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Andhra Bank

Welcomes to the press meet


ANDHRA BANK
PROFILE/ PERFORMANCE
HIGHLIGHTS
2005-06
ANDHRA BANK
 

- the driving force


behind our performance
Andhra Bank

Brief Profile
• Established by a Freedom Fighter –
Dr Bhogaraju Pattabhi Sitaramayya.
• Established on November 20th 1923
• Nationalized on 15th April 1980
• Total Business Delivery Channels – 1764
• Total Business Rs.56,000 Crores
• Sponsored two Regional Rural Banks
• Dividends Declared – 14%, 24%, 28%, 30%
and 35% during the last five years
Andhra Bank

Performance Highlights for FY 2006

• Total Business crossed Rs.56000 crores.
• Distributable Profit increased by 42.22%. (From 
Rs.256.03 cr in 2005 to Rs.364.12 cr in 2006)
• Annualized yield works out to FPO Equity 
Holders at 26.78%.
• Low NPA levels – Gross NPAs @ 1.94% & Net 
NPAs @ 0.24%.
Andhra Bank

Business channels
As on Branches ECs Satellite ATMs Total
Offices
31.03.03 1100 113 44 220 1477

31.03.04 1128 129 44 272 1573

31.03.05 1168 136 38 330 1672

31.03.06 1213 123 37 391 1764

 Bank has presence in 21 States and 2 Union Territories.


Andhra Bank Business Levels
Details 31.03.05 31.03.06
Amount (Rs. in cr) Amount (Rs. in cr)

Deposits 27551 33922


Advances (GBC) 17910 22484
Investments 10646 11444
C / D Ratio(%) 65.18 66. 69
Total Interest Income 2273 2674
Net Interest Income 1069 1169
Core Operating Profit
(excluding Profit on sale of 607 698
Investments)
Operating Profit 993 769
Core Net Profit (excluding 135 415
profit on sale of Investments)
Net Profit 520 486
Andhra Bank
DEPOSITS – Composition
(Rs. in Crores)
Type of Deposit 31.3.2005 31.03.2006

Current Deposits 2558.29 3084.82

Growth (%) 15.29 20.58

Savings Deposits 7400.77 9232.39

Growth (%) 16.58 24.75

Term Deposits 17591.65 21605.20

Growth (%) 22.39 22.82

Total Deposits 27550.71 33922.41

Growth (%) 20.10 23.13


Andhra Bank
ADVANCES – SECTOR WISE EXPOSURE
(Rs. in crores)
SECTOR 31.03.05 31.03.06 Growth (%)
Gross Bank Credit 17910 22484 25.54
Non - Food Credit 17110 21733 27.02
- Medium & Large Inds., 4958 6412 29.33
- Priority Sector 7331 8627 17.68
-Agriculture 3078 4064 32.03
- SME Sector 1922 2439 26.90
- Retail Credit 3715 5050 35.94
- Housing Loans 1878 2436 29.71
- Educational Loans 513 677 31.97
Andhra Bank
INVESTMENTS – COMPOSITION
(In Rs crores)
Type of Investments 31.03.05 31.03.06

Government Securities 8777.55 9749.27


Percentage Govt. Sec. to Investments 82.45 85.19
Other Approved Securities 152.99 153.14
Shares 243.64 133.98
Debentures and Bonds 1168.31 924.71
Subsidiaries and/ or Joint Ventures 9.31 9.31

Others 294.48 473.74

Total Investments 10646.28 11444.15


Andhra Bank
ASSET QUALITY
Rs. in Cr.

