PROJECT

REPORT
ON
AXIS BANK
1


PROJECT REPORT ON
AXIS BANK

SUBMITTED TO:
SUBMITTED BY:
MISS SANGEETA SHARMA RESHMA RAI
2

MBA 2
ND
SEM
Date: 14.07.11
IIAS SCHOO O!
MANAGEMENT
ACKNOWLEDGEMENTS
It is great pleasure to express my sense of gratitude to MISS SANGEETA SHARMA, IIAS
School Of Management, Siliguri, without whose valuable guidance generous help and constant
enthusiastic inspiration this assignment titled CLASS PROJECT-AXIS BANK would have
never been a success.
I was almost convinced that I was aware of the business & maret forces that drive the
!aning industry. "owever, once I started out woring on the same, I reali#ed how grossly
inade$uate my nowledge had been. I than Miss Sangeeta Sharma %finance and human resource
faculty& for giving us this assignment and guiding us to once again explore the sector I so much
feel a part of.
"

INDEX
S.NO. PARTICULARS
'. !A()I(* I( I(+IA
,. -OM.A(/ .0O1I234 A5IS !A()
6. 37O289IO(
:. !8SI(3SS +3S-0I.9IO(
;. .0OMO930S
<. S"A03 "O2+I(* .A9930(
=. !OA0+ O1 +I03-9O0S
>. MISSIO( A(+ 7A283S
?. 1I(A(-IA2 S9A93M3(9 O1 A5IS !A()
'@. SAO9 A(A2/SIS
''. O7307I3A 1I(A(-IA2 A(+ !8SI(3SS .301O0MA(-3
',. !I!2IO*0A."/
4

BANKING IN INDIA:
Aithout a sound and effective baning system in India it cannot have a healthy economy. 9he
baning system of India should not only be hassle free but it should be able to meet new
challenges posed by the technology and any other external and internal factors. 1or the past three
decades IndiaBs baning system has several outstanding achievements to its credit. 9he most
striing is its extensive reach. It is no longer confined to only metropolitans or cosmopolitans in
India. In fact, Indian baning system has reached even to the remote corners of the country. 9his
is one of the main reasons of IndiaBs growth process.
HISTORY:
9he first ban in India, though conservative, was established in '=><. 1rom '=>< till today, the
Courney of Indian !aning System can be segregated into three distinct phases. 9hey are as
mentioned below4
."AS3 I D 3arly phase from '=>< to '?<? of Indian !ans
."AS3 II D (ationali#ation of Indian !ans and up to '??'
."AS3 III D Indian 1inancial & !aning Sector 0eforms after '??'.
PHASE I:
9he *eneral !an of India was set up in the year '=><. (ext came !an of "industan and
!engal !an. 9he 3ast India -ompany established !an of !engal %'>@?&, !an of !ombay
%'>:@& and !an of Madras %'>:6& as independent units and called it .residency !ans. 9hese
three bans were amalgamated in '?,@ and Imperial !an of India was established which started
as private shareholders bans, mostly 3uropeans shareholders. +uring the first phase the growth
was very slow and bans also experienced periodic failures between '?'6 and '?:>. 9here were
approximately ''@@ bans, mostly small. 9o streamline the functioning and activities of
commercial bans, the *overnment of India came up with 9he !aning -ompanies Act, '?:?
which was later changed to !aning 0egulation Act '?:? as per amending Act of '?<; %Act (o.
,6 of '?<;&. 0eserve !an of India was vested with extensive powers for the supervision of
#

