Allahabad Bank's Working Results for Quarter ended 31st December, 2002

Profitability

• The operating profit of the Bank grew by 60.5% to Rs.391.94 crores during April-December 2002 from Rs.244.26 crores during the corresponding period last year. It was Rs.407.98 crores during 2001-02.
      
• The net profit of the Bank went up by 185.4% to Rs.110.26 crores during April-December 2002 from Rs.38.63 crores during the corresponding period last year. Net profit was Rs.80.21 crores during 2001-02.

Income

• Total income grew by 17.3% to Rs.2,248.34 crores during April-December 2002 from Rs.1,916.90 crores during the same period last year.

Capital Adequacy Ratio

• Pursuant to the maiden public issue of 10 crores shares, aggregating Rs.100 crores, the Capital Adequacy Ratio improved to 11.23% as on 31.12.2002 from 10.62% as on 31.3.2002.

Deposits

• The total deposits of the Bank stood at Rs.24,753 crores as on 31.12.2002 as against Rs.22,666 crores as on 31.3.2002, showing a growth of 9.2%. Low cost deposits continued to be around 40.3%.

Advances

• The gross advances as on 31.12.2002 stood at Rs.13,150 crores up from Rs.11,815 crores in 31.3.2002, showing a growth of 11.3%.

Investments

• The investments of the Bank went up to Rs.11,834 crores from Rs.10,358 crores in 31.3.2002, showing a growth of 14.2%.

Total Business

• The total business of the Bank increased to Rs.37,903 as on 31.12.2002 from Rs.34,481 crores as on 31.3.2002.

Cost of Deposits, Yield on Advance & Spread

• Cost of deposits declined to 6.67% during April-December 2002 from 7.31% during the same period last year. Yield on advances declined to 10.37% from 10.82% during the same period. The Bank's PLR was brought down to 11.5% from 12% during the period. In spite of severe competition in quoting sub-PLR rate of interest, the Bank's spread increased to 3.08% of average working fund during April-December 2002 from 2.80% during the same period last year. This was possible because of judicious planning of liabilities, thrust on retail credit and reduction in NPAs.

Non-performing Assets

• The net NPA of the Bank has declined to 7.76% as on 31.12.2002 from 10.57% as on 31.3.2002.
    
• Net NPAs of the Bank amounted to Rs.945.98 crores as on 31.12.2002 down from Rs.1,160.21 crores as on 31.3.2002.
    
• The Bank has laid thrust on NPAs recovery, specially taking cue of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002.
     
• The Bank has so far issued notices to 902 borrowers with outstanding balances of Rs.302.57 crores.
    
• Possession of assets/securities taken in 25 accounts with outstanding balance of Rs.5.24 crores.
     
• Total recovery made in notice issued accounts amounted to Rs.7.02 crores

Retail Banking and Retail Banking Boutiques

• The Bank has disbursed more than Rs.1,000 crores during first nine months of the current financial year under its retail schemes i.e., Car Finance, Personal Loan, Housing Finance, Consumer Finance, Pensioner Loan, AL-Rent, overdraft facility in SB, Per Loan Doctors, etc.
  The performances of the Retail Banking Boutiques (RBBs) of the Bank, numbering 260 continued to be encouraging. The outstanding retail credit of the RBBs amounted to Rs.1,375 crores as on 31.12.2002 as compared to Rs.892 crores as on 31.3.2002.

Computerisation

• The Bank computerized 802 branches/extension counters, consisting of 424 TBM branches and 378 ALPM branches/extension counters as against a target of 800 at the end of March 2003. As against a target of computerizing 75% of business by 31.3.2003, the Bank has computerized 74% of business as on 31.12.2002.

ATMs

• The Bank has already procured 47 ATMs of which 43 are under operation as on 31.12.2002.
  The Bank is in the process of installation of its own ATM switch. We have entered into an agreement with Corporation Bank for mutual sharing of ATMs.

Bancassurance Tie-Up

• The Bank has a strategic Bancassurance tie-up with ICICI Prudential Company for distribution of life insurance products based on 'Referral Model'. The insurance products are offered from the designated Retail Banking Boutiques and branches of the Bank. The progress of Bancassurance business is encouraging.

Our strength

• The Bank has a strong base in Rural areas with 960 branches i.e. more than 50% of total network. The share of rural branches in aggregate deposits was 21.1% for our Bank as compared to 14.6% for the banking system.

Priority Sector Credit

• Priority Sector Credit of the Bank amounted to Rs.5,174 crores, forming 42.5% of net bank credit as at December-end 2002. Agricultural advances stood at Rs.2,128 crores i.e. 17.5% of net bank credit.

Kisan Credit Card

• The Bank issued 64,617 number of Kisan Credit Card during April-December 2002 with a credit limit of Rs.176.49 crores, taking the cumulative number of Kisan Credit Card to 2,50,921 with a credit limit of Rs.739.43 crores.