PARAMETER 31.03.05 31.03.06

GROSS BANK CREDIT 17910 22484

GROSS NPAs 440.93 436.91


% OF GROSS NPAs 2.46 1.94
NET NPAs 48.97 52.46

% OF NET NPAs 0.28 0.24


Andhra Bank
CAPITAL STRUCTURE
(In Rs. Crores)

PARAMETER 31.03.05 31.03.06

TIER-I CAPITAL 1519 2872

TIER-II CAPITAL 773 424

TOTAL CAPITAL 2292 3296


% OF TIER-I 66.28 87.15
TO TOTAL CAPITAL
INTELLECTUAL CAPITAL 13107 13169
( STAFF STRENGTH IN NUMBER)
Andhra Bank FINANCIAL PERFORMANCE
Key Ratios and Indicators at a Glance
Ratios (Figures in %) FY 2005 FY 2006

Cost of Deposits 4.86 4.86


Cost of Funds 4.27 4.28
Yield on Advances 9.43 9.26
Yield on Investments 8.14 7.29
Yield on Funds 8.06 7.60
Net Yield on Funds 3.79 3.32
Earning per Share (annualised) 13.00 11.78
Book Value per Share 45.93 59.67
Staff Cost to Average working funds 1.91 1.40
Other Operating Expenses to AWF 1.03 1.04
Business per employee (Rs. In Cr) 3.46 4.27
Business per Branch (Rs. In Cr) 38.86 46.33
Andhra Bank
Technology Initiatives

 100% Branches Computerized.


 No. of ATM/Debit Cards stood at 1.83 million against
1.29 million in the previous year.
 ATM Network shared with IDBI Bank, UTI Bank,
Indian Bank, HDFC Bank, SBI Group etc.
 Total ATM distributory channels 14400.
 Mobile banking - branches connected 453 and
registered users 4175.
 10000 Business units covered under cluster based
core banking solution. It covers 92.58% of business.
Andhra Bank

Technology Initiatives (contd.)

 AB Kisan Vikas ATM card introduced for


easy access to money to Farming community.
 Mobile ATM first of its kind launched to
enhance the reach of the bank to unbanked
areas.
 Shortly introducing - Internet Payment
Gateway and Internet Banking.
Andhra Bank
Andhra Bank
Value Added Services

 Insurance linked savings deposits – Abhaya,


Abhaya Gold, Jeevan Abhaya, Jeevan Prakash,
Jeevan Prakash plus, Arogyadaan, AB Flex
etc. offered.
 Bancassurance – Tied up with LIC and United
Insurance companies for sale of Life and non-
life products.
 Associated for sale of Mutual Fund products
with major companies.
 Introduced Depository participatory services.
 Cash Management Service covered 84
customers in 123 branches. Turnover for the
year crossed Rs.1147 Crore.
Andhra Bank

Value  Added Services
                                                    (Contd..)
*  Introduced 8 a.m. to 8 p.m. and 7 day
    Banking in select  branches  to extend  the
    Service hours to clientele.
*  Opened  a  Representative Office in Dubai
    to coordinate with  NRIs  for  increasing   
    our  NRI  customer  base.
*  Imparting training  to Agriculturists,  Rural Un- 
employed youth on vocational courses by our 9 
Rural Development Institutes
Andhra Bank
Andhra Bank

ISO 9001:2000 CERTIFICATE

   ISO 9001:2000  Certification  has  been 
awarded to two of our offices
   -  STAFF   COLLEGE
   -  DATA  CENTRE   at  Department  of
      Information  Technology
                                    --
Andhra Bank Awards received by the Bank
 Ranked 683rd among Top 1000 Banks in the
World for 2005 by “The Banker”a London
Based publication.
 Ranked as Number 1 in Asia under the
“Return on Capital”for 2005 by “The
Banker”.
 Adjudged as the Best Bank under Large
Banks category by “The Analyst” an ICFAI
publication.
 Assigned CGR – 2 by ICRA for Corporate
Governance.
Andhra Bank

Awards received by the Bank (Contd.)

 Awarded Silver Shield for excellence in


financial reporting for 2005 by ICAI.
 Runner up award under best payment
initiative by IBA for 2005.
 FINTECH Asia 2006 Award for Any
Branch Banking (ABB).
ANDHRA BANK
MAKING A DIFFERENCE
WITH PEOPLE, IDEAS AND
SOLUTIONS.
COMMITMENTS TO
VALUES FULFILLED

THANK YOU