Message from the CEO Desk

a message from our managing director and ceo
Our MD and CEO - H.S. Upendra Kamath

Dear Our Valued Customer,

I welcome you to our website. It is a great pleasure for me to place before you, our financial results for the year ended Mar 31, 2016 along with major initiatives taken.

Financial Performance:

The Bank’s total business at the end of FY 2016 was Rs. 52,946.59 Crores, with a growth rate of 17.70% on year-on-year basis. The Bank’s deposits recorded a growth rate of 18.40% during the year by reaching Rs. 30,368.88 Crores. CASA has increased from Rs. 5,037.16 Crores to Rs. 5,891.68 Crores with a growth of 16.96%. The Bank’s total advances crossed Rs. 22,577.71 Crores and registered a growth rate of 16.77%.

The Bank has been giving continued thrust on advances to Priority Sectors like Agriculture, MSME, Education, Housing etc. Advances to Priority sector has increased from Rs. 9,564 Crores to Rs. 11,977 Crores with a growth rate of 25.23% and was 60.77% of ANBC as against the RBI mandated minimum requirement of 40%. The Advances to Agriculture sector has increased from Rs. 2,107.68 Crores to Rs. 3,764.61 Crores with a growth rate of 78.61%. The Advances to Agriculture Sector constitute 19.10% of total advances, which is higher than the regulatory requirement of 18%. Credit to MSME sector has increased from Rs. 6,385.34 Crores to Rs. 7,752.79 Crores with the growth rate of 21.42%.

The Gross NPA was at 1.86% of total advances and Net NPA was at 0.89% of total advances.

Interest Income during the year has increased from the level of Rs. 2,835.53 Crores to Rs. 3,252.17 Crores at 14.69%. The Other Incomes were to the tune of Rs. 318.44 Crores. The Interest Expenditure has increased from the level of Rs. 1,952.11 Crores to Rs. 2,208.16 Crores.

The Operating Profit is Rs. 725.49 Crores and the Net Profit for the year is Rs. 402.16 Crores. The Net Interest Income (NII) increased from Rs. 883.42 Crores to Rs. 1044.01 Crores at 18.18%. The per-employee business is Rs. 12.48 Crores and the profit per employee is Rs. 9.48 Lakhs.

The Capital to Risk weighted Assets Ratio (CRAR) as on 31st March 2016 was 12.76%. An interim dividend of Rs. 1,400 per share (14,000%) was declared on Mar 17, 2016. The Book Value per Share has increased to Rs. 1,03,656.00 from Rs. 91,203.00 last year.

Network Expansion:

We have added 57 branches and 135 ATMs during the last financial year. The Bank has geographical presence in 15 states and 4 Union Territories. 7 e-lobbies were opened in Chennai (2 Locations), Guntur, Tiruchirapalli, Madurai, Thoothukudi and Thane. Two Central Retail Asset Processing Cell were opened. As on March 31, 2016, the Bank’s network was at 487 branches and 1015 ATMs. We serve more than 3.4 million delighted customers.

Major initiatives taken during the year 2015-2016:

  • “Lead Bank” for Cash Management in Thoothukudi District.
  • “Authorized Receiving Office” for Government’s Sovereign Gold Bond Scheme.
  • Launched “TMB Happy Family” deposit scheme to cover the accounts of the entire family tree with inbuilt Life, Accidental & Health insurance coverage.
  • Launched “TMB Business Card” (Debit Card) for the business houses with increased transaction limits.
  • Launched Prepaid cards, Gift cards, Campus cards and Fleet cards.
  • Launched 7 IT related Products ie) Tablet Banking, Online Savings Bank & NRI Account Opening, TNEB Bill collection through our ATMs, Accepting Temple donation through our ATMs, Rupay Platinum Debit card, Mudra Debit Card and Virtual Card.
  • Enabled Top-up facility for Prepaid Cards through IMPS (Immediate Payment Service of NPCI).
  • Tied up with Payment Gateway Service Provider namely M/s. Citrus Payment Solutions Private Limited.
  • MOU with following Companies:

    • M/s. ISUZU Motors India Private Ltd. for financing purchases of D Max multi utility pick up vehicle.
    • M/s. Mahindra & Mahindra Ltd. for financing purchase of Commercial Vehicles.
    • M/s. Daimler India Commercial Vehicles Pvt. Ltd. for financing of Bharat Benz range of trucks.
    • M/s. TVS Motor Company Ltd. for financing purchases of Auto rickshaws (TVS King 3 Wheeler products).

Awards and Accolades:

  • Best Bank (Private Sector) award for the year 2014-15, from Lokmat BFSI.
  • 3rd Best Bank in Private Sector Banks for FY 2014-15 instituted by State forum of Bankers club, Kerala.
  • Awarded first prize by NABARD under “Private Sector Commercial Banks” category for excellence in performance under SHG - Bank Linkage Programme in Tamilnadu during the year 2014-15.
  • Bank received Assocham Awards under following categories:

    • Social Banking Excellence Award - 3rd time in a row.
    • Winner under Small Banks category for Government Schemes.
    • Runner up under Small Banks category for Urban Banking.
    • Runner up under Small Banks category for Agricultural Banking.

  • Best Bank (Private Sector) award for the best performance in APY (Atal Pension Yojana).
  • Awarded second position by Pension Fund Regulatory and Development Authority (PFRDA) for the Best performance in NPS in terms of number of branches activated and the number of NPS applications mobilized during the year 2015-16.

Business Plan Targets for the FY 2016-17:

  • Total Business to cross Rs. 60,000 Crores.
  • Total Deposits Rs. 34,500 Crores.
  • Total Advances Rs. 25,500 Crores.
  • CASA Rs. 7,250 Crores.

Business Plan strategies for the FY 2016-17 *:

  • To increase the branch network to 511 by adding 24 new branches and increase the ATM network to 1150 by adding 135 new ATMs.
  • Setting up 2 Regional Offices (Ahmedabad & Salem).
  • Setting up of more SME Branches & CRAPCs.
  • Setting up of 14 more e-Lobbies.
  • Opening one Specialized NRI Branch & 5 NRI cells.
  • Opening 31 Ultra small branches.

Our website provides a wealth of information about the Bank’s products and services. Thank you for sparing your valuable time to visit our Bank’s website.

We look forward to building a long lasting partnership with you and your family.

H.S. Upendra Kamath
Managing Director & CEO

[ CEO Message as narrated on Jun 09, 2015 ]
[ Rs. - Indian Rupee Symbol ]

* Some of the proposed initiatives are subject to appropriate approvals.