Andhra Bank Net Zooms 120% To Rs 113 Cr In Q3

Bangalore, January 28: | Updated: Jan 29 2003, 05:30am hrs
The Hyderabad-based Andhra Bank has registered over 120 per cent increase in net profit for the third quarter ended December 31, 2002 at Rs 112.68 crore as against Rs 46.78 crore in the corresponding quarter in the previous year. Addressing a press conference here on Tuesday, Andhra Bank chairman and managing director B Vasanthan said the deposits have increased to Rs 19,929 crore registering a growth of 17.30 per cent as against Rs 16,988 crore in the period under review.

Advances increased to Rs 10,784 crore as against Rs 9,051 crore showing a growth of 19.14 per cent in the same period. The total business of the bank as on December 31, 2002 stood at Rs 30,713 crore with Rs 19,929 crore deposits and Rs 10,784 crore advances.

Mr Vasanthan said the bank hopes to end the fiscal with total deposits of Rs 33,000 crore (Rs 21,000 crore deposits and Rs 12,000 crore advances). He also expressed the hope that the bank will strive to maintain the growth in net profits also.

On the plans of acquisition, Mr Vasanathan said, "At this time we dont have any acquisition plans." He also ruled out the reports that the bank was eyeing Centurion Bank by saying that "it was never in their radar screen."

The bank will extend its ATM network to 250 from the existing 140 by March and is open to the idea of sharing the ATMs with other banks. "We already have signed an MoU with a bank. But both of us wanted to keep this under the wrap till we roll-out the networks", he said.

Other highlights of the banks performance included the decline of net NPAs to net advances to 1.96 per cent as against 2.21 per cent in the third quarter of 2001-02. Net NPA as on December 31, 2002 stood at Rs 202.89 crore.

On another round of VRS, Mr Vasanthan said a study group within the bank is examining the issue and a report is expected in the next one to two months. A decision will be taken on the basis of this report. At present the bank is having over 12,000 employees.

Mr Vasanthan also said that the bank has decided to pay back Rs 100 crore to the governmentRs 50 crore in the current fiscal and Rs 50 crore in the next fiscal. He said after this pay-out the bank will have a paid-up capital of Rs 350 crore of which the Union governments share will be Rs 200 crore and Rs 150 crore with the private investors.