DEVELOPMENT CREDIT BANK

The Bank did very well for Q4FY13, mainly due to a very robust growth in its loan book. Its net profit for the quarter, on a YoY doubled from Rs.17 crore to Rs.34 crore. It was also thanks partly due to the lower base effect. What also helped was the high interest income, which YoY rose 44% at Rs.82 crore. Its loan book rose 25% at Rs.6590 crore. NIM was at 3.52% v/s 3.12% on YoY and provisions were down from around Rs.29 crore to Rs.24 crore. The strategy of shifting from coporate loan to retail loan has helped  and its corporate loan book now stands lower at 23.7% of total advances at end of FY13. Retail Deposits were at 77% of Total Deposits as on March 31, 2013.

For FY13, the bank posted a net profit at Rs.102 crore, up sharply from 57 crore in FY12. Net Interest Margin for FY 2013 stands at 3.34% as against 3.25% for FY 2012. Capital Adequacy Ratio (CAR) was at 13.61% as on March 31, 2013 with Tier I at 12.62% and Tier II at 0.99% as per Basel II norms. As on March 31, 2013, the Balance Sheet was at Rs. 11,279 crore as against Rs.8,677 crore as on March 31, 2012, a growth rate of 30%. Regarding asset quality, Gross NPA came down sharply from 4.4% to 3.18% but Net NPA rose marginally from 0.57% to 0.75%. CASA ratio was at 27.2% as against 32.1%.