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Central Bank of India declares results for Q3 and nine months ended December 31


Operating Profit of the Bank has shown substantial growth of 48.80% during the quarter ended December 31, 2017 and stood at Rs. 866 crore as compared to Rs. 582 crore for the quarter ended December 31, 2016.

By PPFI Team

Febuary 12, 2018

The Board of Directors of Central Bank of India approved the Bank’s results for the third quarter and nine months ended December 31, 2017 at their meeting held in Mumbai on Friday, February 09, 2018.

MAJOR HIGHLIGHTS: 

  • Operating Profit up by  48.80 % to Rs. 866 crore
  • Net Interest Income up by 31.34 % to Rs. 1978 crore 
  • Net Interest Margin improved to 3.06 % 
  • Provision Coverage Ratio stood at 62.49 %              
  • Reduction in High Cost Deposits by 85.62 % to Rs. 1579 crore

PROFITABILITY:

  • Operating Profit of the Bank has shown substantial growth of 48.80% during the quarter ended December 31, 2017 and stood at Rs. 866 crore as compared to Rs. 582 crore for the  quarter ended December 31, 2016. 
     
  • Bank incurred Net Loss of Rs. 1664 crore for the quarter ended December 31, 2017 as compared to Net Loss of Rs. 606 crore for the quarter ended December 31, 2016 primarily due to higher NPA provisions in NCLT accounts, significant lower trading profit on Investments, MTM Losses/Depreciation on Investments etc.
     
  • Net-Interest Income of the Bank increased to Rs. 1978 crore for the quarter ended December 31, 2017 as against Rs. 1506 crore for the corresponding quarter ended December 31, 2016, registering y-o-y growth of 31.34 %. 
     
  • Total Income for the quarter ended December 31, 2017 stood at Rs. 6590 crore as against Rs. 6788 crore for the quarter ended December 31, 2016. 
     
  • Net Interest Margin improved to 3.06 % in the quarter ended December 31, 2017 as compared to 2.27 % in the corresponding quarter of the previous financial year 2016-17.
ASSET QUALITY:
  • Cash Recovery for the quarter ended December 31, 2017 improved to Rs. 575 crore as against Rs. 487 crore as on September 30, 2017 and Rs. 300 crore as on December 31, 2016.
     
  • Upgradation of assets improved to Rs. 159 crore in the quarter ended December 31, 2017 as compared to Rs. 119 crore in the quarter ended December 31, 2016.
     
  • Gross NPA to Gross Advances stood at 18.08 % as on December 31, 2017 as against 17.27 % as on September 30, 2017 and 18.23 % as on June 30, 2017.  
     
  • Net NPA to Net Advances decreased to 9.45 % as on December 31, 2017 as against 9.53 % as on September 30, 2017 and 11.04% as on June 30, 2017. 
     
  • Provision Coverage Ratio significantly improved to 62.49 % as on December 31, 2017 as against 58.58 % as on September 30, 2017 and 54.95 % as on December 31, 2016. 
BUSINESS HIGHLIGHTS:
  • Total Business of the Bank stood at Rs. 4,75,148 crore in December 31, 2017 as against Rs. 4,81,801 crore in December 31, 2016. 
     
  • Total Deposits stood at Rs. 2,95,446 crore in December 31, 2017 as against Rs. 2,98,972 crore in December 31, 2016.
      
  • CASA percentage improved to 40.68 % in December 2017 as against 40.24 % in September 2017 and 39.48 % in June 2017. 
     
  • High Cost Deposits substantially reduced by 85.62 % to Rs. 1579 crore in December 31, 2017 from Rs. 10,977 crore in December 31, 2016. 

  • Gross Advances of the Bank stood at Rs. 1,79,702 crore in December 2017 as against Rs. 1,82,829 crore in December 2016. 
     
  • Agriculture Advances stood at Rs. 36,682 crore in December 2017.  
     
  • MSME Advances registered y-o-y growth of 24.94 % to Rs. 39,175 crore in December 2017 from Rs. 31,356 crore in December 2016.
       
  • Retail Loans increased by 16.35 % to Rs. 46,438 crore in December 2017 from Rs. 39,913 crore in December 2016. Bank had launched intensive programme 'Retail Dhamaka' in December 2017 to boost Retail Credit. Proposals amounting to Rs.4980 crore were sanctioned during the campaign period. 
     
  • Housing Loan portfolio of the Bank stood at Rs. 20,444 crore in December, 2017 as against Rs. 17,463 crore in December, 2016, registering y-o-y growth of 17.07 %. Housing Loan Portfolio constitutes 44.02 % of the total Retail Portfolio as on December 31, 2017.
CAPITAL: 
  • Capital Adequacy Ratio (CRAR) as per Basel III stood at 7.87 % as on December 31, 2017, of which, Tier I capital stood at 5.87 % and Tier II at 2.00 %. 
     
  • Government of India on 24.01.2018 has announced infusion of additional equity capital of Rs. 5158 crore (inclusive of capital funds of Rs.323 crore already received on 29.12.2017) into the Bank as part of the Recapitalization of PSBs, which will further help the Bank to improve its capital adequacy ratios.
     
  • Bank’s Net worth stood at Rs. 14928 crore as on December 31, 2017.  

DIGITAL BANKING: 

  • Average per day POS/ECom transactions during the nine months were 1.15 lakh.
     
  • Debit Card issued during the nine months is 33 lakh and Debit Card base as on December 31, 2017 is 276.06 lakh.
     
  • Total number of Registered Users as on December 31, 2017 in Net Banking, Mobile Banking & UPI are around 33.71 lakh, 10.45 lakh & 2.10 lakh respectively.

FINANCIAL INCLUSION: 

  • Under Pradhan Mantri Jan Dhan Yojana, Bank has opened around 107.30 lakh accounts having an outstanding balance Rs. 1907.42 crore as on December 31, 2017.

  • Total enrollment under Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Atal Pension Yojana (APJ) are 28.40 lakh, 10.38 lakh and 2.72 lakh respectively as on December 31, 2017.
     
  • Bank has financed Rs. 4819.64 crore in 3,64,703 accounts under Pradhan Mantri Mudra Yojana. 

BRANCH SEGMENTATION: 

Bank is having pan India presence with network of 4715 branches spanning 63% in rural & semi-urban areas and 4957 ATMs as on December 31, 2017. 

AWARDS/RECOGNITION:

During the quarter ended December 31, 2017, Bank was awarded First Prize for Excellent Implementation of Official Language Policy of Government of India for the Financial Year 2016-17. 

WAY FORWARD:

Bank has launched intensive special ‘Mission Recovery’ campaign on 25.01.2018 for 66 days with the targeted amount of Rs. 1500 crore  by way of recovery / upgradation in small NPA accounts upto Rs. 10 crore apart from ongoing robust recovery measures being undertaken in high value NPA accounts. 



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