Barclays India FY14 net profit at Rs382 crore1 min read . Updated: 04 Jul 2014, 12:47 AM IST
Bank witnesses increase in total income to Rs2,163.17 crore
Mumbai: Barclays India on Thursday said it returned to profit in FY14 with Rs382.14 crore of net income as against a net loss of 56.38 crore in the previous fiscal.
An improvement in the cost to income ratio to 37.9% from 55.8% in the previous fiscal and higher revenue helped the domestic arm of the British lender get to back into the black during the reporting fiscal, its country head and chief executive Jaideep Khanna said in a statement. He added that business sentiment has improved of late and the bank is already experiencing a meaningful pick up in transaction activity. The bank witnessed an increase in total income to 2,163.17 crore in FY14 as against the 1,763.96 crore in the previous fiscal. In comparison, the operating expenses rose only marginally to 509.8 crore from 436.93 crore. The bank operates in the investment banking and corporate banking verticals in the country as of now and FY14 was the first full fiscal without the retail banking vertical, from where it retreated after suffering heavy losses.
The headcount of the bank, which retrenched some employees in the wake of the decision to move out of retail lending business, stands at 360 at present in the country, an official said. The bank’s total assets grew 5% during the reporting fiscal to 33,378.96 crore, even as the advances were down at 8,099.97 crore as against the 8,472.35 crore in FY13. Barclays, which sold its small business portfolio to Kotak Mahindra Bank during the past fiscal, also saw an improvement in asset quality with the net bad loans ratio improving to 1.10% from 1.74%. Its total capital adequacy stood at 19.72% as of March 2014, with the core tier-I at 18.99%.