MIRA INFORM REPORT
|
Report Date : |
10.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
AXIS BANK LIMITED (w.e.f. 30.07.2007) |
|
|
|
|
Formerly Known
As : |
UTI BANK LIMITED |
|
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|
Registered
Office : |
Trishul 3rd Floor, Opposite, Samartheshwar Temple, Law
Garden, Ellisbridge, Ahmedabad – 380 006, Gujarat |
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|
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|
Country : |
India |
|
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|
Financials (as
on) : |
31.03.2013 |
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|
Date of Incorporation : |
03.12.1993 |
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|
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Com. Reg. No.: |
04-020769 |
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Capital
Investment / Paid-up Capital : |
Rs.4679.545 Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L65110GJ1993PLC020769 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
AHMU00484B / MUMU01693G |
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PAN No.: [Permanent
Account No.] |
AAACU2414K |
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Legal Form : |
A Public Limited Liability Bank. The Bank’s shares are listed on the stock exchanges |
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Line of Business : |
Subject is engaged in Banking Activities. |
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No. of Employees
: |
37901 [Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (77) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
Maximum Credit Limit : |
USD 1300000000 |
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|
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|
Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Exists |
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Comments : |
Subject is the third largest private sector Bank in India. Subject is a well-established and reputed bank having an excellent
track record. The financial position of the bank is sound and healthy. The bank is
progressing very well. Fundamentals are strong and healthy. Directors are reported as experienced and respectable businessmen. Trade relations are reported as trustworthy. Business is active.
Payments are reported to be regular and as per commitments. The bank can be considered excellent for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of 4.9
%, Fitch Rating said. The global rating agency expects the economy to pick up
in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Lower Tier II Bonds Programme: AAA |
|
Rating Explanation |
High degree of safety and carry lowest credit risk. |
|
Date |
March 2014 |
|
Rating Agency Name |
ICRA |
|
Rating |
Certificate of deposit programme: A1+ |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
1 April 2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DECLINED
MANAGEMENT NON – COOPERATIVE (91-79-26409322)
LOCATIONS
|
Registered Office : |
Trishul 3rd Floor, Opposite, Samartheshwar Temple, Law Garden,
Ellisbridge, Ahmedabad – 380 006 Gujarat, India |
|
Tel. No.: |
91-79-26409322 |
|
Fax No.: |
91-79-26409321 |
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E-Mail : |
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Website : |
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Corporate Office : |
Axis House, Bombay Dyeing Mills Compound, Pandurang
Budhkar Marg, Worli, Mumbai – 400 025, Maharashtra, India |
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Tel. No.: |
91-22-24252525 / 43252525 |
|
Fax No.: |
91-22-43251800 |
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|
|
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Central Office : |
131, Maker Tower – F, Cuffe Parade, Colaba, Mumbai – 400 005,
Maharashtra, India |
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Tel. No.: |
91-22-67074407 |
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Fax No.: |
91-22-22186944 / 1429 |
|
|
|
|
Factory : |
Karvy Computershare
Private Limited Plot No. 17 to 24, Vithalrao Nagar, Madhapur, Hyderabad-500081, Andhra
Pradesh, India |
|
Tel. No.: |
91-40-23420815 to 23420824 |
|
Fax No.: |
91-40-23420814 |
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|
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|
List Of Centers: |
Located At ·
Andhra
Pradesh ·
Bihar ·
Arunachal
Pradesh ·
Assam ·
Chattisgarh ·
Dadra
and Nagar UT ·
Daman
and Diu UT ·
Delhi ·
Goa ·
Gujarat ·
Haryana ·
Karnataka ·
Kerala ·
Himachal
Pradesh ·
Jammu Kashmir ·
Jharkhand ·
Maharashtra ·
Madhya
Pradesh ·
Manipur ·
Meghalaya ·
Mizoram ·
Nagaland ·
Orissa ·
Pondicherry
UT ·
Punjab ·
Rajasthan ·
Sikkim ·
Tamil
Nadu ·
Uttarakhand ·
West
Bengal ·
Tripura · Uttar Pradesh Overseas Located At · Singapore · Hong Kong · Dubai · Shanghai · Abu Dhabi · Colombo |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Sanjiv Misra |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mrs. Shikha Sharma |
|
Designation: |
Managing Director and Chief Executive Officer |
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|
Name : |
Mr. K. N. Prithviraj |
|
Designation : |
Director |
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|
Name : |
Mr. V. R. Kaundinya |
|
Designation : |
Director |
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|
Name : |
Mr. S. B. Mathur |
|
Designation : |
Director |
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|
Name : |
Mr. Prasad R. Menon |
|
Designation: |
Director |
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|
Name : |
Mr. R. N. Bhattacharyya |
|
Designation : |
Director |
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|
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|
Name : |
Mr. A. K. Dasgupta |
|
Designation : |
Director |
|
|
|
|
Name : |
Prof. Samir K Barua |
|
Designation: |
Director |
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|
|
|
Name : |
Mr. Som Mittal |
|
Designation : |
Director |
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|
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|
Name : |
Mrs. Ireena Vittal |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Rahit Bhagat |
|
Designation : |
Director |
MANAGEMENT
|
Name : |
Mr. P.J. Oza |
|
Designation : |
Company Secretary |
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|
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|
Name : |
Mr. V. Srinivasan |
|
Designation : |
Executive Director and Head (Corporate Banking) |
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|
Name : |
Mr. Somnath Sengupta |
|
Designation : |
Executive Director and Head (Corporate Centre) |
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|
Name : |
Mr. R. K. Bammi |
|
Designation : |
Executive Director (Retail Banking) |
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|
Name : |
Mr. P. Mukherjee |
|
Designation : |
