Date:01/02/2005 URL: http://www.thehindubusinessline.com/2005/02/01/stories/2005020101770600.htm

Back IDBI Q3 net up 34 pc at Rs 62 cr

Our Bureau

New Delhi , Jan. 31

IDBI Ltd has recorded a net profit of Rs 62.13 crore for the quarter ended December 2004, a 33.5 per cent rise over Rs 46.55 crore during the corresponding previous period.

Profit before tax stood at Rs 58.16 crore (Rs 52.41 crore).

IDBI made a provision of Rs 3.50 crore towards income tax and factored in deferred tax credit of Rs 7.47 crore.

Total income during the quarter amounted to Rs 1,259.08 crore (Rs 1,664.32 crore), while total expenditure (excluding provisions and contingencies) was marginally lower at Rs 1,194.77 crore (Rs 1,222.96 crore).

Aggregate assets increased by two per cent year-on-year, from Rs 62,998 crore as of December 2003 to Rs 64,199 crore as of December 2004, including outstanding business assets of Rs 60,389 crore.

The new earnings per share (EPS) (non-annualised) for the quarter works out to Rs 0.95 against Rs 0.71 for the corresponding previous quarter. Capital adequacy stood at 19.2 per cent.

According to a release, the first financial year of the bank will end on March 31, 2005 (six months) since the erstwhile IDBI had an extended accounting period to 18 months last year up to September 30, 2004.

During the quarter under review, aggregate sanctions and disbursements under all products, including funded interest term loan (FITL), were Rs 5,442 crore and Rs 1,580 crore respectively.

Sanctions were higher by 352 per cent while disbursements went up by 19.6 per cent.

IDBI has said that the merger of IDBI Bank with IDBI Ltd is proceeding in sync with the roadmap drawn up for the purpose.

At a meeting on January 20, the board of directors of IDBI Ltd approved the scheme of amalgamation according to which the Central Government's shareholding in IDBI Ltd will be around 51.3 per cent post-merger.

IDBI Ltd has convened an EGM on February 23 to seek the approval of shareholders in this regard. On current reckoning, the entire process is expected to be completed by the end of the current fiscal.

The bank has said that the third-quarter results pertain to IDBI Ltd as a standalone entity without taking into consideration the impact of the merger proposal.