The Karnataka Bank Ltd - Stock Valuation and Financial Performance

BSE: 532652 | NSE: KTKBANK | Bank - Private | Small Cap

Karnataka Bank Share Price

232.60 0.40 0.17%
as on 12-Apr'24 10:20

DeciZen - make an informed investing decision on Karnataka Bank

Overall Rating
Bole Toh

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

Semi Strong

The Karnataka Bank stock performance -

mw4me loader
P/E Ratio (SA):
6.32
Market Cap:
8,755.6 Cr.
52-wk low:
127.1
52-wk high:
286.4

Is The Karnataka Bank Ltd an attractive stock to invest in?

1. Is The Karnataka Bank Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that The Karnataka Bank Ltd is a below average quality company.

2. Is The Karnataka Bank Ltd undervalued or overvalued?

The key valuation ratios of The Karnataka Bank Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is The Karnataka Bank Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of The Karnataka Bank Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Karnataka Bank:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
The Karnataka Bank Ltd has not performed well majority of the past ten years indicating its past ten year financial track record is not good
Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Net Interest Income (₹ Cr.)1,0561,1691,3031,4911,8581,9052,0302,1832,4913,1853,325
YoY Gr. Rt. %-10.7%11.5%14.4%24.6%2.6%6.6%7.5%14.1%27.9%-
Total Income4,6945,2055,5355,9956,3786,9087,7367,6377,1768,2139,362
YoY Gr. Rt. %-10.9%6.3%8.3%6.4%8.3%12%-1.3%-6%14.5%-
Adj EPS (₹ ) 12.217.716.314.610.515.413.915.516.437.836.8
YoY Gr. Rt. %-45.2%-8%-10.9%-28%46.6%-9.5%11.7%5.4%131.1%-
BVPS (₹ )119.8133.1144.9151.8160.6172.8176.9198.7213.3246.6267.4
YoY Gr. Rt. %-11%8.9%4.8%5.8%7.6%2.4%12.3%7.3%15.7%-
To view Net Profit/Total Funds (%) Colour Rating Guide click here
Net Profit/Total Funds (%)0.70.90.80.80.50.60.50.60.61.20
To view Net NPA to Net Advances (%) Colour Rating Guide click here
Net NPA to Net Advances (%)1.922.42.6333.13.22.41.71.6
To view Capital Adequacy Ratio (%) Colour Rating Guide click here
Capital Adequacy Ratio (%)-----------

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Net Interest Income13.1%11.4%16.2%27.9%
Total Income6.4%5.2%2%14.5%
Adj EPS13.4%29.3%39.6%131.1%
BVPS8.4%9%11.7%15.7%
Share Price 10.1% 13.7% 55.9% 80%

Key Financial Ratios

RATIOS \ YEARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Interest Earned / Total Income89.2390.2690.1986.585.0485.583.6981.6186.7187.9186.2
Margins To view Margins Colour Rating Guide click here
NIM (%)2.32.42.52.52.82.62.62.833.60
Performance Ratios To view Performance Ratios Colour Rating Guide click here
Return on Equity (%)10.51411.710.86.79.27.98.37.916.513.7
Liquidity Ratio To view Liquidity Ratio Colour Rating Guide click here
CASA (%)25.424.926.3292828.128.931.53333-

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 14.30%

Total Income has increased 2.01 CAGR in last 3 years

Net Profit has increased 39.60 CAGR in last 3 years

Net NPA to Net Advances has declined versus last 3 years average

Total income growth is good in last 4 quarters

No data to display

Latest Financials - The Karnataka Bank Ltd.

Standalone Consolidated
TTM EPS (₹) 36.8 36.8
TTM Sales (₹ Cr.) 8,067 8,067
BVPS (₹.) 267.4 267.4
Reserves (₹ Cr.) 9,706 9,705
P/BV 0.87 0.87
PE 6.32 6.32
From the Market
52 Week Low / High (₹) 127.10 / 286.35
All Time Low / High (₹) 11.17 / 286.35
Market Cap (₹ Cr.) 8,756
Equity (₹ Cr.) 377.1
Face Value (₹) 10
Industry PE 20.2

Management X-Ray of Karnataka Bank:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Karnataka Bank

Adj EPS (Rs.)

Total Income (Cr.)