baning in India as the -entral !aning Authority. +uring those dayEs public has lesser
confidence in the bans. As an aftermath deposit mobili#ation was slow. Abreast of it the savings
ban facility provided by the .ostal department was comparatively safer. Moreover, funds were
largely given to the traders.
PHASE II:
*overnment too maCor steps in this Indian !aning Sector 0eform after independence. In '?;;,
it nationali#ed Imperial !an of India with extensive baning facilities on a large scale especially
in rural and semiDurban areas. Second phase of nationali#ation Indian !aning Sector 0eform
was carried out in '?>@ with seven more bans. 9his step brought >@F of the baning segment
in India under *overnment ownership.
9he following are the steps taen by the *overnment of India to 0egulate !aning Institutions in
the -ountry4
'?:?4 3nactment of !aning 0egulation Act.
'?;;4 (ationali#ation of State !an of India.
'?;?4 (ationali#ation of S!I subsidiaries.
'?<'4 Insurance cover extended to deposits.
'?<?4 (ationali#ation of ': maCor bans.
'?='4 -reation of credit guarantee corporation.
'?=;4 -reation of regional rural bans.
'?>@4 (ationali#ation of seven bans with deposits over ,@@ crore.
After the nationali#ation of bans, the branches of the public sector ban India raised to
approximately >@@F in deposits and advances too a huge Cump by '',@@@F.!aning in the
sunshine of *overnment ownership gave the public implicit faith and immense confidence about
the sustainability of these institutions.
PHASE III
9his phase has introduced many more products and facilities in the baning sector in its reforms
measure. In '??', under the chairmanship of M (arasimham, a committee was set up by his
$

name which wored for the liberalisation of baning practices.
9he country is flooded with foreign bans and their A9M stations. 3fforts are being put to give a
satisfactory service to customers. .hone baning and net baning is introduced. 9he entire
system became more convenient and swift. 9he financial system of India has shown a great deal
of resilience. It is sheltered from any crisis triggered by any external macroeconomics shoc as
other 3ast Asian -ountries suffered. 9his is all due to a flexible exchange rate regime, the
foreign reserves are high, the capital account is not yet fully convertible, and bans and their
customers have limited foreign exchange exposure.
1I*8034 S-"3+823+ -OMM30-IA2 !A() I( I(+IA4
7

COMPANY PROFILE: AXIS BANK
Axis !an India, the first ban to begin operations as new private bans in '??: after the
*overnment of India allowed new private bans to be established. Axis !an was Cointly
promoted by the Administrator of the specified undertaing of the
8nit 9rust of India %89IDI&
%

2ife Insurance -orporation of India %2I-&
*eneral Insurance -orporation 2td.
Also with associates vi#. (ational Insurance -ompany 2td., 9he (ew India Assurance -ompany,
9he Oriental Insurance -orporation and 8nited Insurance -ompany 2td.
Axis !an in India today is capitalised with 0s. ,6,.>< -rores with :=.;@F public holding other
than promoters. It has more than ,@@ branch offices and 3xtension -ounters in the country with
over ',;@ Axis !an A9M proving to be one of the largest A9M networs in the country. Axis
!an India commits to adopt the best industry practices internationally to achieve excellence.
Axis !an has strengths in retail as well as corporate baning. !y the end of +ecember ,@@:,
Axis !an in India had over ,.= million debit cards. 9his is the first ban in India to offer the A9
.A0 -he$ue facility, without any charges, to all its Savings !an customers in all the places
across the country where it has presence.
Aith the A9 .A0 che$ue facility, customers can mae che$ue payments to any beneficiary at any
of its existence place. 9he ceiling per instrument is 0s. ;@,@@@GD.9he latest offerings of the ban
along with +ollar variant is the 3uro and .ound Sterling variants of the International 9ravel
-urrency -ard. 9he 9ravel -urrency -ard is a signature based preDpaid travel card which
enables travelerEs global access to their money in local currency of the visiting country in a safe
and convenient way. 9he !an has strengths in both retail and corporate baning and is
committed to adopting the best industry practices internationally in order to achieve excellence
EVOLUTION:
89I was established in '?<: by an Act of .arliamentH neither did the *overnment of India own it
nor contributes any capital. 9he 0!I was ased to contribute oneDhalf of its initial capital of 0s ;
crore, and given the mandate of running the 89I in the interest of the unitDholders. 9he State
!an of India and the 2ife Insurance -orporation contributed '; per cent of the capital each, and
the rest was contributed by scheduled commercial bans which were not nationali#ed then. 9his
&

