We hope to develop at 25-30% preserving the same margin: Dr. N Kamakodi, City Union Bank
Results 1 to 2 of 2
City Union Bank Stock News, Analyst Calls And Reviews
City Union Bank Stock News, Analyst Calls And Reviews
City Union Bank has recorded an increase of 25.2% in its net profit, which remained at Rs 72.24 crore for the three month period ended December 31, 2011, up from Rs 57.70 crore during the same period of 2010.
While talking to media on Tuesday, Mr. N. Kamakodi, Chairman and Managing Director and CEO, stated "Overall, we were able to show a 25-27 per cent growth in all parameters and contain gross and net non-performing assets levels."
He stated that the total income bettered by 40% to Rs 489.33 crore as against Rs 349.29 crore.
Interest income zoomed 40.13% to Rs 438.57 crore as compared to Rs 312.97 crore.
NIM remained up by 17.26% at Rs 122.83 crore from Rs 104.75 crore.
The bank's NIM was 3.24%.
He stated that with continuous upgradation of credit assessment method and risk management practices, the gross non-performing asset level contracted to 1.28% as against 1.18% and net non-performing asset to 0.51% as compared to 0.53%.
Mr. N. Kamakodi stated that during the nine months ended December 31, 2011, the banking institution had attained a 39% increase in overall income at Rs 1,366.59 crore from Rs 984.72 crore and the net profit to Rs. 208.27 crore from Rs. 163.65 crore in the year-ago period.
"We will be requiring Rs. 3,000 crore of net worth to support the growth rate of 22-25 per cent," Mr. N. Kamakodi said and added that the banking institution might mobilise about Rs 400 crore via rights issue.
The stock looks good for medium or long term investment.
The investors can buy the stock on declines.
We hope to develop at 25-30% preserving the same margin: Dr. N Kamakodi, City Union Bank
