BoB, Allahabad, Andhra Bank

Aditya Pachori12HM03

Bank of Baroda

HistoryFounder – Maharaj of Baroda, H.H. Sir

Sayajirao Gaekwad IIIDate – 20 July 1908Nationalized on 19 July 1969 by GOIRevenue $ 5.3 billion as on 31.3.12Second largest bank after SBIRanked 715 on Fortune Global 2000 listNetwork of 4283 branches(4172 in India)CMD – S S Mundra

M&A1961- New Citizen Bank of India1963- Surat Banking Corporation1964- Umbergaon People’s Bank and Tamil

Nadu Central Bank1975 – management control of Bareilly

Corporation Bank  and Nanital Bank1985 – BoB(20%), BoI, CBI, ZIMCO

established Indo Zambia Bank in Lusaka1988 - Traders Bank (Delhi)

Cont…1990 – Took over London Branches of UBI

and P&S bank1996 – IPO; GOI share 66%1999 -  Bareilly Corporation Bank2002 – Benares State Bank(BSB)2010 - India International Bank Malaysia

(IIBM), BoB owns 40% largest shareholder

Other BusinessBOB Capital Markets (BOBCAPS), wholly

owned subsidiary of Bank of Baroda offers different financial services

India First Life Insurance company JV between BoB, Andhra Bank, UK bases Legal and General

 Baroda Manipal School of Banking, which offers a Postgraduate Diploma in Banking & Finance (PGDBF) from Manipal University

Analysis

2012-13 2012-11 2011-10 2010-09 2009-080.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

13.58% 13.68%14.59%

12.18% 12.09%

CAR

Year

CAR

2012-13 2012-11 2011-10 2010-09 2009-080.00%

0.20%

0.40%

0.60%

0.80%

1.00%

1.20%

1.40%1.28%

0.54%

0.35% 0.34% 0.31%

NPA ratio

Year

NP

A r

ati

o

Cont…NPA Ratio Loans Given increased by 14%Net NPA has increased by 170%- A matter of

concern for Bank

Cont…

2012-2013

2011-2012

2010-2011

2009-2010

2008-2009

0

5

10

15

20

25

30

35

40

45

Asset Reconstruction

Years

Aggre

gate

Pro

fit

2012-13

2012-11

2011-10

2010-09

2009-08

0 0.5 1 1.5 2 2.5

Spread Ratio

RecommendationsFocus on NPANet Profit declined on Y-o-YROA reduced on Y-o-YMore growth avenues need to be expolited

Andhra Bank

HistoryFounder – Dr. Bhogaraju Pattabhi SitarammayaDate – 20 November 1923Medium –PSBRevenue - $1.9 billion as on 31.3.12CMD – B A PrabhakarRanked – 532nd for year 2007 by The BankerAndhra Bank has ranked No.1 in terms of

number of Life Insurance Policies mobilized amongst all the agency banks dealing with the Life Insurance Corporation of India

History and M&A1964- Bharat Lakshmi Bank 1980- Nationalized by GOI2009 - India First Life Insurance company JV

between BoB, Andhra Bank, UK bases Legal and General

the bank also has tie-up with United India Insurance Company Limited under Bancassurance (Non-Life)

2006 – Office in Dubai2009 – New Jersey, USAIndia International Bank Malaysia (IIBM), AB owns

25% shareholdings

Analysis

2012-13

2012-11

2011-10

2010-09

2009-08

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

12.12%13.26%

14.11%13.64%14.97%

CAR ratio

2012-132012-11

2011-102010-09

2009-08

0.69

0.7

0.71

0.72

0.73

0.74

0.75

0.76

0.77

0.78

0.79

0.754947893393838

0.786360417763055

0.775154519689302

0.722291180778896

0.743210054438171

Net Loan to Deposit

Cont…

2012-13 2012-11 2011-10 2010-09 2009-080.00

500.00

1,000.00

1,500.00

2,000.00

2,500.00

Year

NP

As

2012-13 2012-11 2011-10 2010-09 2009-080.00

10000.00

20000.00

30000.00

40000.00

50000.00

60000.00

70000.00

80000.00

90000.00

100000.00

Loans Given

Cont…

2012-13 2012-11 2011-10 2010-09 2009-080.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

2.58%

0.91%

0.38%0.17% 0.18%

NPA ratio

RecommendationsFocus on increasing NPADeclining CAR should be checked cautiouslyNot according to Basel IIIROA has decreased on Y-o-Y

Allahabad Bank

HistoryFounder – Group of EnglishmenDate – 24th April 1865Revenue - $2.6 billion as on 31.3.2012Nationalized on July 19th 1969 by GOICMD – Shubhalakshmi PanseED- T R ChawlaOldest Joint stock bank in IndiaIn 1920, P & O banking corporation acquired

Allahabad bank

Cont…In 1927, Charted Bank of India, Australia and

China acquires P & O bank, however, Chartered Bank continued to operate Allahabad Bank as a separate entity.

1989 - United Industrial Bank1991 – All Bank Finance Ltd wholly owned

Merchant subsidiary of Allahabad bank2002 – IPO2005 – second IPO2006 – Started overseas operations

Analysis

2012-13 2012-11 2011-100.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%3.19%

0.98%0.79%

NPA ratio

Cont…Net NPA increased by 280%Loans Given increased by 16%Lot of existing loans converting into NPAReason – Change of slab by RBI, lazy

management, poor reconstruction etcMatter of worry for bank!!!

Cont…

2012-13 2012-11 2011-1010.50%

11.00%

11.50%

12.00%

12.50%

13.00%

11.38%

12.62%12.76%

CAR

2012-13 2012-11 2011-100.00%

0.20%

0.40%

0.60%

0.80%

1.00%

1.20%

ROA

Holistic PictureBanks Scale of

operationCAR NPA Profitabilit

y

BoB Large Above Average

Cause of worry

Declining

Andhra Bank

Small Average Cause of worry

Declining

Allahabad Bank

Medium Below Average

Cause of worry

Declining

Thank You!!!!