Business touches 1100 cr, gross profit shows 100% increase, net NPA reduced to 2.4%
SRINAGAR: J & K State Cooperative Bank has achieved best ever results for the FY 2017-2018.
Total business of the bank has reached 1100 crores. Despite slump and business drying out, deposits have grown by 7% while advances have shown 30% increase.
The bank has advanced about 110 crores in the FY 17-18. It has also improved upon the quality of the deposits. While the CASA of the bank has crossed 43%, ratio of retail deposits to institutional deposits has also shown a shift, an official statement issued on Thursday read.
A key achievement for FY 17-18 has been increase in the gross profit which has shown almost a 100% increase YoY basis.
Bank has also drastically reduced its NPA. Net NPA has been slashed to 2.4%.
While commenting on the results, Chairman of the bank M S Dar expressed satisfaction on the results, terming them in line with the path of growth as envisioned by the management.
Dar said that the sustained micro-management at all levels, both in terms of strategy and operations, has led to impressive achievements during FY 2017-18.
Dar further said the fundamentals of the bank have been strengthened and improved to such a level that “the bank can now compete with any commercial bank”.
He said that the bank has added 5 more branches and 7 ATMs in FY 2017-18. Dar expressed full faith in his team and hoped that the bank would prove a torch bearer for cooperative movement in the state.
The chairman said that the bank was ever thankful to the Registrar Co-operative Societies (RCS) for being an enabling force in its endeavours. He stressed that with the support and guidance of RCS, the bank will achieve new heights.
Managing Director (MD) of the bank, M Latief said that the year had been tough from the business perspective. “Law and order situation has not been conducive for trade and commerce in the state and implementation of GST also led to a temporary negative impact on growth of business as well as banking sector,” he said.
He said, despite all such negative factors, the bank has “managed to grow its business all because of the improvement in deliverance of services at grassroots levels coupled with tailoring of the products as per the needs of its clientele”.
Latief said that the bank was actively involved in infusing credit in employment generation initiatives, especially in rural areas.
He said that the rigorous campaigns and unrelenting efforts have yielded the results and non performing assets have been reduced to 2.4%.
Latief said, “There was a time when the gross NPA of the bank had reached a worrisome level of 20% and questions were raised on the viability of the bank. However, after putting in place an effective pre- and post-disbursement credit monitoring and control system and effective recovery management, we can proudly say we have achieved the unachievable.”