Tuesday, April 24, 2012
IDBI BANK = Q4 and FY 2012 RESULTS = GOOD IMPROVEMENT = FUTURE CAN BE MUCH BETTER
IDBI Bank Limited
NSE Symbol IDBI
IDBI BANK has declared very good Results for Q4 FY 12.
STAND ALONE QTRLY RESULTS
Interest on Advances for the 4th Q/e Mar,2012 stands at Rs.4699.55Cr; compared to Rs.4492.84 Cr in Q3 FY 12 ending Dec,2011 (Up by 4.6%); and compared to Rs.3721.71 Cr in Q4 FY11 ending Mar,2011 (up by 26.27%).
Income on Investments for the 4th Q/e Mar,2012 stands at Rs.1327.89Cr; compared to Rs.1349.40 Cr in Q3 FY 12 (Down by -1.59%); and compared to Rs.1287.26 Cr in Q4 FY11 (up by 3.16%).
Interest Earned for the 4th Q/e Mar,2012 stands at Rs.6079.47 Cr; compared to Rs.5849.21 Cr in Q3 FY 12 (Up by 3.94%); and compared to Rs.5025.11 Cr in Q4 FY11 (up by 20.98%).
Other Income for the 4th Q/e Mar,2012 stands at Rs.776.95 Cr; compared to Rs.431.83 Cr in Q3 FY 12 (Up by 79.92%); and compared to Rs.675.54 Cr in Q4 FY11 (up by 15.01%).
Total Income for the 4th Q/e Mar,2012 stands at Rs.6856.42 Cr; compared to Rs. 6281.04 Cr in Q3 FY 12 (Up by 9.16%); and compared to Rs.5700.65 Cr in Q4 FY11(up by 20.27%).The increase in total income is very good both QoQ and YoY.
Interest Expended for the 4th Q/e Mar,2012 stands at Rs.4868.55 Cr; compared to Rs.4789.74 Cr in Q3 FY 12 ending Dec,2011 (Up by 1.65%); and compared to Rs.3916.58 Cr in Q4 FY11 ending Mar,2011 (up by 24.31%).
Net Interest Income for the 4th Q/e Mar,2012 stands at Rs.1210.92 Cr; compared to Rs.1059.47 Cr in Q3 FY 12 ending Dec,2011 (Up by 14.29%); and compared to Rs.1108.53 Cr in Q4 FY11 ending Mar,2011 (up by 9.24%). In Q3 FY 12, Interest Income/expense were both LOW but, expense was lower thus reflecting higher increase in NII in Q4 over Q3. In any case, the improvement in NII this qtr is Good.
Total Expdr(excl.provisions) for the 4th Q/e Mar,2012 stands at Rs.5661.85 Cr; compared to Rs.5456.70 Cr in Q3 FY 12 (Up by 3.76%); and compared to Rs.453384 Cr in Q4 FY11 (up by 24.88%). YoY, total expenditure has gone up by 25% compared to income which has gone up by 20% only.
Operating Profit for the 4th Q/e Mar,2012 stands at Rs.1194.57 Cr; compared to Rs.824.34 Cr in Q3 FY 12 (Up by 44.91%); and compared to Rs.1166.81 Cr in Q4 FY11 (up by 2.38%).For the reason mentioned above, OPT YOY has gone up by just 2.38% - though QoQ, it looks impressive.
Provisions for the 4th Q/e Mar,2012 stands at Rs.273.79 Cr; compared to Rs.406.44 Cr in Q3 FY 12 (Down by -32.64%); and compared to Rs.281.90 Cr in Q4 FY11 (Down by -2.88%). The downtrend in provisions is quite impressive both QoQ and YoY.
Profit before tax for the 4th Q/e Mar,2012 stands at Rs.920.78 Cr; compared to Rs.417.90 Cr in Q3 FY 12 (Up by 120.34%); and compared to Rs.884.91 Cr in Q4 FY11 (up by 4.05%). PBT increase YoY is just 4%, though QoQ it may look good.
Tax Expense for the 4th Q/e Mar,2012 stands at Rs.150 Cr; compared to Rs.8.09 Cr in Q3 FY 12 ending Dec,2011 (Up by 1754.14%); and compared to Rs.368.66 Cr in Q4 FY11 ending Mar,2011 (down by -59.31%). The previous qtr tax expense was TOO LOW and not really representative of full year.
Net Profit for the 4th Q/e Mar,2012 stands at Rs.770.78 Cr; compared to Rs.409.81 Cr in Q3 FY 12 ending Dec,2011 (Up by 88.08%); and compared to Rs.516.25 Cr in Q4 FY11 ending Mar,2011 (up by 49.3%). Lower Tax in Q4 FY 11 has lifted the Net Profit comparison YoY (up by 49%) impressively.
Face Value is Rs.10 and Paid-up Equity Share Capital is Rs.1278.38cr.
Capital Adequacy Ratio for the 4thQ/e Mar,2012 stands at 14.58%, up from 13.53% in previous qtr and 13.64% in corresponding qtr. Capital Adequacy is very good.
