Chennai, May 20 (IANS) Private sector City Union Bank plans to open around 80 branches and add more automated teller machines (ATM) this year, a top official said Monday.
“We plan to open 75-80 branches this year. Currently, we have 375 branches and 790 ATMs. We will continue to maintain the branch-ATM ratio of 1:2,” N. Kamakodi, managing director, told reporters here.
Announcing the bank’s financial results for 2012-13, he said: “The bank earned a total income of Rs.2,462.39 crore and a net profit of Rs.322.02 crore as against Rs.1,903.90 crore and Rs.280.25 crore respectively earned during 2011-12.”
He said the bank’s total business at the end of last fiscal stood at Rs.35,648 crore (deposits Rs.20,305 crore, advances Rs.15,343 crore) up from Rs.28,563 crore (deposits Rs.16,341 crore, advances Rs.12,222 crore) posted during 2011-12.
He said owing to the poor economic condition last fiscal the bank’s gross non-performing assets (NPA) and the net NPA went up to Rs.173 crore and Rs.96 crore respectively from Rs.123 crore and Rs..54 crore posted during 2011-12.
Kamakodi said the economy looks better this year as the inflation is softening.
“We hope to maintain the net interest margin at last year’s levels,” he said. Last fiscal the Kumbakonam-based bank had a net interest margin of 3.35 percent.
He said the bank will be completing the rights issue and raise Rs.250 crore.