GTB: FY01 net down by 26% - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

GTB: FY01 net down by 26%

Apr 30, 2001

Global Trust Bank (GTB) has reported a disappointing results for the year ended March '01. The bank's net profits dropped by 26% as a result of higher provision in the current year.

(Rs m) FY00 FY01 Change
Interest Income 6,955 8,975 29.0%
Other Income 1,836 1,644 -10.4%
Expenditure 5,072 6,972 37.5%
Operating Profit (EBDIT) 1,883 2,003 6.4%
Operating Profit Margin (%) 27.1% 22.3%  
Other Expenses 1,239 1,640 32.4%
Profit before Tax 2,480 2,008 -19.1%
Provisions and contingencies 990 1,099 11.1%
Tax 404 105 -74.0%
Profit after Tax/(Loss) 1,086 803 -26.0%
Net profit margin (%) 15.6% 9.0%  
No. of Shares (eoy) (m) 104.0 121.4  
Diluted Earnings per share 9.0 6.6  
P/E (at current price)   4.1  

During the year, the bank's operating margins declined on the back of high cost of deposits and low proportion of retail assets.

GTB's advances and deposits witnessed a growth of 27% and 24% respectively. Its net NPA to advances ratio increased considerably to 3.75% in FY01 from 0.9% in the previous year. This was due to losses made on account of high exposure to capital markets.

At the current market price of Rs 27, GTB is trading at a P/E multiple of 4 times its FY01 earnings. The bank's valuations are comparatively low than its peers in the sector.

Equitymaster requests your view! Post a comment on "GTB: FY01 net down by 26%". Click here!


More Views on News

Union Bank of India Swings to Profit as Asset Quality Improves (Views On News)

Jun 8, 2021

Union Bank's share price up 2% post March quarter earnings.

PNB Reports Profit in March Quarter After Three-Way Amalgamation (Views On News)

Jun 8, 2021

Shares of PNB fell over 2% yesterday despite healthy quarterly results.

Bank of Baroda Shares Plunge 5% After Reporting Huge Loss (Views On News)

May 31, 2021

The stock fell after the bank posted a loss due to higher tax expenses.

India's Largest Bank, SBI Posts Record Profit in Q4 (Views On News)

May 22, 2021

All you need to know about the bank's latest financial results.

How Did Canara Bank Perform in Q4FY21? (Views On News)

May 19, 2021

Key takeaways from Canara Bank Q4FY21 results.

More Views on News

Most Popular

Hotel Stocks Will Reward Investors (Fast Profits Daily)

Jun 8, 2021

This is why I'm bullish on the hotel and hospitality sector.

My 'Unlock' Investments (Fast Profits Daily)

Jun 11, 2021

The best unlock investments you can make in the market.

How I Discovered a 400-Year-Old Open Secret to Extreme Wealth (Profit Hunter)

Jun 11, 2021

Charlie Munger's open secret about investing success.

The Most Visible Sign of India's Revival is on Two Wheels (Profit Hunter)

Jun 9, 2021

Investing in the best stocks could result in wealth compounding on a massive scale.


India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms


  • Track your investment in GLOBAL TR. BANK with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks