Bank of India

BANKING

Bank of India’s total business rises 18.5%

to Rs. 6.75 lakh crore in FY 2013

Board of Directors of the Bank propose dividend of 100% in FY 2013 as against 70% in FY 2012

Bank of India posted a total business of Rs. 6.75 lakh crore in FY 2013, up 18.5% on a y-o-y basis. Operating Profit for FY 2013 grew 11.42% to Rs. 7,458 crore in FY 2013 as compared to Rs. 6,693 crore in FY 2012. Net Profit for FY 2013 was Rs. 2,749 crore as compared to Rs. 2,677 crore. The Board of Directors of the Bank proposed a dividend of 100% as compared to 70% last fiscal. Net Interest Income for FY 2012-13 increased by 8.55% on YoY basis from Rs. 8,313 crore to Rs. 9,024crore. Non-Interest Income increased by 13.4% on YoY basis from Rs.3,321crore to Rs.3,766 crore. Book value per share improves from Rs. 326.52 in March 2012 to Rs. 362.37 in March 2013.

The Bank of India annual results were declared by the Bank’s senior management comprising Smt. V. R. Iyer (Chairperson and Managing Director), Shri M. S. Raghavan (ED), Shri B. P. Sharma (ED) and Shri A. K. Verma (CFO).

Operating Profit for Q4 of FY2013 increased from Rs. 2,014 crore to Rs.2,075 crore. Net Profit for Q4 of FY2012-13 achieved at Rs. 757 crore. Non-Interest Income for Q4 of FY 2012-13 increased by 13.13% on YoY basis from Rs.967 crore to Rs.1,094 crore.

The Way Forward for the Bank is as per the Motto “PERFORM TO POTENTIAL” -  Emphasis on CASA growth; Expansion of SME, Retail and Rural Business;  Focus on Credit Monitoring and Recovery; Inclusive Growth through Financial Inclusion;  Progress on I.T. Enabled Services for better customer satisfaction; Focused attention on Human Resources.

The Bank added 292 branches and 453 ATMs during the year, taking the total number of domestic branch network to 4292 and ATMs to 2133 as on 31stMarch,2013. Bankhas lead district responsibilities in 48 districts across 5 States and has sponsored 5 RRBs. 42 Rural Self Employment Training Institutes and 6 ABHAY Counseling centres.

Global  Deposits increased from Rs. 3,18,216 crore as at March 2012 to Rs.3,81,839 crore in March 2013.(Growth: 20%). Global Advances increased from Rs.2,51,494crore as at March 2012 to Rs.2,92,968crore in March 2013. (Growth: 16.50%). Domestic Deposits increased from Rs.2,48,475crore as at March 2012 to Rs.2,94,066 crore in March 2013. (Growth: 18.35%). Domestic Advances increased from Rs.1,77,950crore as at March 2012 to Rs.2,04,035crore in March 2013. (Growth: 14.65%). International Deposits increased from Rs.69,741crore in March 2012 to Rs. 87,773 crore in March 2013 (Growth: 25.85%). International Advances increased from Rs.73,544crore in March 2012 to Rs.88932 crore in March 2013 (Growth: 20.92%). CASA Deposits increased from Rs.81,351crore in March 2012 to Rs.93,800 crore in March 2013. (Growth: 15.30%). High cost Deposit/Certificate of Deposit reduced from Rs.60,298crore in March 2012 to Rs.39,170 crore in March 2013. High cost Deposit at 9.13% of Total Deposit. With reduction in High cost deposit, Retail deposit grew by 30% on YoY basis.  Credit Deposit Ratio is 76.73% as at March 2013.

Asset Quality

 Gross NPA ratio improved to 2.99% in March 2013 as compared to 3.42% in September 2012 and 3.08% in December 2012.

 Net NPA ratio at 2.06%.

 Provision Coverage Ratio marginally improved to 60.92% from 60.74% as of March 2012.

Important Ratios

 Global NIM improves from 2.36 in December 2012 to 2.46 in March 2013. Domestic NIM improves to 3.0 from 2.80 in December 2012.

 Return on Assets at 0.68.

 Cost to Income ratio improves to 41.69% from 42.47% in March 2012.

 Business per Employee increased from Rs.13.60 crore in March 2012 to

Rs.15.82crore in March 2013 and Business per Branch improved from

Rs.141.40 crore in March 2012 to Rs.156.17 crore in March 2013.

 Cost of Deposit brought down from 6.01% in March 2012 to 5.94% in March13

International Operations

 Bank is in operation across 20 countries with 51 offices.

 Bank opened one more branch in Tanzania on 10.09.2012. Representative office in Johannesburg has been upgraded to branch in September 2012.

 Bank plans to open subsidiaries in Botswana, Canada and Brazil.

 Bank plans to open Representative office in Myanmar.

Capital Adequacy Ratio

 Capital Adequacy Ratio of the Bank under Basel II is 11.02% as on March 31, 2013.

 Tier I CRAR is 8.20% on March 31, 2013.

 Tier II CRAR is 2.82% on March 31, 2013.

Credit Portfolio

 Retail Loans grew by 16.92% on YoY basis – Growth in Home Loans23.03%on YoY basis.

 Agriculture Advance grew by 30.42% on YoY basis.

 Priority sector Advance grew by 24.93% on YoY basis.

 MSME Advance grew by 23.15% on YoY basis.

Financial Inclusion

 Committed to Financial Inclusion efforts, Bank opened 80 lacs No-Frill accounts.

 Bank has engaged 5,000 Business Correspondents.

 Bank achieves 100% Financial Inclusion in 11,300 villages.

 UID enrollment is 150 lac.

Awards& Accolades

 The Bank has been awarded as “The Best Bank for excellence in AADHAR related UIDAI programme of Government of India at the hands of Prime Minister at DODU village near Jaipur in Rajasthan”.

 The Bank has been awarded the Outlook Money Award 2012 for “Best Education Loan provider”.

 The Bank has been rated by Economic Times as the “Second Most Trusted Brand in India” among the PSU banks.

 The Bank has been conferred with National Award-2012 for implementing PMEGP scheme in East Zones.

 The Bank has been ranked Second by Ministry of MSME, New Delhi based on its performance in lending to Micro Enterprises.