J&K Bank aims to achieve total business of Rs 1.70 lakh crore and a net profit of Rs 1,800 crore by 2015-16.
The bank hopes to close fiscal 2013-14 with a net profit of Rs 1260 crore. By netting a profit of Rs 302.66 crore in three months period ending September 30, it registered net profit of Rs 610.58 crore during first six months (April-September) of 2013.14. This is 18.4 per cent higher than corresponding period of previous fiscal 2012-13. Business of the bank has already crossed Rs 1 lakh crore.
Mushtaq Ahmad, Chairman and CEO of the bank has said, "Our focus for the last two quarters has primarily been driven by twin objectives of sustaining growth and maintaining a quality asset book." He also maintained that the emphasis is on an aggressive growth at home turf and improving the network outside the state.
"We are looking at a 1,000-branch bank within three years of which around 800 must operate in J&K and 200 in the rest of the country," he mentioned while talking to reporters. The bank is contemplating to expanding its footprint in Dubai and London.
It continues to be one of the lowest Non Performing Assets (NPAs) banks in India. By the end of the first half of the current fiscal, the gross NPAs stood at 1.69 per cent as the net NPA ratio was at 0.19 per cent. It has managed an NPA coverage ratio is 92.06 per cent which is also an indicator of its best practices in the industry.
The Net Interest Margin (NIM) rose to 4.33 per cent from 3.94 per cent The bank has recorded its net interest income at Rs 681.82 crore, an increase by 23.36 per cent from the last year's Rs 552.67 crore. Bank's per share earnings jumped to Rs 62.43 which makes an appreciation of by 12.28 per cent. Its return on assets is now at 1.86 per cent an improvement over1.79 per cent status of last year.