President – Large Corporate and International Banking |
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|
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|
Name : |
Mr. S. S. Bajaj |
|
Designation : |
President & Chief Audit Executive |
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|
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|
Name : |
Mr. Vinod George |
|
Designation : |
President – Wholesale Banking Operations |
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|
Name : |
Mr. M. V. Subramanian |
|
Designation : |
President – Rural & Inclusive Banking |
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|
Name : |
Mr. S. K. Mitra |
|
Designation : |
President and Head – Distribution |
|
|
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|
Name : |
Mr. B. Gopalakrishnan |
|
Designation : |
President – Law |
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|
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|
Name : |
Mr. Bapi Munshi |
|
Designation : |
President and Chief Risk Officer |
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|
Name : |
Mr. C. Babu Joseph |
|
Designation : |
Executive Trustee and Chief Executive Officer - Axis Bank Foundation |
|
|
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|
Name : |
Mr. Sanjeev K. Gupta |
|
Designation : |
President & Chief Financial Offi cer |
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|
Name : |
Mr. V. K. Bajaj |
|
Designation : |
President – Mid Corporates & SME |
|
|
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|
Name : |
Mr. Sidharth Rath |
|
Designation : |
President – Treasury & Business Banking |
|
|
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|
Name : |
Mr. A. R. Gokulakrishnan |
|
Designation : |
President – Wholesale Banking Operations (Designate) |
|
|
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|
Name : |
Mr. Rajendra D. Adsul |
|
Designation : |
President – SME |
|
|
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|
Name : |
Mr. R. V. S. Sridhar |
|
Designation : |
President – IT & Retail Operations |
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|
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|
Name : |
Mr. Lalit Chawla |
|
Designation : |
President - Corporate Credit |
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|
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|
Name : |
Mr. Rajesh Kumar Dahiya |
|
Designation : |
President - Human Resources |
|
|
|
|
Name : |
Dr. Sanjiv Misra |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mrs. Shikha Shrma |
|
Designation : |
Managing Director and Chief Executive Officer |
|
|
|
|
Name : |
Mr. Sharad Bhatia |
|
Designation : |
President – Stressed Assets |
|
|
|
|
Name : |
Mr. Rajiv Anand |
|
Designation : |
President – Retail Banking |
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|
|
|
Name : |
Mr. Jairam Sridharan |
|
Designation : |
President – Consumer Lending |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2014
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
138782393 |
30.53 |
|
|
138782393 |
30.53 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
138782393 |
30.53 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
17186979 |
3.78 |
|
|
264882 |
0.06 |
|
|
29461712 |
6.48 |
|
|
229014985 |
50.38 |
|
|
391495 |
0.09 |
|
|
276320053 |
60.79 |
|
|
|
|
|
|
6785316 |
1.49 |
|
|
|
|
|
|
16709096 |
3.68 |
|
|
10596990 |
2.33 |
|
|
5336926 |
1.17 |
|
|
269825 |
0.06 |
|
|
821703 |
0.18 |
|
|
2935262 |
0.65 |
|
|
9274 |
0.00 |
|
|
430564 |
0.09 |
|
|
870298 |
0.19 |
|
|
39428328 |
8.67 |
|
Total Public shareholding (B) |
315748381 |
69.47 |
|
Total (A)+(B) |
454530774 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
15313779 |
0.00 |
|
|
15313779 |
0.00 |
|
Total (A)+(B)+(C) |
469844553 |
0.00 |
SHAREHOLDING OF SECURITIES (INCLUDING SHARES, WARRANTS,
CONVERTIBLE SECURITIES) OF PERSONS BELONGING TO THE CATEGORY PROMOTER AND
PROMOTER GROUP
|
No. |
Name of the
Shareholder |
Details of Shares
held |
|
|
No. of Shares held |
As a % of grand total
(A)+(B)+(C) |
||
|
1 |
Administratror of the specified undertaking of the Unit Trust of India - (SUUTI) |
5,49,68,181 |
11.70 |
|
2 |
Life Insurance Corporation of India |
6,39,78,711 |
13.62 |
|
3 |
General Insurance Corporation of India |
82,53,099 |
1.76 |
|
4 |
The New India Assurance Company Limited |
54,89,180 |
1.17 |
|
5 |
National Insurance Company Limited |
34,20,057 |
0.73 |
|
6 |
The Oriental Insurance Company Limited |
13,65,504 |
0.29 |
|
7 |
United India Insurance Company Limited |
13,07,661 |
0.28 |
|
|
Total |
13,87,82,393 |
29.54 |
(*) The term encumbrance has the same meaning as assigned to it in regulation 28(3) of the SAST Regulations, 2011.
SHAREHOLDING OF SECURITIES (INCLUDING SHARES, WARRANTS, CONVERTIBLE
SECURITIES) OF PERSONS BELONGING TO THE CATEGORY PUBLIC AND HOLDING MORE THAN
1% OF THE TOTAL NUMBER OF SHARES
|
l. No. |
Name of the
Shareholder |
No. of Shares held |
Shares as % of
Total No. of Shares |
|
|
1 |
Europacific Growth Fund |
23224864 |
4.94 |
|
|
2 |
Centaura Investments (Mauritius) Pte. Limited |
10718746 |
2.28 |
|
|
3 |
Genesis Indian Investment Company Limited - Genera |
8542861 |
1.82 |
|
|
4 |
ICICI Prudential Life Insurance Company Limited |
9275662 |
1.97 |
|
|
5 |
Lazard Asset Management LLC A/c Lazard Emerging |
6729792 |
1.43 |
|
|
6 |
American Funds Insurance Series International Fund |
6327134 |
1.35 |
|
|
7 |
Government Pension Fund Global |
6606578 |
1.41 |
|
|
8 |
New World Fund Inc |
6622628 |
1.41 |
|
|
9 |
Citigroup Global Markets Mauritius Private Limited |
5506310 |
1.17 |
|
|
10 |
Vanguard Emerging Markets Stock Index Fund Aserie |
5099370 |
1.09 |
|
|
|
Total |
88653945 |
18.87 |
|
DETAILS OF LOCKED-IN SHARES
|
Sl. No. |
Name of the
Shareholder |
No. of Shares |
Locked-in Shares as
% of |
|
1 |
Life Insurance Corporation Of India |
42,40,450 |
0.90 |
|
2 |
General Insurance Corporation Of India |
7,71,990 |
0.16 |
|
3 |
The New India Assurance Company Limited |
3,53,102 |
0.08 |
|
4 |
National Insurance Company Limited |
3,63,157 |
0.08 |
|
5 |
United India Insurance Company Limited |
1,09,246 |
0.02 |
|
|
Total |
58,37,945 |
1.24 |
DETAILS OF DEPOSITORY RECEIPTS (DRS)
|
Sl. No. |
Type of Outstanding
DR (ADRs, GDRs, SDRs, etc.) |
No. of Outstanding
DRs |
No. of Shares
Underlying |
Shares Underlying
Outstanding DRs as % of Total No. of Shares |
|
1 |
GDRs |
1,53,13,779 |
1,53,13,779 |
3.26 |
|
|
Total |
1,53,13,779 |
1,53,13,779 |
3.26 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in Banking Activities. |
GENERAL INFORMATION
|
No. of Employees : |
37901 [Approximately] |
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|
Bankers : |
Reserve Bank of India |
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Facilities : |
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Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
|
|
|
Subsidiary Companies: |
|
|
Associate: |
|
|
|
|
|
