Date:30/05/2005 URL: http://www.thehindubusinessline.com/2005/05/30/stories/2005053000571200.htm

Back Karnataka Bank Q4 net up 46 pc

Our Bureau

Mangalore , May 29

KARNATAKA Bank has reported a net profit of Rs 40.25 crore in the fourth quarter ended March 2005 against Rs 27.55 crore in the corresponding period of the previous year, recording a 46 per cent growth.

The bank registered a net profit of Rs 147.15 crore during 2004-05 against Rs 133.17 crore in the previous fiscal, recording 10.5 per cent growth.

In a press release, the Chairman and Chief Executive Officer, Mr Anantakrishna, said that the bank had provided for depreciation on account of transfer of SLR securities from `available for sale' category to `held to maturity' category as permitted by the Reserve Bank of India and also for the impact on wage revision.

The release said that the bank has proposed a dividend of 20 per cent on the expanded capital base.

During 2004-05, the bank recorded an operating profit of Rs 340.71 crore (Rs 329.79 crore). As on March 31, 2005, the net NPA stood at 2.29 per cent (4.98 per cent on March 31, 2004).

The capital adequacy ratio, which was 13.03 per cent as on March 31, 2004, increased to 14.16 per cent in the last fiscal.

The release said that the net-owned funds had crossed the Rs 1,000-crore mark.

The bank has networked 276 offices under core-banking solution, covering 92 per cent of business. The bank will increase the number of branches to 400 during this fiscal.

During 2004-05, the bank crossed a total business of Rs 17,000 crore.

Deposits grew 15.2 per cent to touch Rs 10,837 crore, and advances by 34.7 per cent to Rs 6,287 crore.