ind of structure for a unit trust is not found anywhere else in the world. Again, unlie other unit
trusts and mutual funds, the 89I was not created to earn profits.
In the course of nearly four decades of its existence, it %the 89I& has succeeded phenomenally in
achieving its obCective and has the largest share anywhere in the world of the domestic mutual
fund industry.BB 9he emergence of a Iforeign expertI during the setting up of the 89I maes an
interesting story. 9he announcement by the then 1inance Minister that the *overnment of India
was contemplating the establishment of a unit trust caught the eye of Mr. *eorge Aoods, the then
.resident of the Aorld !an. Mr. Aoods too a great deal of interest in the Indian financial
system, as he was one of the principal architects of the I-I-I, in which his ban, 1irst !oston
-orporation !an, had a si#eable shareholding. Mr. Aoods offered, through Mr. !.). (ehru,
who was IndiaBs 3xecutive +irector on the Aorld !an, the services of an expert.
9he -entre Cumped at the offer, and ased the 0!I to hold up the finali#ation of the unit trust
proposals till the expert visited India. 9he only point Mr. Sullivan made was that the provision to
limit the ownership of units to individuals might result in unnecessarily restricting the maret for
units. Ahile maing this point, he had in mind the practice in the 8S, where small pension funds
are an important class of customers for the unit trusts. 9he -entre accepted the foreign expertBs
suggestion, and the necessary amendments were made in the draft !ill. 9hus, began corporate
investment in the 89I, which received a boost from the tax concession given by the government
in the '??@D?' !udget. According to this concession, the dividends received by a company from
investments in other companies, including the 89I, were completely exempt from corporate
income tax, and provided the dividends declared by the investing company were higher than the
dividends received.
9he result was a phenomenal increase in corporate investment which accounted for ;= per cent
of the total capital under 8SD<: scheme. !ecause of high li$uidity the corporate sector used the
89I to par its li$uid funds. 9his added to the volatility of the 89I funds. 9he corporate lobby
which perhaps subtly opposed the establishment of the 89I in the public sector made use of it for
its own benefits later. 9he *overnmentD0!I power game started with the finali#ation of the 89I
charter itself. 9he 0!I draft of the 89I charter stipulated that the -hairman will be nominated by
10

it, and one more nominee would be on the !oard of 9rustees. Ahile finali#ing the draft !ill, the
-entre changed this stipulation. 9he -hairman was to be nominated by the *overnment, albeit in
consultation with 0!I. Although the appointment was to be made in consultation with the
0eserve !an, the *overnment could appoint a person of its choice as -hairman even if the
!an did not approve of him.
BUSINESS DESCRIPTION:
9he !anBs principal activities are to provide commercial baning services which include
merchant baning, direct finance, infrastructure finance, venture capital fund, advisory,
trusteeship, forex, treasury and other related financial services. 9he !an has :<6 branches and
,<6 extension counters throughout India. +uring April, ,@@< the !an openDend ' overseas
branch in Singapore.
PROMOTERS:
89I !an 2td. has been promoted by the largest and the best 1inancial Institution of the country,
89I. 9he !an was set up with a capital of 0s. ''; crore, with
89I contributing 0s. '@@ crore,
2I- D 0s. =.; crore
*I- and its four subsidiaries contributing 0s. '.; crore each.
SUUTI SHARE HOLDINGS-2.!!"
3rstwhile 8nit 9rust of India was set up as a body corporate under the 89I Act, '?<6, with a
view to encourage savings and investment. In +ecember ,@@,, the 89I Act, '?<6 was repealed
with the passage of 8nit 9rust of India %9ransfer of 8ndertaing and 0epeal& Act, ,@@, by the
.arliament, paving the way for the bifurcation of 89I into , entities, 89IDI and 89IDII with
effect from 'st 1ebruary ,@@6.
SHARE HOLDING PATTERN:
AS on 6@G@<G,@''
S#. N$. N%&' $( )*' S*%#'*$+,'#- N$. $( S*%#'- H'+, " S)%.' )$
T$)%+
A. P#$&$)'# S*%#'*$+,/01
' Administrator of the Specified ?=,,,:,6=6 ,6.<@
11