Promoters: |
|
CAPITAL STRUCTURE
AFTER 19.07.2013
Authorised Capital : Rs. 8500.000 Millions
Issued, Subscribed & Paid-up Capital : Rs. 4696.027
Millions
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
850000000 |
Equity Shares |
Rs.10/- each |
Rs. 8500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
467954468 |
Equity Shares |
Rs.10/- each |
Rs. 4679.545
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
Particulars |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
CAPITAL AND LIABILITIES |
|
|
|
|
Capital |
4679.545 |
4132.039 |
4105.458 |
|
Reserves and Surplus |
326399.054 |
223953.384 |
185882.797 |
|
Deposits |
2526135.881 |
2201043.033 |
1892378.010 |
|
Borrowings |
439510.984 |
340716.721 |
262678.824 |
|
Other Liabilities and
Provisions |
108881.120 |
86432.757 |
82088.627 |
|
TOTAL |
3405606.584 |
2856277.934 |
2427133.716 |
|
|
|||
|
ASSETS |
|
|
|
|
Cash and Balances with
Reserve Bank of India |
147920.883 |
107029.214 |
138861.630 |
|
Balances with Banks and
Money at Call and Short Notice |
56428.716 |
32309.943 |
75224.929 |
|
Investments |
1137375.370 |
931920.859 |
719916.208 |
|
Advances |
1969659.574 |
1697595.386 |
1424078.286 |
|
Fixed Assets |
23556.420 |
22593.250 |
22731.456 |
|
Other Assets |
70665.621 |
64829.282 |
46321.207 |
|
TOTAL |
3405606.584 |
2856277.934 |
2427133.716 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Interest Earned |
271825.744 |
219946.474 |
151548.058 |
|
|
|
Other Income |
65511.063 |
54202.163 |
46321.338 |
|
|
|
TOTAL |
337336.807 |
274148.637 |
197869.396 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Interest Expended |
175163.111 |
139769.024 |
85918.230 |
|
|
|
Operating Expenses |
69142.375 |
60070.995 |
47794.281 |
|
|
|
Provisions and contingencies |
41236.992 |
31886.564 |
30271.979 |
|
|
|
TOTAL |
285542.478 |
231726.583 |
163984.490 |
|
|
|
|
|
|
|
|
|
PROFIT / [LOSS]
BEFORE TAX |
51794.329 |
42422.054 |
33884.906 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / [LOSS]
AFTER TAX |
51794.329 |
42422.054 |
33884.906 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
73294.476 |
49697.707 |
34274.337 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to Statutory Reserve |
12948.583 |
10605.513 |
8471.227 |
|
|
|
Transfer to Investment Reserve |
534.571 |
0.000 |
0.000 |
|
|
|
Transfer to/(from) Investment Reserve |
0.000 |
0.000 |
[149.372] |
|
|
|
Transfer to Capital Reserve |
1414.579 |
519.047 |
47.630 |
|
|
|
Transfer to Reserve Fund |
26.084 |
0.000 |
0.000 |
|
|
|
Transfer to General Reserve |
0.000 |
0.000 |
3388.491 |
|
|
|
Proposed dividend (includes tax on dividend) |
9872.364 |
7700.725 |
6703.560 |
|
|
BALANCE CARRIED
TO THE B/S |
100292.624 |
73294.476 |
49697.707 |
|
|
|
|
|
|
|
|
|
|
Earnings/[Loss]
Per Share (Rs.) |
|
|
|
|
|
|
Basic |
119.67 |
102.94 |
82.95 |
|
|
|
Diluted |
118.85 |
102.20 |
81.61 |
|
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
4105.458 |
4132.039 |
4679.545 |
|
Reserves & Surplus |
185882.797 |
223953.384 |
326399.054 |
|
Net
worth |
189,988.255 |
228,085.423 |
331,078.599 |
|
|
|
|
|
|
Borrowings |
262678.824 |
340716.721 |
439510.984 |
|
Total
borrowings |
262,678.824 |
340,716.721 |
439,510.984 |
|
Debt/Equity
ratio |
1.383 |
1.494 |
1.328 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Interest Earned |
151548.058 |
219946.474 |
271825.744 |
|
|
|
45.133 |
23.587 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Interest Earned |
151548.058 |
219946.474 |
271825.744 |
|
Profit |
33884.906 |
42422.054 |
51794.329 |
|
|
22.36% |
19.29% |
19.05% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES
OF LONG-TERM DEBT DETAILS: NOT AVAILABLE
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if
applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
INDEX
OF CHARGES: NO CHARGES EXIST FOR COMPANY
LITIGATION DETAILS
HIGH COURT OF GUJARAT
CAVEAT (SPECIAL CIVIL APPLICATION) No. 1801 of 2014
|
Status : INACTIVE
|
|
CCIN No :
001025201401801 |
|
|
|||||||||
|
|
|||||||||
|
S.NO. |
Name of the Petitioner |
Advocate On Record |
||||||||
|
1 |
SBS ORGANICS PRIVATE LIMITED |
MRS NISHA M PARIKH for: Caveator(s) |
||||||||
|
S.NO. |
Name of the Respondant |
Advocate On Record |
||||||||
|
1 |
AXIS BANK LIMITED |
|
||||||||
|
|
||||||||||
|
Presented On |
: 16/04/2014 |
Registered On |
: - |
|||||||
|
Bench Category |
: - |
District |
: BHARUCH |
|||||||
|
Case Originated From |
: THROUGH ADVOCATE |
Listed |
: 0 times |
|||||||
|
StageName |
: - |
|||||||||
Office Details
|
|
S. No. |
Filing Date |
Document Name |
Advocate Name |
Court Fee on
Document |
Document Details |
|
1 |
16/04/2014 |
VAKALATNAMA |
MRS NISHA M PARIKH ADVOCATE |
5 |
MRS NISHA M PARIKH(2397) for P:1 |
|
2 |
16/04/2014 |
MEMO OF APPEAL/PETITION/SUIT |
MRS NISHA M PARIKH ADVOCATE |
50 |
MRS NISHA M PARIKH(2397), for P:1 |
BACKGROUND
Subject was
incorporated in 1993 and provides a complete suite of corporate and retail
banking products.
FINANCIAL PERFORMANCE
The Bank continued
to grow steadily, both in business and earnings, in an increasingly competitive
financial market and reported a net profit of Rs.51794.300 Millions for the
year ended 31st March 2013, registering a growth of 22.09% over the net profit
of Rs.42422.100 Millions last year. The strong performance in earnings resulted
from the robust growth across all segments. During the year, the Bank’s total
income increased by 23.05% to reach Rs.337336.800 Millions, compared to
Rs.274148.600 Millions last year. Operating revenue during this period
increased by 20.68% to Rs.162173.700 Millions while operating profit increased
by 25.20% to Rs.93031.300 Millions. The growth in earnings may be attributed to
the performance of the Bank’s core income streams: net interest income (NII),
fee and other income. NII increased by 20.56% to Rs.96662.600 Millions from
Rs.80177.500 Millions last year. Fee, trading and other income increased by
20.86% to Rs.65511.100 Millions from Rs.54202.200 Millions last year. The
increase in earnings was partly offset by an increase in operating expenses by
15.10% to Rs.69142.400 Millions.
During the year,
the growth in NII is attributable to an expansion in the balance sheet size and
healthy lowcost Current Account and Savings Bank (CASA) deposits. During the
year, the total earning assets on a daily average basis increased by 22.64% to
Rs.2737380.000 Millions, compared to Rs.2232060.000 Millions last year. A
steady growth of low-cost CASA deposits, which on a daily average basis
increased to Rs.809410.000 Millions from Rs.708450.000 Millions, helped in
containing the cost of funds, which had risen over the period due to the
hardening of interest rates on term deposits. Overall, the daily average cost
of funds in the year increased to 6.55% from 6.28% last year. During the year,
the cost of deposits increased to 6.73% from 6.47% last year primarily due to
an increase in cost of term deposits by 18 basis points (from 8.92% to 9.10%).
