DEVELOPMENT CREDIT BANK = Q2 FY 2011 RESULTS =TURNED INTO NET PROFITS

Development 

Credit Bank Limited

NSE Symbol       DCB

A new generation private sector bank, Development Credit Bank (DCB) is the banking services provider across 80 state-of-the-art branches across 10 states and two union territories. The Bank has recently launched several value added initiatives and is providing a comprehensive suite of “best in class” products for customers in Retail, SME and Corporate Banking market segments in chosen geographies.

According to the company’s last investor presentation - the shareholding pattern (in % terms ) is :

AKFED & Platinum Jubilee Investment Ltd. (Promoter and Promoter Group) :23.09

AL Bateen Investment Co L.L.C  :3.69

TATA Capital Ltd.   : 3.29

DCB Investments Ltd. (SVG Capital) :2.65

Housing Development Finance Corporation Ltd.:2.02

CopthallMauritius Investment Ltd.: 1.62

ICICI Prudential Life Insurance Company Ltd.:1.51

KhattarHoldings Pvt. Ltd.: 1.49

India Capital Opportunities 1 Ltd.: 1.41

ReligareSecurities Ltd. : 1.36

Edelweiss Securities Ltd. : 1.14

Other (s) 56.73

Total : 100.00

The 2^nd quarter results are as below :

We can see that the Bank has turned into Net profits in this quarter – while previous quarters were in losses.

Percentage of NPAs are coming down but are still high. Return on assets is improving but is still  low.

However, the Bank is on improvement path – which is clearly visible.

DevCredit Bank	30-Sep-10	30-Jun-10	31-Mar-10	31-Dec-09	30-Sep-09
Interest on Advances/Bills	9518.13	9005.06	8720.41	8556.65	8799.68
Income on Investments	3231.62	2943	2677.51	2288.01	2231.97
Income on Balances With RBI	38.15	45.66	34.84	60.19	131.73
Others	-	-	-	0.05	-
Interest Earned	12787.9	11993.72	11432.76	10904.9	11163.38
Other Income	2689.79	2993.18	2459.41	2572.22	3411
Total Income	15477.69	14986.9	13892.17	13477.12	14574.38
Interest Expended	8148.88	7668.2	7172.8	7645.75	8019.7
Employees Cost	2500.34	2483.66	1924.18	2205.2	2285.23
Other Operating Expenses	2746.56	2575.54	2877.39	2846.52	2709.71
Operating Expenses	5246.9	5059.2	4801.57	5051.72	4994.94
Total Expenditure excluding provisions and contingencies	13395.78	12727.4	11974.37	12697.47	13014.64
Operating Profit before provisions and contingencies	2081.91	2259.5	1917.8	779.65	1559.74
Provisions (Other than tax) & Contingencies	1493.82	2445.15	2403	2480.44	3209.03
Profit (+)/Loss (-) from Ordinary Activities before tax	588.09	-185.65	-485.2	-1700.79	-1649.29
Tax Expense	106.09	105	330.36	107.95	43.93
Net Profit (+)/Loss (-) from Ordinary Activities After Tax	482	-290.65	-815.56	-1808.74	-1693.22
Net Profit (+)/Loss (-) for the Period	482	-290.65	-815.56	-1808.74	-1693.22
Face Value of Share (in Rs.)	10	10	10	10	10
Paid-up Equity	20007.62	20006.78	19998.52	19992.37	17599.69
Capital Adequacy Ratio	13.57	13.8	15.36	16.88	15.9
Basic EPS	0.24	-0.15	-0.41	-0.96	-0.96
Gross/Net NPA	7139	8784	10762	13643	13847
% of Gross/Net NPA	1.86	2.53	3.11	4.35	4.67
c) Return on Assets	0.29	-0.19	-0.55	-1.28	-1.19
Public Shareholding (%)	76.91	76.91	76.9	76.89	73.75
Promoter & Promoter group Shares	23.09	23.09	23.1	23.11	26.25

ANNOUNCEMENTS

TO THE EXCHANGE

15-10-2010 Development Credit Bank Limited has informed the Exchange regarding the standalone Results for the quarter ended on 30-SEP-2010 as follows: Interest earned of Rs. 12787.9 lacs for the quarter ending on 30-SEP-2010 against Rs. 11993.72 lacs for the quarter ending on 30-JUN-2010. Interest expended of Rs. 8148.86 lacs for the quarter ending on 30-SEP-2010 against Rs. 7668.2 lacs for the quarter ending on 30-JUN-2010. Net Profit / (Loss) of Rs. 482 lacs for the quarter ending on 30-SEP-2010 against Rs. (290.65) lacs for the quarter ending on 30-JUN-2010.

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