Vijaya Bank Q3

Vijaya Bank reported a 91.1% drop in net profit at Rs 11.39 Cr for the October- December quarter due to higher provisioning for bad loans and rise in operating expenses. The Bangalore-based public sector lender had posted a net profit of Rs 126.73 Cr for the same quarter of last fiscal. The bank’s total income in the third quarter ended December 31, 2013, increased to Rs 2,874.60 Cr, from Rs 2,357.05 Cr in the year-ago period, the bank said. Provisions other than tax and contingencies during the quarter increased to Rs 159.41 Cr against Rs 102.72 Cr in the same period of last fiscal. At the same time, operating expense of the bank rose to Rs 456.39 Cr during the quarter compared to Rs 319.18 Cr. As of December 31, the bank’s portfolio quality improved, with gross NPAs rising to 2.67% of gross advances against 2.91% a year ago. Its net NPAs during the third quarter declined to 1.57%, from 1.71% in the period a year earlier. During the three quarters (April-December) of 2013-14, the bank’s net profit declined by 22% to Rs 280.07 Cr against Rs 361.46 Cr in same period of 2012-13. Its total income rose to Rs 8,387.03 Cr for the nine months, from Rs 6,978.68 Cr in the year-ago period.

Cabinet nod for conversion of pref shares into equity in 3 banks

The Union Cabinet has given its nod for conversion of perpetual non-cumulative preference shares held by the Government in three public sector banks — Indian Bank, UCO Bank and Vijaya Bank — into equity shares. PNCPS amounting to Rs 400 Cr, Rs 1,823 Cr and Rs 1,200 Cr in Indian Bank, UCO Bank and Vijaya Bank, respectively, will be converted into equity in favour of Central Government, Finance Minister P. Chidambaram told. This move will increase the Centre’s holding in Indian Bank from 80% to 82.22%, in UCO Bank from 69.26% to 77.25% and in Vijaya Bank from 55.02% to 71.85%. The conversion, which will be done this fiscal, is however subject to SEBI as well as shareholder approvals. Chidambaram noted that conversion of PNCPS will bolster the tier-I capital of these three banks and make available more funds for meeting the credit needs of the productive sectors of the economy.

New CMD for Vijaya Bank

 

V. Kannan has taken charge as Chairman and Managing Director (CMD) of Vijaya Bank. He took charge from H.S. Upendra Kamath, who has demitted the office of CMD on attaining superannuation on December 31, 2013.

New CMD for Vijaya Bank

 

V. Kannan has taken charge as Chairman and Managing Director (CMD) of Vijaya Bank. He took charge from H.S. Upendra Kamath, who has demitted the office of CMD on attaining superannuation on December 31, 2013.