The State Bank of Hyderabad (SBH) has registered a marginal 4 per cent increase in net profit to Rs 52.45 crore, despite having a 12.8 per cent increase in volume of business in terms of advances and deposits.
According to the banks chief manager G Amarnathan, The bank made few advances during the last fiscal to bring down the credit-deposit ratio which was quite high at 69 per cent. Our aim is to bring down the ratio to 60 per cent, which is currently at 62 per cent.
Amarnathan also said that advances made in the last financial year went up by just Rs 110 crore, while deposits increased by about Rs 1,000 crore. Other income from the banks merchant banking activities and issuances of bank guarantee and remittances came down, he said.
Aggregate deposits grew by Rs 1,101.04 crore to reach Rs 7,036.55 crore. Deposits from the personal segments grew by 16.64 per cent, constituting 45.17 per cent of the banks aggregate deposits.
The bank achieved a growth of 19.03 per cent which compared favourably with the 16.1 per cent growth by all scheduled commercial banks.
The bank made advances of Rs 4,425.97 crore. Total business measured in terms of deposits and advances reached Rs 11,462.52 crore. The banks operating profit increased by 14.45 per cent to Rs 229.35 crore. The capital adequacy ratio touched 10.84 per cent, exceeding the Reserve Bank of Indias stipulation of 8 per cent. The bank has declared a 20 per cent dividend, which was same for the last two years.
