The Hindu : Business : IOB net up at Rs. 175 crores

Online edition of India's National Newspaper
Saturday, Jul 31, 2004

Business

Business

IOB net up at Rs. 175 crores

By Our Special Correspondent

CHENNAI, JULY 30. Indian Overseas Bank (IOB) has reported a net profit of Rs. 174.60 crores for the quarter ended June 30, 2004, up from Rs. 138.78 crores in the same period last year. The operating profit is placed at Rs. 352.33 crores against Rs. 272.54 crores.

Total income of the bank during the just ended quarter is Rs. 1,203.68 crores (Rs. 1,069.69 crores). Total expenditure is placed at Rs. 851.35 crores (Rs. 797.15 crores). Interest income is Rs. 970.71 crores (Rs. 929.55 crores). Significantly enough, interest payment has declined to Rs. 533.63 crores (Rs. 564.22 crores). The net interest income has risen to Rs. 437.08 crores (Rs. 365.33 crores). According to S. C. Gupta, Chairman and Managing Director, the net interest margin has risen to 3.63 per cent in June 2004.

Addressing a press conference here today, Mr. Gupta said during the first quarter IOB had provided for a proportionate VRS (voluntary retirement scheme) expenditure of Rs. 17.32 crores. Further, it also charged a sum of Rs. 70 crores during the first quarter towards potential wage arrears (in anticipation of the impending wage settlement). In the same quarter last year, the provision for wage arrears was just Rs. 6 crores. In all, the bank has set aside provisions and contingencies at Rs. 177.73 crores (Rs. 133.66 crores). There is also a provision of Rs. 90.24 crores (Rs. 66 crores) towards taxation.

The bank's business has crossed Rs. 63,685 crores. Total deposits are placed at Rs. 41,297 crores (Rs. 37,083 crores). Net advances have improved to Rs. 21,322 crores (Rs. 18,179 crores).

Printer friendly page
Send this article to Friends by E-Mail

Business