8ndertaing of the 8nit 9rust of
India %89I D I&
, 2ife Insurance -orporation of
India
6?,,<, ,?'= ?.;6
6 *eneral Insurance -orporation of
India and four .S8 Insurance
-ompanies.
=,;=;,@@@ '.>:
T$)%+ P#$&$)'# S*%#'*$+,/01 A 2,33,452,264 !3.6
B. D$&'-)/7 S*%#'*$+,'#-
: Indian 1Is !an =,::',='@ '.>'
; Mutual 1unds '<,':@,<=: 6.?,
< Others %IndividualsG-orporate
!odiesG"81G9rustsG!ans&
,:,6<;,6>? ;.?,
T$)%+ D$&'-)/7 S*%#'*$+,/01 B 3,63,! 22.5
C. F$#'/10 S*%#'*$+,'#-
= 1+I 0oute *+0 Issue :','@<,>:6 ?.?>
> 1oreign 1inancial Institutions
%1IIs&
':<,@'=,:?6 6;.:;
? (0IsGO-!s =,>6,,:6 @.'?
T$)%+ N$0-P#$&$)'# F$#'/10 S*%#'*$+,/01
C
2,8,64,96 39.52
T$)%+ A: B : C !,6,62,532 62.25
BOARD OF DIRECTORS:
9he !an has ', members on the !oard. Mr.Adarsh )ishore is the -hairman and Smt.Shiha
Sharma is the Managing +irector of the !an. 9he members of the !oard are4
NAME DESIGNATION
M# A,%#-* K/-*$#' %0, S&). S*/.*%
S*%#&%
-hairman & Managing +irector
S*#/ S.K. C*%.#%;%#)/ +irector
S*#/ V.R. K%<0,/0=% +irector
S*#/ K.N. P#/)*/>/#%? +irector
S*#/ P#%-*%, R M'0$0 +irector
12

D#. R.H. P%)/+ +irector
S&). R%&% B/?%@<#.%# +irector
S*#/ R.B.L. V%/-* +irector
S*#/ S.B. M%)*<# +irector
S*#/ M.V. S<;;/%* +irector
S*#/ R.N. B*%))%#7*%#=% +irector
MISSION AND VALUES:
OUR VALUES:
-ustomer Service and .roduct Innovation tuned to diverse needs of individual and
corporate clientele.
-ontinuous technology upgradation while maintaining human values.
.rogressive globali#ation and achieving international standards.
3fficiency and effectiveness built on ethical practices.
CORE VALUES:
-ustomer Satisfaction through
o .roviding $uality service effectively and efficiently
o ISmile, it enhances your face valueI is a service $uality stressed on
o .eriodic -ustomer Service Audits
Maximi#ation of Staeholder value
1"

Success through 9eamwor, Integration
Balance Sheet of Axis Bank ------------------- in Rs. Cr. -------------------
Mar '08 Mar '09 Mar '10 Mar '11
12 mths 12 mths 12 mths 12 mths
Capital And Liabilities
Total Share Capital 357.71 359.01 405.17 410.55
Eqit! Share Capital 357.71 359.01 405.17 410.55
Share Appli"ation #one! 2.19 1.21 0.17 0.00
$re%eren"e Share Capital 0.00 0.00 0.00 0.00
&eser'es ()410.79 9)(54.5( 15)*39.27 1()5((.2(
&e'alation &eser'es 0.00 0.00 0.00 0.00
14