During the same period, the yield on earning assets increased by 9 basis points
to 9.75% from 9.66% last year.
Other income
comprising fees, trading profit and miscellaneous income increased by 20.86% to
Rs.65511.100 Millions in 2012-13 from Rs.54202.200 Millions last year and
constituted 40.40% of the operating revenue of the Bank. Fee income constituted
34.04% of the operating revenue of the Bank and increased by 16.80% to
Rs.55209.300 Millions from Rs.47269.400 Millions last year. The Bank earns fee
income from a diverse set of products and businesses such as client-based
merchant foreign exchange trade, transaction banking (including cash management
services), syndication and placement fees, processing fees from loans and
commission on non-funded products (such as letters of credit and bank
guarantees), inter-change fees on ATM-sharing arrangements and fee income from
the distribution of third-party personal investment products. During the year,
proprietary trading profits increased by 108.71% to Rs.7546.000 Millions from
Rs.3615.600 Millions last year. Miscellaneous income decreased by 16.92% to
Rs.2755.800 Millions from Rs.3317.200 Millions last year mainly due to lower
recoveries of loans/investments written-off in earlier years. During the year,
such recoveries accounted for Rs.2685.100 Millions.
As a result, the
operating revenue of the Bank increased by 20.68% to Rs.162173.700 Millions
from Rs.134379.700 Millions last year. The core income streams (NII, fee and
miscellaneous income) now constitute 95.35% of the operating revenue,
reflecting the sustainability of the Bank’s earnings. Operating expenses
increased by 15.10% to Rs.69142.400 Millions from Rs.60071.000 Millions last
year, largely as a result of the growth of the Bank’s network and other
infrastructure required for supporting the existing and new businesses. The
Cost to Income ratio of the Bank was 42.63% compared to 44.70% last year.
During the year,
the operating profit of the Bank increased by 25.20% to Rs.93031.300 Millions
from Rs.74308.700 Millions last year. During this period, the Bank created
total provisions (excluding provisions for tax) of Rs.17504.400 Millions
compared to Rs.11430.300 Millions last year. The Bank provided Rs.11792.200
Millions towards non-performing assets compared to Rs.8604.300 Millions last
year and Rs.1966.800 Millions towards provision for standard assets compared to
Rs.1503.000 Millions last year. The Bank also provided Rs.1039.500 Millions
compared to Rs.888.600 Millions last year against restructured assets. The Bank
has also created a contingent provision of Rs.3750.000 Millions against
advances and other exposures as a prudent measure. During 2012- 13, the Bank
restructured loans of Rs.21100.900 Millions. The ratio of Gross NPAs to gross
customer assets was 1.06% compared to 0.94% last year and Net NPA ratio (Net
NPAs as percentage of net customer assets) was 0.32% compared to 0.25% last
year. With higher levels of provisions built over and above regulatory norms
during the year, the Bank has maintained its provision coverage to 79.15%
(after considering prudential write-offs).
The healthy growth
in business and revenue has been reflected in a set of financial parameters and
ratios during the year. Basic Earnings Per Share (EPS) was Rs.119.67 compared
to Rs.102.94 last year, while the Diluted Earnings Per Share was Rs.118.85
compared to Rs.102.20 last year. Return on Equity (RoE) was 20.51% compared to
21.22% last year and Book Value Per Share increased from Rs.551.99 to
Rs.707.50. Return on Assets (RoA) is 1.70% compared to 1.68% last year. The net
interest margin (NIM) for the year was 3.53% compared to 3.59% last year.
The Bank displayed
healthy growth in several key balance sheet parameters for the year ended 31st
March 2013. The balance sheet size increased by 19.23% to Rs.3405610.000
Millions on 31st March 2013 from Rs.2856280.000 Millions on 31st March 2012. As
on 31st March 2013, the total deposits of the Bank stood at
Rs.2526140.000 Millions against Rs.2201040.000 Millions last year, increasing
by 14.77% over last year. Savings Bank deposits increased by 23.44% to
Rs.637780.000 Millions, while Current Account deposits increased by 21.55% to
Rs.483220.000 Millions. Low-cost demand deposits: Current Accounts and Savings
Bank (CASA) deposits were Rs.1121000.000 Millions as on 31st March 2013 as
compared to Rs.914220.000 Millions last year, rising 22.62% over the year. As
on 31st March 2013, CASA deposits constituted 44.38% of total deposits as
compared to 41.54% last year. On a daily average basis, Savings Bank deposits
increased by 20.26% to Rs.522430.000 Millions, while Current Account deposits
increased by 4.73% to Rs.286980.000 Millions. The percentage share of CASA in
total deposits, on a daily average basis, was 36.28% compared to 37.65% last
year. In order to broaden the term deposit base, the Bank continued to focus on
increasing the share of retail term deposits in total term deposits. As on 31st
March 2013, the retail term deposits grew 24.37% and stood at Rs.595310.000
Millions, constituting 42.37% of the total term deposits compared to 37.20%
last year. Total advances of the Bank were Rs.1969660.000 Millions as on 31st
March 2013, increasing by 16.03% from Rs.1697600.000 Millions as on 31st March
2012. Of this, corporate advances (comprising large, infrastructure and
mid-corporate accounts) increased 7.89% to Rs.982390.000 Millions and SME loans
increased 25.75% to Rs.299220.000 Millions. Agricultural lending (including
micro finance) stood at Rs.148450.000 Millions, decreasing 14.39% over the last
year. Retail loans increased by 43.62% to Rs.539600.000 Millions. The
percentage share of retail loans to total advances has increased to 27.40% from
22.13% last year. The retail loan portfolio continues to be focused on secured
products. However, a diversification into multiproduct portfolio continued
during the year. Secured loans accounted for 87.14% of the total retail loans.
The total investments of the Bank increased by 22.05% to Rs.1137370.000
Millions and investments in government and approved securities, held mainly for
SLR requirement, increased by 23.89% to Rs.725180.000 Millions. Other
investments, including corporate debt securities, increased by 18.93% to
Rs.412190.000 Millions. As on 31st March 2013, the total assets of the Bank’s
overseas branches stood at Rs.371520.000 Millions, constituting 10.91% of the
Bank’s total assets.
The Bank continued
toenlarge its distribution network by widening its geographical reach, which is
seen to be critical for tapping low-cost CASA deposits, lending to retail,
agriculture and SME segments and the distribution of thirdparty products.
During the year, the Bank added 325 new branches, taking the total number of
branches and extension counters (ECs) to 1,947, of which 883 branches/ECs are
in semi-urban and rural areas and 1,064 branches are in metropolitan and urban
areas. The Bank is present in all the States and Union Territories (except
Lakshadweep), covering a total of 1,263 centres. The Bank also increased its
ATM network to 11,245, as compared to 9,924 ATMs last year. Apart from this,
the Bank has an overseas presence in the form of branches at Singapore, Hong
Kong, DIFC (Dubai International Financial Centre) and Colombo and
representative offices at Shanghai, Dubai and Abu Dhabi.