ROE (%)

BVPS (Rs.)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Income 4,6945,2055,5355,9956,3786,9087,7367,6377,1768,213
Interest Income 4,1894,6984,9925,1855,4245,9066,4756,2326,2227,220
Other Income 5065075438099541,0021,2621,404954993
Expenditure 4,3834,7545,1205,5426,0526,4317,3057,1546,6677,033
Interest Expense 3,1333,5303,6893,6953,5664,0014,4444,0493,7314,035
Operating Expenses 8759029911,3041,3391,4571,6351,6791,8111,969
Provisions3763224395441,1489731,2251,4261,1251,028
Profit Before Tax4095595284683106085226126951,441
Taxes 9810811316-1513190129186261
Profit After Tax 3114514154523264774324835091,180
Adjusted EPS (₹)12.2217.7416.3214.5510.4715.3513.8915.5216.3537.79
Dividend Payout Ratio (%)24%21%23%25%26%21%0%12%24%13%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Share Capital 188188188283283283311311311312
Total Reserves 2,8603,1983,4994,8605,1285,5035,6606,3316,7847,901
Minority Interest0000000000
Deposits40,58346,00950,48856,73362,87168,45271,78575,65580,38787,368
Borrowings 1,9151,0381,0518338163,3264,0651,7652,3141,563
Other Liabilities 1,4821,4041,2731,3301,2761,4831,4931,5531,7891,914
Total Liabilities 47,02951,83756,50064,03970,37479,04683,31385,61591,58499,058

Assets

Balance with RBI 2,1532,4882,6462,9293,5463,4122,7564,8663,9575,204
Balance with Banks18512639934555198163449480955
Investments 15,22714,03216,25720,22015,44416,18517,54521,63522,04123,326
Advances 28,34531,68033,90236,91647,25254,82856,96451,51656,78359,952
Net Block 197292307721762775826838805846
Other Assets9223,2192,9902,9093,3153,6485,0586,3107,5058,746
Total Assets 47,02951,83756,50064,03970,37479,04683,31385,61591,58499,058

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 404648636-184721-2,231-903,369-4671,830
Cash Flow From Investing Activity -54-80-58-40-91-68-56-87-56-87
Cash Flow From Financing Activity 34-291-147453-3032,307-545-885-355-20
Net Cash Flow 3842774312293279-6902,396-8791,723
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Operational & Financial Ratios

EPS (₹)17242216121714161638
DPS (₹)4554340245
BVPS (₹)162180196167177190177199213247

Margin Ratios

Yield on Advances (%)14.814.814.714.111.510.811.412.111.012.0
Yield on Investments (%)7.48.57.77.88.87.88.98.26.26.2
Cost of Liabilities (%)7.47.57.26.45.65.65.95.24.54.5
NIM (%)2.32.42.52.52.82.62.62.83.03.6
Interest Spread (%)7.47.37.67.65.95.25.56.96.57.5

Performance Ratios

ROA (%)0.70.90.80.80.50.60.50.60.61.2
ROE (%)10.514.011.710.86.79.27.98.37.916.5
ROCE (%)12.014.513.710.56.610.38.08.89.417.6

Efficiency Ratios

Cost to Income Ratio (%)56.053.953.756.747.650.149.746.852.647.1
Operating Costs to Assets (%)1.91.71.82.01.91.82.02.02.02.0

Valuation Parameters

Price/Book(x)0.70.70.50.80.70.70.20.30.30.6

The Karnataka Bank Ltd Stock News

The Karnataka Bank Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Karnataka Bank on 12-Apr-2024 10:20 is ₹232.6.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 10:20 the market cap of Karnataka Bank stood at ₹8,755.6.
The latest P/E ratio of Karnataka Bank as of 12-Apr-2024 10:20 is 6.32.
The latest P/B ratio of Karnataka Bank as of 12-Apr-2024 10:20 is 0.87.
The 52-week high of Karnataka Bank is ₹286.4 and the 52-week low is ₹127.1.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Karnataka Bank is ₹8,067 ( Cr.) .

About The Karnataka Bank Ltd

Karnataka Bank Ltd., a leading 'A' Class Scheduled Commercial Bank in India, was incorporated on February 18th, 1924 at Mangaluru, a coastal town of Dakshina Kannada district in Karnataka State. The bank took shape in the aftermath of patriotic zeal that engulfed the nation during the freedom movement of 20th Century India. Over the years the Bank grew with the merger of Sringeri Sharada Bank Ltd., Chitradurga Bank Ltd. and Bank of Karnataka. Presently, it has emerged as a leading financial service institution in India.

