DBS Bank India net profit soars 164%

DBS Bank India posted a 164 percent rise in net profit for FY12 at Rs 335.5 crore on the back of growth across all business verticals.

Its net profit stood at Rs 127.2 crore in FY11.

Total income increased 86 percent to Rs 1,063.2 crore compared to Rs 571.2 crore in FY11,a bank release said.

“We registered encouraging growth with a disciplined execution of our strategy and prudent risk management. Our performance was broad-based with growth across all business lines.

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Our client-base expanded and we engaged with them at various levels to understand their requirements and accordingly offer optimal solutions. This enabled us to strengthen relationships and boost our FY12 revenue and profit to new highs,” DBS Bank India chief executive Sanjiv Bhasin said in a statement.

Despite a rising interest rate regime,the bank’s net interest margin increased by 2.86 percent to 3.24 per cent in FY11.

The Singapore-based bank also reported a sound growth in both deposits and loans in the last financial year.

While its loan book grew by 71 percent to Rs 12,844.3 crore,deposits grew 75 percent to Rs 12,922 crore during the reporting period.

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During the year,the parent DBS injected Rs 5,08.5 crore capital into DBS Bank India,taking the total capital funds to over Rs 3,500 crore,making it well-capitalised to further accelerate its franchise growth.

The capital adequacy ratio stood at a healthy 14.38 percent compared to 14.98 percent a year earlier.

DBS Bank India has a network of 12 branches and is the largest Singaporean bank operating in the country.