SUBSIDIARIES
As on 31st March
2013, the Bank has seven subsidiaries: Axis Capital Limited. (formerly Axis
Securities and Sales Limited.), Axis Finance Private Limited. (formerly Enam
Finance Private Limited.), Axis Private Equity Limited., Axis Trustee Services
Limited., Axis Asset Management Company Limited., Axis Mutual Fund Trustee
Limited., and Axis U.K. Limited.
Axis Capital
Limited. was primarily in the business of marketing of credit cards and retail
asset products and also provides retail broking services. Pursuant to receipt
of regulatory approvals to the Revised Scheme of Arrangement, certain
businesses of Enam Securities Private Limited. were demerged into Axis Capital
Limited., with effect from 20th October 2012. Consequently, Axis Capital
Limited. now also provides services relating to investment banking, equity
capital markets, institutional stock broking, mergers and acquisition, etc.
During the year, the Bank also acquired the entire share capital of Axis
Finance Private Limited., a wholly owned subsidiary of Axis Capital Limited.,
and pursuant to such acquisition, Axis Finance Private Limited. has become a
direct subsidiary of the Bank. Axis Finance Private Limited., is a NBFC and
carries on the activities of loan against shares, margin funding, IPO financing
etc. Axis Private Equity Limited. primarily carries on the activities of
managing equity investments and provides venture capital support to businesses.
Axis Trustee Services Limited. is engaged in trusteeship activities (e.g.
acting as debenture trustee and as trustee to various securitisation trusts).
Axis Asset Management Company Limited. undertakes the activities of managing
the mutual fund business. Axis Mutual Fund Trustee Limited. was formed to act
as the trustee for the mutual fund business. Axis U.K. Limited. had filed an
application with the Financial Services Authority (FSA), UK for a banking
license and to create the necessary infrastructure for banking business. Till
the 31st March 2013, pending receipt of the approval, it did not commence
operations. Approval has been received from the FSA on the 19th April, 2013 to
commence banking operations and subsequently, the name of the Company has been
changed to Axis Bank UK Limited.
In terms of the
General Circular No. 2/2011 dated 8th February 2011 issued by the Ministry of
Corporate Affairs, Government of India, the copies of Directors’ Reports,
Auditors’ Reports and the financial statements of the seven subsidiaries have
not been attached to the accounts of the Bank for the financial year ended 31st
March 2013. Any shareholder who may be interested in obtaining a copy of the
aforesaid documents may write to the Company Secretary at the Registered Office
of the Bank. These documents will also be available for examination by
shareholders of the Bank at its Registered Office. The documents related to
individual subsidiaries will similarly be available for examination at the
respective registered offices of the companies. In line with the Accounting
Standard 21 (AS 21) issued by the Institute of Chartered Accountants of India,
the consolidated financial
results of the Bank along with its subsidiaries for the year ended 31st
March 2013.
MANAGEMENT’S DISCUSSION
AND ANALYSIS
MACRO-ECONOMIC
ENVIRONMENT
Fiscal 2012-13 saw
Gross Domestic Product (GDP) growth falling to 5.0% from 6.2% in the previous
year. Persisting high inflation, macro-economic imbalances, including fiscal
and current account deficits resulted in a tight monetary policy stance for
much part of the year. Investment dropped sharply due to high interest rates
and project implementation bottlenecks resulting in the growth slowdown. A
decline in the country’s exports – the result of declining domestic
competitiveness and a slowing global economy, together with high imports has
led to deterioration in the Current Account Deficit (CAD). Reduced capital
inflows also led to a sharp depreciation of the Rupee.
Subsidies rose to
2.6% in fiscal 2012-13 from 1.4% of GDP in the previous year, with both the
fiscal deficit and inflation remaining at elevated levels. As part of the
process of reforms and with a view to restoring investor confidence, the
government has taken a number of measures since September 2012 including the
partial de-regulation of diesel prices, capping of subsidies of LPG and
liberalisation of FDI in multi-brand retail and aviation. The government has
made fiscal discipline a key objective and the deficit for fiscal 2013-14 has
been budgeted at 4.8% of GDP, lower than 5.2% declared for the previous year.
Credit growth fell
to less than 15% and in the absence of fresh investments and monetary policy
easing in fiscal 2013-14 may slow down further. Deposit growth in the banking
sector, which remains the primary channel of financial intermediation, also
witnessed a slowdown in fiscal 2012-13. Aggregate deposits outstanding were
Rs.67.51 lac crores as on 22nd March 2013 growing 14.3% year-on-year while
non-food bank credit grew 14% to Rs.51.66 lac crores.
PROSPECTS FOR
FISCAL 2013-14
Moderate global
economic recovery and measures to revive domestic growth are likely to improve
economic conditions and sentiment in India in fiscal 2013-14. Core inflation is
likely to decline gradually and remain range-bound thereafter. India’s Current
Account Deficit (CAD) is likely to reduce gradually as a result of the measures
initiated by the government and the RBI. Improvement in exports will act as a
further impetus to domestic growth. The steps taken to revive investment,
including monetary policy easing and liquidity infusion and progressive
infrastructure de-bottlenecking is likely to increase capacity expansion.
Recent measures by the government, including actions by the Cabinet Committee
on Investments (CCI) and prospective award of road contracts is likely to boost
the projects being implemented. As a result, GDP may potentially rise to around
6% in fiscal 2013-14.
With households
re-allocating their savings from physical to financial assets and with
improvement in financial performance by corporates, higher foreign capital
inflows as well as better cash management by the government, it is hoped that
there will be an increase in financial savings that would support deposit
growth and improve systemic liquidity. For fiscal 2013-14, we expect deposit
growth to be 14-15% and non-food bank credit to be around 15-16%. The
challenging conditions have enabled Indian corporates to become more
competitive and efficient that will help them benefit from a cyclical upturn.
OVERVIEW OF
FINANCIAL AND BUSINESS PERFORMANCE
In a year in which
the banking sector in the country has faced increasing strain, from tight
liquidity conditions, hardening interest rates, slowdown in capital
expenditure, rising delinquencies and high incidence of assets being
restructured, the Bank has reported a strong performance, sustained by its
fundamental strengths - a sound infrastructure in the form of a well laid-out
retail franchise and a large number of corporate relationships.
The Bank has
registered robust growth in both business and revenues. The total assets of the
Bank as on 31st March 2013 were Rs.3405610.000 Millions, increasing 19.23% over
the year, with the total deposits of the Bank rising 14.77% to Rs.2526140.000
Millions and the total advances rising 16.03% to Rs.1969660.000 Millions as on
31st March 2013. During the year, the total income of the Bank increased 23.05%
to Rs.337340.000 Millions, while operating revenue increased 20.68% to
Rs.162170.000 Millions. The net profit rose 22.09% to Rs.51790.00 Millions from
Rs.42420.000 Millions in the previous year.
