BENGALURU: Karnataka Bank, a leading 'A' Class Scheduled Commercial Bank in India headquartered at Mangaluru, posted an all-time high annual net profit of Rs. 477.24 crores for the Financial Year 2018-19, with a growth rate of 46.57%.
The previous highest net profit of Rs. 452.26 crores were posted during the year 2016-17. Bank has also reported a net profit of Rs. 61.73 crores for the fourth quarter ended March 2019, compared to Rs. 11 crore of the fourth quarter of 2017-18, thus registering a growth of 461.18%.
The Board also recommended a dividend of 35 %.
The business turnover of the Bank has touched Rs. 1,23,280 crore as on 31-03-2019, registering a growth rate of 11.95% on year-on-year basis. The deposits of the Bank grew from Rs. 62,871 crore to Rs. 68,452 crore with a growth rate of 8.88% and advances grew from Rs. 47,252 crore to Rs. 54,828 crore with a growth rate of 16.03%.
The CASA deposits grew at a rate of 9.15% and reached a level of 28.06% of total deposits as on 31.03.2019, as against 27.98 % as on 31.03.2018.
The Non Performing Assets [NPA] has also moderated. The GNPA [Gross Non Performing Assets] of the Bank declined to 4.41% as of 31-03-2019 from 4.92% as on 31-03-2018. Similarly, the NNPA [Net Non Performing Assets also moderated to 2.95% from 2.96% [as on 31-03-2018].
The priority sector advances of the Bank stood at 44.17% of total advances as against the minimum stipulated target of 40%.
The Capital Adequacy of the Bank under Basel III now improved to 13.17 percent against 9% minimum as stipulated by RBI as against 12.04% as of 31-03-2018.
Expressing his happiness over the all time high net profit declared by the Bank Shri Mahabaleshwara M S, Managing Director & CEO of the Bank said that “This has been possible on account of consistent and sustained growth. Further this is the first full year of KBL – VIKAAS, the transformation initiative of the Bank, which is centered around Credit, IT and HR.
This initiative has started bearing result as KBL is now functioning as ‘One Bank, One Team’ and the said initiative has resulted in further strengthening the fundamentals. Going forward Bank is all poised to ensure value addition to all its stake holders by cementing its coveted position among the peer group Banks, by striving hard to achieve consistent performance”.