Net Worth 8,0.!9 10,"1#.80 1!,0##.!1 18,998.8$
+eposits (7)*2*.22 117)374.11 141)300.22 1(9)237.(0
,orro-in.s 5)*24.04 10)1(5.4( 17)1*9.55 2*)2*7.((
%otal &e't 9$,"(0."! 1",((9.(9 1(8,#!9. "1(,(0(.!8
/ther Liabilities 0 $ro'isions 7)55*.90 9)947.*7 *)133.4* ()20(.(*
%otal )ia'ilities 109,(.8( 1#,"".0! 180,!#.8# "#",1$.$
Mar '08 Mar '09 Mar '10 Mar '11
12 mths 12 mths 12 mths 12 mths
Assets
Cash 0 ,alan"es -ith &,1 7)305.** 9)419.21 9)473.(( 13)((*.1*
,alan"e -ith ,an2s) #one! at Call 5)19(.5( 5)597.*9 5)732.5* 7)522.49
A*+ances (9,!!1.1# 81,((!. 10#,$#$.1" 1#",#0.8$
,n+est-ents $$,0(.10 #!,$$0.$( ((,9#.8" 1,991.!"
3ross ,lo"2 1)3(4.70 1)741.(* 2)107.9( 3)42*.49
A""mlated +epre"iation 590.33 72*.45 942.79 1)17*.03
Net Block 9#.$ 1,01(.#1 1,1!(.19 ","(0.#!
Capital 4or2 1n $ro.ress 12(.4( 57.4( 57.24 22.*9
/ther Assets 2)7(4.51 3)745.15 3)901.0* 4)*32.12
%otal Assets 109,(.8# 1#,"".0! 180,!#.8 "#",1$.$
Contin.ent Liabilities 7()02(.44 104)42(.39 29*)125.5( 429)0*9.*3
,ills %or "olle"tion 1*)5*9.95 29)90*.04 35)75*.32 57)400.(0
,oo2 5ale 6&s7 245.13 2(4.50 395.99 4*2.77
.rofit / )oss acco0nt of Axis Bank ------------------- in Rs. Cr. -------------------
Mar '08 Mar '09 Mar '10 Mar '11
1#

12 mths 12 mths 12 mths 12 mths
,nco-e
1nterest Earned 7)005.32 10)(35.49 11)*3(.02 15)154.(1
/ther 1n"ome 1)750.59 2)(9*.(( 3)945.7( 4)*32.13
%otal ,nco-e 8,((.91 1$,$".$ 1(,(8$.80 19,8!.9#
1x2en*it0re
1nterest e8pended 4)419.9* 7)149.27 *)*33.53 ()591.(2
Emplo!ee Cost *70.25 997.** 1)255.(2 1)*13.90
Sellin. and Admin E8penses 952.*1 1)572.(3 2)443.05 2)40*.59
+epre"iation 15(.11 1((.*7 234.32 2(9.59
#is"ellaneos E8penses 1)4(3.94 2)00(.57 2)502.55 3)49*.55
$reoperati'e E8p Capitalised 0.00 0.00 0.00 0.00
/peratin. E8penses 2)454.03 3)590.42 5)0**.7* 5)734.55
$ro'isions 0 Contin.en"ies (10.(( 1)177.31 1)3*(.9( 2)072.0(
%otal 1x2enses ,!8#.8 11,91.00 1$,0!9." 1!,$98.#(
Mar '08 Mar '09 Mar '10 Mar '11
12 mths 12 mths 12 mths 12 mths
Net .rofit for the 3ear 1,01.0$ 1,81(.$! ",(1#.($ $,$88.#9
E8traordionar! 1tems 0.00 0.00 0.00 0.00
$ro%it bro.ht %or-ard 1)029.07 1)553.(7 2)34(.09 3)427.43
%otal ",100.10 $,$!9."$ #,8!".!" !,81(.9"
$re%eren"e +i'idend 0.00 0.00 0.00 0.00
Eqit! +i'idend 251.*4 420.52 5*7.45 *70.3*
Corporate +i'idend Ta8 0.00 0.00 0.00 0.00
.er share *ata 4ann0alise*5
1arnin6 .er Share 4Rs5 "9.9# (0.( !".0! 8".(#
Eqit! +i'idend 697 *0.00 100.00 120.00 140.00
,oo2 5ale 6&s7 245.13 2(4.50 395.99 4*2.77
A22ro2riations
Trans%er to Stattor! &eser'es 294.*0 *00.*2 (*7.43 (3*.95
Trans%er to /ther &eser'es :0.01 0.00 0.31 33(.(4
$roposed +i'idend;Trans%er to 3o't 251.*4 420.52 5*7.45 *70.3*
,alan"e ";% to ,alan"e Sheet 1)553.(7 2)34(.09 3)427.43 4)9*9.77
%otal ",100.10 $,$!9."$ #,8!".!" !,81(.9"
1$

