Vijaya Bank’s Net Profit rises 5.65 Percent in 2014-15

Bengaluru, May 12 (IANS)Government-run Vijaya Bank on Tuesday said its net profit in 2014-2015 rose by 5.65 percent at Rs.439.41 crore against Rs.415.91 crore during 2013-14.

The bank’s net revenue in the review period went up by 15.2 percent at Rs.13,152.49 crore against its earnings of Rs.11,416.42 crore during 2013-14.

Even as the bank was able to grow 15.2 percent in its topline, its profitability during January-March 2015 dropped by 28.73 percent to Rs.96.80 crore against Rs.135.84 crore in the corresponding timeframe last year.

“Our net profit in fourth quarter declined YoY due to restructuring of some advances, higher provision for non-performing assets (NPAs) and revised wages,” Vijaya Bank chief executive Kishore Kumar Sansi told reporters here.

Advances up to Rs.658 crore were re-structured, which include four major accounts in power and infrastructure sectors whose combined outstanding is Rs.421 crore. “We also provided Rs.208 crore towards increase in wages arising out of the 10th bipartite settlement with IBA (Indian Bank Association),” Sansi said.

In the same time period, the total income of the bank was higher by 12.43 percent at Rs.3,406.12 crore compared to Rs.3,029.34 crore in the same period last year. Total business grew 3.54 percent YoY to Rs.2,14,035 crore from Rs.2,06,721 crore, with deposits up 1.65 percent to Rs.1,26,343 crore from Rs.1,24,296 crore and advances 6.4 percent to Rs.87,692 crore from Rs.82,425 crore.