Syndicate Bank has revealed its plans to reach a target of Rs 500 to Rs 1,000 crore profit in the financial year 2019-20. With about 200 to 250 branches set to open soon, it will be expanding its network across India, for which it will hire 1200 employees.
While the Bank did suffer losses in the earlier part of 2018-19, with its non-performing assets’ (NPA) situation being far from enviable, things seem to be well under control now. Not only has the NPA come down from 12 per cent to 6.1 per cent, but shares of the Bank have been trading with gains recently (up 2.64 per cent).
In December and March of FY 2018-19, the Bank had shown profits of Rs 108 crore and Rs 128 crore respectively. The NPA is expected to further fall to 5.4 percent in the next couple of years.
With a 36000 strong workforce at present, the Bank is working on enhancing its digital banking section. It is expected to spend between Rs 500 crore and Rs 700 crore on a monthly basis to boost its digital platform.
Its focus on increasing growth in the rural as well as semi-business branches have borne fruit. The Bank has shown significant growth in terms of deposits as well as advances. Syndicate Bank has deposits of about Rs 2.70 lakh crore and advances worth Rs 2.15 lakh crore.