Cash 7lo8 of Axis Bank ------------------- in Rs. Cr. -------------------
Mar '08 Mar '09 Mar '10 Mar '11
12 mths 12 mths 12 mths 12 mths
Net .rofit Before %ax 1!#!." "8(.19 $8(1.$! (1$(.!!
<et Cash =rom /peratin. A"ti'ities 59*0.45 10551.*3 2(.(7 11425.07
<et Cash 6sed in7;%rom
1n'estin. A"ti'ities
:4702.52 :9741.9* :5122.9( :139(5.33
<et Cash 6sed in7;%rom =inan"in. A"ti'ities 4325.79 1*92.32 5304.07 (7*9.*9
Net 4*ecrease59increase ,n Cash an* Cash
1:0i+alents
((8(.9# "(1".!! 189.(# !"0#.(
/penin. Cash 0 Cash Eqi'alents *91(.31 12504.24 1501*.90 15203.91
Closin. Cash 0 Cash Eqi'alents 12504.24 1501*.90 1520*.44 2140(.**
;e< 7inancial Ratios of Axis Bank ------------------- in Rs. Cr. -------------------
Mar '08 Mar '09 Mar '10 Mar '11
,n+est-ent =al0ation Ratios
=a"e 5ale 10.00 10.00 10.00 10.00
+i'idend $er Share *.00 10.00 12.00 14.00
/peratin. $ro%it $er Share 6&s7 5*.(( (3.5* 97.29 129.2*
<et /peratin. $ro%it $er Share 6&s7 244.*3 377.4* 3(0.27 471.17
=ree &eser'es $er Share 6&s7 20(.03 230.47 325.(7 373.0*
,ons in Eqit! Capital :: :: ::
.rofita'ilit< Ratios
1nterest Spread 3.77 4.24 3.95 3.73
Ad>sted Cash #ar.in697 14.19 14.7* 17.*3 1(.71
<et $ro%it #ar.in 12.22 13.31 1*.10 17.20
&etrn on Lon. Term =nd697 71.17 97.35 **.34 72.29
&etrn on <et 4orth697 12.21 17.77 15.*7 17.(3
Ad>sted &etrn on <et 4orth697 12.3( 17.(5 15.*9 17.(7
&etrn on Assets E8"ldin. &e'alations 245.13 2(4.50 395.99 4*2.77
&etrn on Assets 1n"ldin. &e'alations 245.13 2(4.50 395.99 4*2.77
Mana6e-ent 1fficienc< Ratios
17

