Greater Bombay Bank: Net worth up, operating profit down

It could be called a year with mixed results for the Mumbai based Scheduled Bank Greater Bombay Cooperative Bank Limited which is popularly known as Greater Bank. If the UCB was able to recover some of the bad loans, it failed to motivate depositors and registered a reduction here.

These figures were revealed during the 67th Annual General Meeting at ‘Manik Sabhagriha’, Indian Education Society, Mumbai by the Bank’s Chairman Narendra Kumar A.Baldota.

Baldota said while the NPAs of the Bank has reduced from Rs 103 crs to Rs 92 crs in FY 2017-18, the percentage of Gross NPAs reduced from 7.52% in FY 2016-17 to 6.72% in FY 2017-18. Further, the percentage of Net NPAs reduced from 3.84% in FY 2016-17 to 3.46% in FY 2017-18”, revealed its Chairman Narendra Kumar A.Baldota during the AGM.

The Bank made recovery to the tune of Rs 50 Crs in the FY 2017-18, and the impact of profit on the Bank was to the tune of Rs 15 Cr.

However, the bank Deposit has decreased by Rs 82.74 crore at a growth rate of -0.04%. Earlier the deposit in the FY 2016-17 was Rs 2026.74 crore whereas in the FY 2017-18 it stood at Rs 1944.00 crore. The reduction in the average cost of deposits is the result of consistent efforts aimed at interest rate realignments with the market.

Advances increased by Rs 1.75 Cr at a growth rate of 0.1%. Earlier the advances in the FY 2016-17 were Rs 1366.83 crores whereas in FY 2017-18 it stood at Rs 1 368.56 crore.

He further said, “Net Profit of Rs 7.93 Cr was recorded in the financial year 2017-18 thus wiping out accumulated losses of earlier year. However, Operating Profit decreased to Rs 36.27 Cr from Rs 45.58 Cr in the preceding financial year, a decrease of 20% over the previous year.

The Net Worth of the Bank increased to Rs 81.93 Crs from Rs 70.74 Crs, an increase of 16% over previous year.

The Bank is proposing to pay pro-rata dividend @5% subject to the Reserve Bank of India (RBI) approval.

The Greater Bombay Co-operative Bank Ltd, more popularly known as Greater Bank, was established on 10th December 1952. Presently, the bank is having a network of 22 branches across Maharashtra.

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