Corporation Bank has reduced its provisions and contingencies by 16.2 per cent to Rs 113.94 crore for fiscal 1999 compared with Rs 135.98 crore for fiscal 1998. The bank has clocked a 15 per cent growth in net profit from Rs 166.87 crore to Rs 192.03 crore. The 15 per cent growth in net profit is against a 32.7 per cent jump in total income from Rs 1171.63 crore to 1554.8 crore.

In fact, a 53.03 per cent jump in cost of deposits (from Rs 639.16 crore to Rs 978.16 crore) and almost 18 per cent rise in operating expenses have offset the higher growth in total income. The rise inoperating expenses is mainly due to a revision wages and salaries. Against a 34.75 per cent growth in deposits (from Rs 9351.56 crore to Rs 12601.42 crore), Corporation Bank's advances showed a 46 per cent rise (from Rs 4302.79 crore to Rs 6286.19 crore). However, the bank's performance failed to impress the market. The stock rose to Rs 95.55 from 91, but could not hold on to this level and slipped to Rs 84.3 on June 2, 1999. The stock is quoting at a price-earning multiple of 5.26.

Had it not been for a 37 per cent drop in provisions and contingencies, Dena Bank's net profit would have fallen. While the provisions declined from Rs 168.57 crore to Rs 105.92 crore, net profit rose marginally by 4.8 per cent from Rs 105.04 crore to Rs 110.09 crore. Total income rose by 17.49 per cent from Rs 1400.56 crore to Rs 1645.54 crore.

Interest on deposits rosen by 33.17 to Rs 1051.89 crore. Thanks to the hike in wages to the tune of Rs 24 crore, operating expenses rose from Rs 337.08 crore to Rs 377.64 crore. Theperformance hardly evoked any response from the market with the stock trading around Rs 13 for quite some time.

In the case of UTI Bank, provisions and contingencies for fiscal 1999 (Rs 37.18 crore) was almost at last year's level (36.94 crore). UTI Bank has posted an impressive performance for fiscal 1999 with net profit jumping by 94 per cent jump to Rs 31.08 crore. Against a 11.35 per cent growth in deposits to Rs 3,041 crore, advances showed a sharp rise of 33.87 per cent to Rs 2,170 crore. The day the results were announced, UTI Bank gained 75 paise to Rs 14 and is now trading around Rs 14.85.

Oriental Bank, however, has increased its provisions and contingencies by 22.47 per cent to Rs 155.93 crore. Net profit rose marginally by 9.58 per cent from Rs 210 crore to Rs 230.12 crore. Total income rose by 28.18 per cent to Rs 2046.41 crore. Against a 28.69 per cent growth in deposits to Rs 16804.88 crore, advances rose by 21.98 per cent to Rs 7707.56 crore. The performance disappointed the market andthe stock shed Rs 7 after the results were announced.

IDBI Bank's provisions and contingencies also rose from Rs 1.48 crore to Rs 3.55 crore. However, thanks to a sharp fall in provision for taxes from Rs 7.19 crore to Rs 4.44 crore, the bank recorded a 53.41 per cent jump in net profit to Rs 30.76 crore. Despite a sharp jump in net, the scrip, which has been trading in the band of Rs 14-16 since its listing in April, did not see any major buying interest.