The Bank continued
to create shareholder value, as a result of which the diluted earnings per
share for the year increased to Rs.118.85 from Rs.102.20 last year, while the
book value per share increased to Rs.707.50 from Rs.551.99 last year.
BUSINESS OVERVIEW
An overview of
various business segments along with the performance during 2012-13 and their
future strategies is presented below.
RETAIL BANKING
The Bank aims to
increase its share in the financial services sector by continuing to build a
strong retail franchise. The segment continues to be one of the key drivers of
the Bank’s growth strategy, encompassing a wide range of products delivered
through multiple channels to customers. The Bank offers a complete suite of
products across deposits, loans, investment solutions, payments and cards and
is committed to developing long-term relationships with its customers by
providing high-quality services.
The Bank pursues
an effective customer segmentation strategy, the success of which is reflected
in the fact that Savings Bank deposits grew at a Compounded Annual Growth Rate
(CAGR) of 26.13% over the last five years. During the year, Savings Bank
deposits grew 23.44% to Rs.637780.000 Millions from Rs.516680.000 Millions last
year. On a daily average basis, Savings Bank deposits grew 20.26% to
Rs.522430.000 Millions. The Bank has also maintained its approach in increasing
the proportion of Retail Term Deposits. On the 31st March 2013, retail term
deposits grew 24.37% year-on-year to Rs.595310.000 Millions, constituting
42.37% of total term deposits, compared to 37.20% last year.
Likewise, the Bank
continued to focus on increasing its share of retail loans in total advances.
The retail loans of the Bank grew 43.62% to Rs.539600.000 Millions as on 31st
March 2013 from Rs.375700.000 Millions last year. Retail loans constituted
27.40% of the Bank’s total advances as on 31st March 2013, compared to 22.13%
last year of which secured loans accounted for 87%. The distribution of
specific portfolios within the Retail loan segment as on 31st March 2013 was as
follows: home loans - 65%, loans against property - 7%, auto loans - 14%,
personal loans and credit cards - 9%.
The Bank sources
retail loans through 120 Asset Sales Centres operating out of 96 cities with
standardised appraisal and oversight mechanisms. Retail loans are also
originated from 1,183 branches through which one-third of incremental retail
loans are currently sourced. The cards business is an integral part of the
Bank’s retail strategy with ever-increasing numbers of transactions moving to
the electronic mode. The Bank is one of the largest debit card issuers in the
country, with a base of 14.290 Millions, which rose from 12.499 Millions at the
end of last year. With more than a million cards in force, the Bank is now the
sixth largest credit card issuer in the country. The Bank has also emerged as
one of the largest acquirers in the country with an installed base of 2.16 lac
point-of-sale terminals. During the year, the Bank also launched mobile POS.
To Indians living
and working overseas, the Bank offers a complete suite of banking and
investment products under its NRI Services. The Bank has 49 branches authorised
to issue Portfolio Investment Scheme (PIS) permissions to NRIs/PIOs who wish to
trade in the Indian secondary markets through registered stock brokers on
recognised stock exchanges. To support the business, the Bank has launched a
24x7 integrated helpdesk for NRI customers with the facility of toll-free
numbers from key geographies. As on 31st March 2013, the Bank’s aggregate NRI
deposits (Savings + Term Deposits) stood at Rs.131040.000 Millions against
Rs.86240.000 Millions last year. The Bank also offers products in the area of
retail forex and remittances, including travel currency cards, inward and
outward wire transfers, travellers cheques and foreign currency notes,
remittance facilities through online portals as well as through collaboration
with correspondent banks, exchange houses and money transfer operators. The
Bank continued to have a market leadership position in Travel Currency Cards
with 11 currency options other than INR being offered. The Bank is planning to
introduce two new currency options New Zealand Dollar (NZD) and Thai Baht
(THB). Additionally, the Bank also launched a multi-currency card specifically
aimed at corporates and business travellers. The aggregate load value on Travel
Currency Cards crossed USD 3 billion during the year.
‘Axis Bank
Privée’, a business vertical offers private banking solutions to meet the
personalised investment needs of high net worth individuals as well as the
corporate advisory needs of families in business. Axis Bank Privée brings
solutions offered by various business groups (retail and corporate) within the
Bank and various group entities under one integrated platform.
The Bank also
distributes third party products such as mutual funds, Bancassurance products
(life and general insurance), online trading and gold coins through its
branches. The Bank is one of the leading banking distributors of mutual funds
in India and distributes mutual fund products of all major asset management
companies. These products are sold through the Bank’s branch distribution
network based on client requirements. The Bank also distributes life insurance
products of Max Life Insurance Company and during the year, it sold more than
1.86 lac policies with a premium mobilisation of Rs.7906.200 Millions. During
the year, the Bank entered into an arrangement with Tata AIG General Insurance
Company Limited to distribute general insurance products. The Bank offers
online trading services to its customers in collaboration with Axis Capital
Limited. (a 100% subsidiary of the Bank) under the name Axis Direct, an
enhanced and simplifi ed Online Trading platform which is now available to NRI
customers. During the year, 148,390 online trading accounts were opened, taking
the total number online trading accounts to 297,069 as on 31st March 2013. The
Bank also sold gold and silver bars to retail and corporate customers under the
brand ‘Mohur’ through its branches.
During the year,
the Bank added 325 branches spread across 279 centres. The Bank added 1,321
ATMs during the year to reach a network size of 11,245 as on 31st March 2013
compared to 9,924 ATMs last year. The Bank has deployed 550 Automated Deposit
Machines (for cash deposits into customer accounts) and has extended this
facility 24X7 in certain branches which have integrated self-service lobbies.
Besides the ATM network, internet banking, mobile banking and phone banking
have developed as important alternate channels of the Bank.
BUSINESS BANKING
Business Banking offers
transactional banking services, leveraging upon the Bank’s network and
technology. Its initiatives focus on procurement of low-cost funds by offering
a range of current account products and cash management solutions across all
business segments covering corporates, institutions, central and state
government ministries and undertakings as well as small and retail business
customers. Product offerings of this business segment aim at providing
customised transactional banking solutions to fulfil customer’s business
requirement. Cross-sell of transactional banking products, product innovation
and a customer-centric approach have succeeded in growing current account
balances and realisation of transaction banking fees. As on 31st March 2013,
balances in current accounts increased by 21.55% and stood at Rs.4832.200
Millions compared to Rs.3975.400 Millions last year. On a daily average basis,
current accounts balances grew by 4.73% to Rs.286980.000 Millions compared to
Rs.274030.000 Millions last year.
In the cash
management services (CMS) business, the Bank focuses on offering customised
service to its customer to cater to specific corporate requirements and improve
the existing product line to offer enhanced features to customers. The Bank is
also focusing on host-to-host integration for both collections and payments,
such as IT integration between corporates and the Bank for seamless
transactions and information flow. The Bank provides comprehensive structured
MIS reports on a periodic basis, for better accounting and reporting. CMS
continued to constitute an important source of fee income and contributed
significantly to generate low cost funds. The Bank is one of the top CMS
providers in the country with the number of locations covered under CMS increased
to 890 from 801 last year. The number of CMS clients has grown to 15,818 from
11,548 last year.
