Branches in 6 other cities by June-end
Kochi, May 22
Indian Overseas Bank on Monday opened the first of its seven Field General Manager's offices in the country at Kochi to cater to the exclusive requirements of its customers in Kerala. The Field General Managers office will be extended to Thiruvananthapuram, Ernaklulam and Kozhikode districts in the State.
Speaking to reporters after the inauguration of the office, Mr T.S. Narayanaswami, Chairman and Managing Director, said fierce competition and customers demanding quick responses had forced the bank to open field GM's offices in Chennai, Delhi, Mumbai, Kolkata, Hyderabad, Coimbatore, besides Kochi. The other branches would become functional by June-end, he added.
Sets higher target
He said the bank had set a target of achieving a business of Rs 5,500 crore, a growth of about 50 per cent in Kerala in the current financial year. At present, the bank is doing a business of Rs 3,800 crore in the State. With 118 branches in Kerala, 40 of them are in the priority sector he said, adding that the bank has applied for opening branches in 12 more places in the State.
On the general performance of the bank, the CMD said IOB had reported a net profit of Rs 783.34 crore for the fiscal ended March 2006 against Rs 651.36 crore for the previous year recording a growth of 20.26 per cent.
The bank's deposits in 2005-06 financial year registered a growth of 14.21 per cent to reach Rs 50,529.32 crore as against Rs 44,241.24 crore in the previous fiscal. Its total business grew by 22.37 per cent to reach Rs 86,288 crore as against Rs 70,515 crore as of March 2005.
He pointed out that net NPA in absolute terms declined from Rs 319.20 crore in 2004-05 to Rs 224.32 crore in 2005-06. The net NPA ratio declined from 1.27 per cent to 0.65 per cent during the year. The earnings per share improved from Rs 11.96 to Rs 14.38 during the year, he said.
The credit-deposit (CD) ratio including deposit from banks improved from 59.39 per cent to 70.77 per cent as of Mach 31, 2006.