1nterest 1n"ome ; Total =nds 9.57 10.53 9.3( 9.14
<et 1nterest 1n"ome ; Total =nds 4.74 4.9( 5.34 5.0(
<on 1nterest 1n"ome ; Total =nds 0.02 0.0* 0.12 0.17
1nterest E8pended ; Total =nds 4.(3 5.5* 4.04 4.0*
/peratin. E8pense ; Total =nds 2.51 2.*4 2.94 2.57
$ro%it ,e%ore $ro'isions ; Total =nds 2.07 2.25 2.3( 2.54
<et $ro%it ; Total =nds 1.17 1.41 1.53 1.*0
Loans Trno'er 0.1( 0.19 0.17 0.1*
Total 1n"ome ; Capital Emplo!ed697 9.59 10.*0 9.51 9.30
1nterest E8pended ; Capital Emplo!ed697 4.(3 5.5* 4.04 4.0*
Total Assets Trno'er &atios 0.10 0.11 0.09 0.09
Asset Trno'er &atio *.32 7.7( 7.31 5.*5
.rofit An* )oss Acco0nt Ratios
1nterest E8pended ; 1nterest Earned *3.09 *5.9( 57.00 5*.*9
/ther 1n"ome ; Total 1n"ome 0.1* 0.*0 1.30 1.7(
/peratin. E8pense ; Total 1n"ome 2*.20 24.95 30.9* 27.*5
Sellin. +istribtion Cost Composition 0.(5 0.34 0.30 0.40
Balance Sheet Ratios
Capital Adeqa"! &atio 13.73 13.*9 15.(0 12.*5
Ad'an"es ; Loans =nds697 75.(9 73.(7 72.9* 7*.1*
&e't Co+era6e Ratios
Credit +eposit &atio *5.94 *(.(9 71.(7 74.*5
1n'estment +eposit &atio 41.39 39.04 39.55 3(.71
Cash +eposit &atio (.17 (.1* 7.30 7.07
Total +ebt to /-ners =nd 9.99 11.49 (.(1 9.9*
=inan"ial Char.es Co'era.e &atio 1.4* 1.43 1.*2 0.**
=inan"ial Char.es Co'era.e &atio $ost Ta8 1.2( 1.2( 1.41 1.43
)e+era6e Ratios
Crrent &atio 0.03 0.03 0.03 0.02
?i"2 &atio 9.23 9.52 19.19 19.*0
Cash 7lo8 ,n*icator Ratios
+i'idend $a!ot &atio <et $ro%it 23.49 23.1* 22.5* 19.7(
+i'idend $a!ot &atio Cash $ro%it 20.47 20.9( 20.*4 1(.22
Earnin. &etention &atio 7*.(4 7*.94 77.47 (0.2*
Cash Earnin. &etention &atio 79.7( 79.11 79.39 (1.(1
Ad>stedCash =lo- Times 70.42 5(.33 51.33 51.35
Mar '08 Mar '09 Mar '10 Mar '11
1%

Earnin.s $er Share 29.94 50.57 *2.0* (2.54
,oo2 5ale 245.13 2(4.50 395.99 4*2.77
SW>% ANA)3S,S
STRENGTH@
Spport o% 'arios promoters
Ai.h le'el o% ser'i"es
Bno-led.e o% 1ndian mar2et
WEAKNESS@
<ot ha'in. .ood ima.e
#ar2et "apitaliCation is 'er! lo-
<ot been %ll! able to position itsel% "orre"tl!
OPPORTUNITIES:
3ro-in. 1ndian ban2in. se"tors
$eople are be"omin. more ser'i"e oriented
3lobal mar2et in 1ndia
THREATS:
1n"reasin. "ompetitors
1&

=orei.n ban2s
=tre mar2et trends
OVERVIEA OF FINANCIAL AND BUSINESS PERFORMANCE
9he !an has been able to turn in an impressive business performance and record good financial
results for the fifth year in succession, owing to the efficacy of its business model which aspires
to be customerDcentric.
Information technology is continuously leveraged in providing value added products and
services as well as multipleDdelivery channels to customers in a manner that is costDeffective and
which offers the !anEs customers easy, realDtime and onDline access for all types of transactions.
9he strong performance, despite a tightening of overall li$uidity leading to a hardening of
interest rates in the closing stages of the fourth $uarter, reflected the fact that the primary
*oals of the !an of increasing its maret share in various businesses and improving its $uality
of earnings by enhancing its core income streams, is solidly anchored in the strategy adopted by
it.
9he si#eable networ of branches, extension counters and A9Ms has e$uipped the !an with an
impressive reach across the country and is supported by channels such as the Internet and mobile
phone baning. 9he steady widening of this reach to smaller cities and towns, including in
district head$uarters, is expected to sustain the momentum of growth of low cost deposits, as the
!an enCoys a firstDmover advantage visDJDvis other private sector bans in many of these
centers.
9he ey factors which contributed to the healthy performance of the !an during the year were
the
-ontinued thrust on improvement in the $uality of earnings through an emphasis on core
income streams such as net interest income and fee based incomeH
9he availment of opportunities emanating from the upswing in the corporate credit cycleH
A focus on improvement in asset $uality through rigorous credit and ris appraisal, sound
treasury management, product diversification and internal controlH
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3nhanced cost efficiency by leveraging on technology that is continuously upgradedH
Maintenance of high standards of customer service.
BIBLIOGRAPHY:
BBB.1$$1+'.7$./0
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