The Bank has been
acting as an agency bank for transacting government business to various central
government ministries, departments, state governments and union territories.
The Bank accepts income and other direct taxes through 406 authorised branches
at 225 locations and central excise and service taxes though 56 authorised
branches at 14 locations including e-payments. The Bank also handles the
disbursement of civil pension through all its branches and defence pension
through 151 authorised branches. In addition, the Bank provides collection and
payment services to four central government ministries/departments and 13 state
governments and union territories. The Bank is associated with 11 state
governments towards undertaking Electronic Benefi t Transfer (EBT) projects for
disbursement of government benefits (wages under MGNREGS and Social Security
Pension (SSP)) through direct credit to beneficiary bank accounts under smart
card based IT enabled financial inclusion model. The total government business
throughput during the year was Rs.926800.000 Millions.
The Bank is a
SEBI-registered custodian and offers custodial services to both domestic and
offshore customers. As on 31st March 2013, the Bank held assets worth
approximately Rs.125110.000 Millions under its custody, registering a growth of
6% over last year.
INVESTMENT BANKING
The Bank’s investment
banking business comprises equity capital markets, mergers and acquisitions and
private equity syndication. The Bank is a SEBI registered Category-1 Merchant
Banker and has been active in advising Indian corporates in raising equity
through Pre-IPOs, IPOs/FPOs, QIPs, Rights issue etc. The Bank has built strong
relationships with Indian companies, becoming an effective bridge between such
corporates and FIIs, DIIs and domestic retail investors. During the year, the
Bank closed 2 IPOs of non-convertible debentures aggregating over Rs.8000.000
Millions and managed buyback of shares transaction aggregating Rs.500.000
Millions. The private equity advisory team handles mandates on behalf of SME
and mid-corporate clients for helping them to raise equity. Pursuant to the
receipt of necessary approvals from various regulatory authorities, the
demerger of certain financial services business undertaken by Enam Securities
Private Limited. (ESPL) to the Bank’s wholly owned subsidiary Axis Capital
Limited. (formerly Axis Securities and Sales Limited.) has been concluded on
20th October 2012 and thus the Investment Banking business of the Bank is now
being carried out from Axis Capital Limited.
INTERNATIONAL
BANKING
The international
operations of the Bank have generally catered to Indian corporates who have
expanded their business overseas. The overseas network of the Bank currently
spans the major financial hubs in Asia. The Bank now has a foreign network of
four branches at Singapore, Hong Kong, DIFC-Dubai and Colombo (Sri Lanka), and
three representative offices at Shanghai, Dubai and Abu Dhabi, besides
strategic alliances with banks and exchange houses in the Gulf Co-operation
Council (GCC) countries. While branches at Singapore, Hong Kong, DIFC-Dubai and
Colombo enable the Bank to partner with Indian corporates doing business
globally and primarily offer corporate banking, trade finance, treasury and
risk management solutions, the Bank also offers retail liability products from
its branches at Hong Kong and Colombo. The representative offices and strategic
alliances with banks and exchange houses in the GCC countries cater to the
large Indian diaspora and promote the Bank’s NRI products. With management of
liquidity being a major challenge in the present global markets, the Bank
consciously restrained its asset growth at the overseas centres to report an
asset size of USD 6.84 billion as at 31st March 2013 vis-à-vis USD 6.35 billion
as at 31st March 2012. Further, interactions are also in progress with China Banking
Regulatory Commission (CBRC) for upgrade of the Shanghai Representative Office
into a branch.
UNAUDITED
FINANCIAL RESULTS FOR THE YEAR ENDED 31st MARCH, 2014
(Rs. In Millions)
|
PARTICULARS |
for the quarter ended 31.03.2014 |
for the quarter ended 31.12.2013 |
for the year ended 31.03.2014 |
|
|
|
|
|
|
1. Interest earned (a)+(b) + (c) + (d) |
79652.300 |
77891.300 |
306411.600 |
|
(a) Interest/discount on advances/bills |
58097.800 |
555572.500 |
219504.300 |
|
(b) Income on Investments |
20749.100 |
21104.100 |
83431.300 |
|
(c) Interest on balances with Reserve Bank of
India and other inter-bank funds |
489.300 |
487.700 |
1667.900 |
|
(d) Others |
316.100 |
727.000 |
1808.100 |
|
2. Other Income (Refer note 2 ) |
22134.000 |
16444.2000 |
74052.200 |
|
3. TOTAL INCOME (1+2) |
101786.300 |
94335.500 |
380463.800 |
|
4. Interest Expended |
47994.800 |
48051.200 |
186895.200 |
|
5. Operating expenses |
21314.400 |
20134.000 |
79007.700 |
|
(i) Employees cost |
6592.500 |
6551.000 |
26013.500 |
|
(ii) Other operating expenses |
14721.900 |
13583.000 |
52994.200 |
|
6. TOTAL EXPENDITURE (4+5) (Excluding Provisions
and Contingencies) |
69309.200 |
68185.200 |
265902.900 |
|
7. OPERATING PROFIT (3-6) (Profit before
Provisions and Contingencies) |
32477.100 |
26150.300 |
114560.900 |
|
8. Provisions (other than tax) and
Contingencies (Net) |
5052.300 |
2024.900 |
21074.600 |
|
9. Exceptional Items |
-- |
-- |
-- |
|
10. Profit/(Loss) from Ordinary Activities
before Tax (7-8-9) |
27424.800 |
24125.400 |
93486.300 |
|
11. Tax expense |
9001.600 |
8084.300 |
31309.600 |
|
12. Net Profit/(Loss) from Ordinary Activities
after Tax (10-11) |
18423.200 |
16041.100 |
62176.700 |
|
13. Extraordinary Items (net of tax expense) |
-- |
-- |
-- |
|
14. Net Profit/(Loss) for the period (12-13) |
18423.200 |
16041.100 |
62176.700 |
|
15. Paid-up equity share capital (Face value
Rs.10/- per share) |
4698.400 |
4692.500 |
4698.400 |
|
16. Reserves excluding revaluation reserves |
|
|
|
|
17. Analytical Ratios |
|
|
|
|
(i) Percentage of Shares held by Government
of India |
NIL |
NIL |
NIL |
|
(ii) Capital Adequacy Ratio |
|
|
|
|
- Basic |
16.97% |
16.02% |
16.97% |
|
- Diluted |
16.07% |
15.50% |
16.07% |
|
(iii) Earnings per Share (EPS) for the
period/year (before and after extraordinary items) - Basic - Diluted |
39.25 39.16 |
34.19 34.13 |
132.56 132.23 |
|
(iv) NPA
Ratios |
|
|
|
|
(a) Amount
of Gross Non Performing Assets |
31464.100 |
30082.000 |
31464.100 |
|
(b) Amount
of Net Non Performing Assets |
10246.200 |
10034.300 |
10246.200 |
|
(c) % of
Gross NPAs |
1.22 |
1.25 |
1.22 |
|
(d) % of
Net NPAs |
0.40 |
0.42 |
0.40 |
|
(v) Return
on Assets (annualized) |
2.01 |
1.79 |
1.78 |
|
18. Public
Shareholding # - Number of shares |
315748381 |
291965855 |
315748381 |
|
-
Percentage
of shareholding |
67.20% |
62.22% |
67.20% |
|
19.