Basic EPS for the 4th Q/e Mar,2012 stands at Rs. 7.75compared to Rs.4.16 in Q3; Rs.5.24 in Q2; Rs.3.40 in Q1; and Rs.5.24 in Q4 FY 11; Thus, the progress in Q4 FY 12 is quite impressive – compared to last 4 Qtrs.
% of Gross/Net NPA for the 4th Q/e Mar,2012 stands at 1.61%, down from 1.96 in Q3 FY 12; and up from 1.06% in Q4 FY 11. NPAs are down – but there is still scope for bringing it further down.
Return on Assets for the 4th Q/e Mar,2012 stands at 1.17%, up from 0.66% in Q3 FY 12; and up from 0.89% in Q4 FY 11. ROA is impressive.
Public shareholding (%)for the 4th Q/e Mar,2012 stands at 29.48% compared to 34.87% up to previous qtr. Public shareholding % has come down due to infusion of capital by Govt.
ANNOUNCEMENTS BY IDBI BANK TO NSE
23-04-2012 BoD have recommended final dividend of Rs.1.50 per share for the year 2011-12 (in addition to Interim Dividend of Rs.2 per share already declared and paid by the Bank).
26-03-2012 GoI has decided to infuse capital funds to the tune of Rs. 810 crore in IDBI Bank Ltd. by way of preferential allotment of equity in favour of GoI.
02-03-2012 BoDs of the Bank has approved the proposal for Preferential Issue of capital as follows: (i) Issue of 18,85,56,509 equity shares of 10/- each at a price of Rs 112.99 per share aggregating to Rs 2130.50 crore upon conversion of Tier I Bonds held by Gol into equity (ii) Issue upto 5,86,58,844 equity shares of Rs. 10 each at a price of Rs. 112.99 per share aggregating to 662.79 crore to LIC; and (iii) Issue upto 22,12,58,518 equity shares of 10/- each at a price of Rs. 112.99 per share aggregating to Rs 2500 crore to GOI.
27-02-2012 LIC has, vide its letter dated February 24, 2012, given their in principle approval for subscribing maximum upto 5% of the pre-issue paid up equity capital of the Bank at a price to be calculated as per the SEBI (ICDR) Regulations, 2009
31-01-2012 Board of Directors of the Bank have declared Interim Dividend of Rs. 2/- per equity share.
CONSOLIDATED RESULTS (FY 12 vs FY 11)
Amts in Cr:
1 Interest earned (a)+(b)+(c)+(d) :: 23389 :: 18617
(a) Interest/discount on advances/bills :: 17971 :: 13750
(b) Income on investments :: 5310 :: 4826
(c) Interest on balances with RBI :: 46:: 18
(d) Others 62 :: 22
2 Other Income :: 2203 :: 2222
A TOTAL INCOME (1+2) :: 25592 :: 20838
3 Interest Expended 18818 :: 14270
4 Operating Expenses (e) +(f) :: 2711 :: 2492
(e) Payment to and provisions for employees ::1390 :: 1107
(f) Other operating expenses :: 1322 :: 1385
B TOTAL EXPENDITURE (3)+(4) :: 21529 :: 16762
C OPERATING PROFIT (A‐B) :: 4063 :: 4076
D OTHER PROVISIONS AND CONTINGENCIES(net) :: 2050 :: 2513
(i) Provisions (other than tax) and contingencies :: 1429 :: 1877
(ii) Provision for Taxes:: 620 :: 635
E NET PROFIT( C‐D) :: 2013 :: 1564
F Paid‐up equity share capital :: 1278 :: 985
G Reserves excluding Revaluation Reserves :: 16229 :: 11636
H Earning Per Share (Rupees)
‐ Basic :: 20.29 :: 17.40
Performance of IDBI Bank is current quarter is very good.
Current share price is Rs.105.90; while the 52 week high price is Rs.153.75 and the 52 week low price is Rs.77.10
On current price, the PE Ratio works out to 5.22.Taking into account the RBI’s CRR/Rate revision and good capital infusion by GOI and LIC – we can expect IDBI Bank to perform much better in coming quarters also.
Consolidated B/sheet figures
Deposits :: 210244 :: 180444
Borrowings :: 53478 :: 51570
Investments :: 82829 :: 68034
Advances :: 181158 :: 157098
During the Qtr share issue was made to GOI and LIC at a share price of Rs.112.99 (including premium of Rs.102.99).
Tax expense for the quarter ended March 31, 2012 is inclusive of deferred tax credit of Rs.258.27 Cr.
(1) Current year figures include those for IDBI Trusteeship Services Ltd. (ITSL) for the period Oct 1, 2011 to March 31, 2012. Hence current year figures are strictly not comparable with previous year figures.
(2) Figures of the previous period include the working results of the two erstwhile wholly owned subsidiary of the Bank namely IDBI Home Finance Ltd. And IDBI Gilts Ltd. for the period from 01.01.2011 to 31.03.2011 consequent on merging with the Bank. Accordingly, the figures of the previous year are not strictly comparable. Figures for the previous year have been regrouped and rearranged wherever considered necessary to make them comparable with current year’s figures.
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