Vijaya Bank Q1 net up 53.31%

Bangalore, July 30: | Updated: Jul 30 2007, 22:13pm hrs
Public sector lender Vijaya Bank posted a 53.31 per cent jump in first quarter net profit at Rs 111.35 crore and said it plans to open full-fledged branches at Dubai and Hong Kong in the current fiscal.

The bank reported a net profit of Rs 72.63 crore for the April-June quarter last year.

For the first time in its history, the bank crossed Rs 100 crore net profit for any quarter, its Chairman and Managing Director Prakash P Mallya said.

"We aim to reach total business of Rs 76,000 crore comprising deposits of Rs 45,000 crore and advances of Rs 31,000 crore in 2007-08," he said.

The lender's total business increased by 37.77 per cent to Rs 64,477 crore as on June 30 this year, against Rs 46,800 crore for the same period last year.

During the period, the total deposits went up 37.59 per cent to Rs 39,742 crore from Rs 28,884 crore and, gross advances increased by 38.06 per cent to Rs 24,735 crore from Rs 17,916 crore.

Mallya said interest income from advances increased to Rs 610.40 crore, recording a growth of 61.33 per cent from Rs 378.36 crore.

The bank also expects to ensure compliance with Basel-II capital adequacy requirements by September 2008, ahead of the prescribed schedule of March 2009.

For the April-June quarter, the Bangalore-headquartered bank had net interest margin of 3.11 per cent.

In 2007-08, it planned to increase the number of core bank solution business outlets from 492 to 675 and the business coverage from 80 per cent to 90 per cent.