Promoters and promoter group shareholding# |
|
|
|
|
Pledged/Encumbered |
|
|
|
|
- Number of shares |
NIL |
NIL |
NIL |
|
- Percentage of shares (as a % of the
total shareholding of promoter and promoter group) |
-- |
-- |
-- |
|
- Percentage of shares (as a % of the
total share capital) |
-- |
-- |
-- |
|
Non
Encumbered |
|
|
|
|
- Number of shares |
138782393 |
158962635 |
138782393 |
|
- Percentage of shares (as a % of the
total |
100.00% |
100.00% |
100.00% |
|
shareholding
of promoter and promoter group) |
29.54% |
33.88% |
29.54% |
# excludes shares
held by custodian against which Global Depositary Receipts have been issued.
1. Statement of Assets
and Liabilities of the Bank as on 31st MARCH, 2014 is given below.
(Rs. In Millions)
|
Particulars |
31.03.2014 |
|
|
|
|
CAPITAL
AND LIABILITIES |
|
|
Capital |
4698.400 |
|
Reserves
and Surplus |
377506.500 |
|
Deposits |
2809445.600 |
|
Borrowings |
502909.400 |
|
Other
Liabilities and Provisions |
137889.000 |
|
TOTAL |
3832448.900 |
|
ASSETS |
|
|
Cash and
Balances with Reserve Bank of India |
170413.200 |
|
Balances
with Banks and Money at Call and Short Notice |
11973.800 |
|
Investments |
1135484.300 |
|
Advances |
2300667.600 |
|
Fixed
Assets |
24102.100 |
|
Other
Assets |
89807.900 |
|
TOTAL |
3732448.900 |
The figures of last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the end of third quarter of the current financial year.
The Board of Directors has recommended a dividend of Rs. 20 per share (200%) for the year ended March 31, 2014 (previous year Rs. 18 per share (180%)), subject to the approval of the members at the ensuing Annual General Meeting.
The Board of Directors have today considered and approved the sub-division of
one equity share of the Bank having a face value of Rs. 10 each into five
equity shares of face value of Rs. 2 each. The sub-division of shares is
subject to approval of the shareholders and any other statutory and regulatory
approvals, as applicable.
'Other income' includes gains from securities' transactions, commission earned
from guarantees/letters of credit, fees earned from providing services to
customers, selling of third party products, ATM sharing fees.
During the quarter ended March 31, 2014, the Bank allotted 5,98,249 equity
shares pursuant to the exercise of options under its Employee Stock Option
Scheme.
Disclosure
about investor complaints:
|
Complaints
at the beginning of the quarter |
Received
during the quarter |
Disposed
off during the quarter |
Unresolved
as on 31.03.2014 |
|
Nil |
245 |
245 |
NIL |
In accordance with RBI circular dated July 01, 2013, banks are required to make Pillar 3 disclosures under Basel III capital requirements. The Bank has made these disclosures which are available on its website at the following link: http://www.axisbank.com/investor-corner/baselIII-disclosures.aspx. The disclosures have not been subjected to audit by the statutory auditors of the Bank.
The above results have been approved by the Board of Directors of the Bank at
its meeting held on April 25, 2014.
Previous
period figures have been regrouped and reclassified, where necessary, to make
them comparable with current period figures.
SEGMENTAL RESULTS
Rs. In Millions)
|
PARTICULARS |
for the quarter ended 31.03.2014 |
for the quarter ended 31.12.2013 |
for the year ended 31.03.2014 |
|
|
|
|
|
|
Segment
Revenue |
|
|
|
|
Treasury
|
119648.500 |
117371.200 |
463999.800 |
|
Corporate/Wholesale
Banking |
51083.700 |
47490.400 |
194244.400 |
|
Retail
Banking |
61930.900 |
57821.800 |
222590.000 |
|
Other
Banking Business |
61930.900 |
1534.900 |
6668.900 |
|
Total
|
2512.800 |
224218.300 |
887503.100 |
|
Less:
Inter segment revenue |
235175.900 |
129882.800 |
507039.300 |
|
Income
from Operations |
101786.300 |
94335.500 |
380463.800 |
|
Segment
Results After Provisions and Before Tax |
|
|
|
|
Treasury
|
7346.500 |
6961.400 |
23357.400 |
|
Corporate/Wholesale
Banking |
15686.200 |
15272.200 |
58926.000 |
|
Retail
Banking |
2128.000 |
625.100 |
5512.700 |
|
Other
Banking Business |
2264.100 |
1266.700 |
5690.200 |
|
Total
Profit Before Tax |
27424.800 |
24125.400 |
93486.300 |
|
Capital
Employed |
|
|
|
|
Treasury
|
195106.100 |
202644.800 |
195106.100 |
|
Corporate/Wholesale
Banking |
624060.900 |
634058.100 |
624060.900 |
|
Retail
Banking |
(446873.300) |
(479884.600) |
(446873.300) |
|
Other
Banking Business |
3576.800 |
2429.000 |
3576.800 |
|
Unallocated
|
6334.400 |
17239.800 |
6334.400 |
|
Total
|
382204.900 |
376487.100 |
382204.900 |
Note: Previous
period figures have been regrouped and reclassified, where necessary, to make
them comparable with current period figures.
CONTINGENT LIABILITIES
(Rs. in millions)
|
Particulars |
31.03.2013 |
31.03.2012 |
|
Claims against the bank not acknowledged as debts |
1667.558 |
2602.138 |
|
Liability for partly paid investments |
0.000 |
0.000 |
|
Liability on account of outstanding forward exchange and derivative contracts : |
|
|
|
a) Forward Contracts |
2320162.574 |
2009254.981 |
|
b) Interest Rate Swaps, Currency Swaps, Forward Rate Agreement and Interest Rate Futures |
2210541.350 |
1752490.787 |
|
c) Foreign Currency Options |
80228.625 |
130543.459 |
|
Total |
4610932.549 |
3892289.227 |
|
|
|
|
|
Guarantees given on behalf of constituents : |
|
|
|
- In India |
517036.841 |
467505.902 |
|
- Outside India |
111222.144 |
98612.604 |
|
Acceptances, endorsements and other obligations |
228015.939 |
302612.607 |
|
Other items for which the bank is contingently liable |
12283.920 |
38751.269 |
|
Grand Total |
5481158.951 |
4802373.747 |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.05 |
|
|
1 |
Rs.101.65 |
|
Euro |
1 |
Rs.83.07 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYA |
|
|
|
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
77 |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors and their relative weights (as
indicated through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.