48 2.85 2.23
20
FINANCIAL RATIOS[Quarter]
Mar’08 Mar’09 Mar08 Mar09
Earning Per Share Rs.[non-annualized]
12.54 14.74 3.87 3.14
Cost Income Ratio [%] 48.65 51.40 42.69 50.46
Cost Income Ratio [%] without wage provision
0.00 46.72 0.00 45.18
Return on Assets [%][annualized]
1.06 1.02 1.21 1.00
Return on Equity [%][annualized]
21.82 22.30 30.99 20.50
Profit Per Branch[in Rs. Lacs] [annualized]
33.91 38.88 41.84 40.91
Profit Per Employee [in Rs. Lacs] [annualized]
3.61 4.28 4.46 4.50
21
FINANCIAL RATIOS
31.03.08 31.03.09
Coverage Ratio [%] 3.41 3.01
Book Value Rs.[including Revaluation Reserve]
57.35 69.79
Book Value Rs.[excluding Revaluation Reserve]
49.18 62.06
Gross Business Per Branch [in Rs. Crore]
54.03 66.45
Gross Business per Employee [in Rs. Crore]
5.76 7.31
22
• The Bank has opened 26 new branches taking the total
number of branches to 1184. The Bank is further planning
to open 100 new branches during the year.
• During the year 50 branches had obtained ISO 9001:2000
certification increasing the tally of ISO certified branches to
337.
• The Bank has entered into a co-branding tie up
arrangement for issuance of Credit Card with State Bank of
India.
NEW INITIATIVES AND THRUST
23
• The Bank in its pursuit of lending to Corporate / SME is
planning to open four Corporate Business Branches [CBBs] in
Metro cities.
• The Bank in its continuous endeavour of providing better
customer service has constituted a Standing Committee on
Customer Service headed by the Chairman & Managing
Director.
• The Bank is in the process of centralising all its back-office
operations to enable branches to be more customer centric
and growth oriented.
NEW INITIATIVES AND THRUST
24
NEW INITIATIVES AND THRUST— Technology
• Dena Garima – Bank’s Core Banking initiative gained momentum with rolling out of 498 branches during the year 2008-2009, taking the tally to 606 branches covering 293 centers and 26 states / union territories. As on date 654 branches are under Core Banking.
• All the branches of the Bank are computerized and 99.80% of Bank’s business is conducted through technology based solutions.
• A total of 387 ATMs have been installed as on 31st March 2009 all over the country. Out of these ATMs, 284 are Onsite and 103 are Offsite covering more than 260 centers.
• The Bank has launched Dena International Gold Debit Card to NHI customers with Visa affiliation.
• The Bank is offering host of other techno enabled products viz. Mobile banking, Tele banking, Dena Billpay, e-payment of indirect Taxes and RTGS/ NEFT etc.
25
• The Bank has tied up with Life Insurance Corporation for providing
life insurance cover to tractor loan accountholders under Mortgage
Redemption Insurance Scheme.
• Bank has tied up with National Bulk Handling Corporation (NHBC)
for providing financial assistance to farmers and others against
pledge of warehouse receipts issued by NHBC.
• Bank has opened Credit Counseling Center at Himatnagar,
Palanpur, Mehsana, Bhuj in the state of Gujarat and Silvassa in the
UT of Dadra & Nagar Haveli.
• The Bank had facilitated formation of 289 new farmers club during
the year taking the total no. of farmers club at 1276. Dena Singhali
Farmers Club promoted by our Mahuda Branch of Kheda Dist in
Gujarat has received the National Award from the Hon’ble Union
Finance Minister as the best performing Farmers Club in Gujarat
NEW INITIATIVES AND THRUST— Priority Lending
26
• Recruitment process for 553 officers (including specialist officers)
for the year 2008-09 was completed in the last week of Dec’ 08.
• Written Test for 1289 clerical cadre post was held on 8th March,
2009 at 11 centers across the country. Result of the same is likely
to be declared in the month of Apr/May 2009.
• 1522 employees have undergone training during Jan-Mar’09 in
various thrust areas like Credit, CBS, Retail, NPA, SME, HR etc. at
both in-house through STCs/DIIT/Sir SPBTC and through outside
training agencies (both in India & Abroad).
• Bank ensures to provide training to all employees to update and
sharpen their skills.
• Bank recognises the efforts of outstanding achievers and
encourages by suitable awards.
NEW INITIATIVES AND THRUST— Human Resources Development
27
• The Bank has set up Rural Development & Self Employment Training
Institute [RUDSETIs] at Himmat Nagar, Bhuj & Mehsana for imparting
training to unemployed rural youth & women. Over 3530 rural
youth/women have already been imparted training by these RUDSETIs.
• The Bank is continuing to sponsor education og girl students in the
villages served by the Bank under Laxmi Shiksha Protsahan Yojana
and so far provided scholarships to 1603 girl students under the
scheme.
• Under the Agriculture Debt Waiver & Debt Relief Scheme 2008, the
bank has granted debt waiver of Rs.76.94 crore covering 27547
farmers. Further, Bank has provided debt relief of Rs.52.28 crore
benefitting 20212 farmers.
NEW INITIATIVES AND THRUST— Corporate Social Responsibility
28