The massive rise in net interest income pushed up the net profit of Bangalore-based public sector lender, State Bank of Mysore (SBM), an associate bank of State Bank of India for the fourth quarter ended March 31, 2010. For the quarter, SBM reported 2.4 times rise in its net profit at Rs 123.6 crore compared to the corresponding quarter last fiscal. The operating profit for the quarter rose 60.4 per cent to Rs 290.9 crore compared to the year ago period.
The total income of the bank was flat at Rs 1,052.3 crore during the fourth quarter compared to Rs 1,056.2 crore in the year ago period. Other income of the bank dropped by 23.5 per cent to Rs 133.8 crore for the quarter as compared to the year ago period.
The rise in net profit was mainly on account of a whopping 81.5 per cent rise in net interest income, which went up to Rs 373.2 crore during the March quarter as against the year ago period. The interest income during the quarter registered a year on year growth of 4.2 per cent to Rs 918.4 crore.
The board of directors of the bank, which met in Mumbai this evening, has approved a dividend of Rs 10 per share of Rs 10 each for the year 2009-10.
The return on assets for the fourth quarter rose to 1.17 per cent from 0.46 per cent a year ago. The capital adequacy ratio under Basel-II marginally dropped to 12.42 per cent from 12.99 per cent a year ago. The percentage of net non-performing assets to net advances doubles to 1.02 per cent from 0.50 per cent a year ago. In actual terms, net NPAs stood at Rs 300 crore as against Rs 129 crore in the fourth quarter of last fiscal.
The earnings per share more than doubled to Rs 34.3 compared to Rs 14 in the year ago period.
