Karnataka Bank chairman MS Krishna Bhat said the deposits of the bank have surged to Rs 3,659.96 crore as on December 31, 1998, an increase of 28 per cent over the corresponding period of the previous fiscal.

Achieving a growth rate of 17 per cent, the advances of the bank have increased to Rs 1,814.48 crore. The bank's investment portfolio was also substantially augmented to Rs 1,632.99 crore from Rs 1308.59 crore.

The bank's average working funds at the end of December 98 were Rs 4,128.19 crore. The average cost of deposits was 9.65 per cent (9.92 per cent) and the average yield on advances was 15.67 per cent (17.02 per cent), reflecting a general trend of declining interest rates.

The bank had an interest income of Rs 364.65 crore (Rs 314.33 crore) and other income of Rs 35.56 crore (Rs 38.04 crore). Total income was Rs 400.21 crore (Rs 352.37 crore) and interest expended was Rs 260.28 crore (Rs 207.75 crore).

Consequent to the net profit level of Rs 41.85 crore, the earnings per share (EPS) has reached Rs 41.33, while the book value per share (of Rs 10 face value) amounted to Rs 169.47, a bank release said.