Business area of the bank

Personal Banking- Under this Karnataka Bank offers wide range of products and services such as saving accounts, deposit scheme, home loans, education loans, debit card, mobile banking, internet banking and many more. Corporate Banking- It offers spectrum of services to its corporates client such as working capital finance, term loans, Infrastructure finance and other services. For its insurance services it has a tie up with Metlife India Insurance Company and Bajaj Allianz General Insurance Company. It also provides RTGS and Money Transfer Facility to its NRI clients through Western Union Money Transfer.

Awards

2015-16

  • Karnataka Bank Bags MSME Banking Excellence Awards 2015'. -'Karnataka Bank Bags Four Assocham Social Banking Excellence Awards'. -'Karnataka Bank introduced one more new technology based facility 'Online Account Opening'. -Karnataka Bank bags IBA Banking Technology Award. -'Karnataka Bank Launches 'Cash Back Campaign' on VISA Debit Cards'. -Karnataka Bank launches anti-tobacco campaign as part of CSR. - 'Karnataka Bank bags CFBP Jamnalal Bajaj Awards 2015'. -'Karnataka Bank bags IDRBT Banking Technology Award'. -'Karnataka Bank launches 'KBL POS MANAGER' Android Mobile App for its POS (EDC) Merchants'.

2017-18

  • ASSOCHAM Social Banking Excellence Award 2017 under the category “Overall Best Social Bank for Small Bank Class”, received on 17-02-2018.
  • ET NOW BFSI (Banking Financial Services & Insurance) Awards, 2018 under the categories ‘Bank with more Rural Branch expansion’ and ‘Bank with leading Financial Inclusion initiatives’, received on 14-02-2018.
  • Award for achieving 100% Branch activation of the social security scheme Atal Pension Yojana, in the ‘Atal Pension Yojana, People First Campaign - Uttar Pradesh’, organized by PFRDA, received on 06-02-2018.
  • 'Best Financial Services & Foreign Exchange Earner in Southern Region’ award for the year 2016-17 under GOLD Category, instituted by FIEO, received on 18-01-2018.
  • ASSOCHAM India - SMEs Excellence Award 2017, for rendering Excellent Service in SME Sector under Private Sector category, instituted by ASSOCHAM, India, received on 14-12-2017.
  • Appreciation certificate “Impactful Financial Inclusion through Innovations & Process” for the bank’s contribution in the Financial Inclusion space, instituted jointly by Union Bank of India and CNBC TV18, received on 05-12-2017.

2018-19

  • ‘Bank with Best Technology Orientation” and “Best Corporate Social Responsibility Practices” awards instituted by ET NOW – World BFSI Congress, received on 14-02-2019.
  • Award in Atal Pension Yojana “Perform for Pride” Campaign under Branch Category, conducted by PFRDA, received on 11-02-2019.
  • Award in Atal Pension Yojana “Lead to Leap Award” Campaign, conducted by PFRDA, received on 16-11-2018.
  • ASSOCHAM SMEs Excellence Award – 2018, under “Excellent Service (Private Sector)” category, instituted by ASSOCHAM, received on 24-10-2018.
  • Award in Atal Pension Yojana “Winners Arts of Possible” Campaign 2018-19, conducted by PFRDA, received on 05-10-2018.
  • Award in Atal Pension Yojana “Winners of Winning Wednesday” Campaign under Branch Category, conducted by PFRDA, received on 05-10-2018.
  • Award in Atal Pension Yojana “Winners of Winning Wednesday” Campaign under RO Category, conducted by PFRDA, received on 05-10-2018.
  • Best Performing Bank award in the Atal Pension Yojana ‘People First’ campaign at Tamilnadu for 100% Branch Activation of APY scheme, conducted by PFRDA, received on 06-08-2018.
  • Best Performing Bank award in the Atal Pension Yojana ‘Icons of Inspiration’ Campaign held from 14-03-2018 to 31-03-2018, conducted by PFRDA, received on 06-08-2018.
  • ‘Best MSME Bank Award - Runner Up’ instituted by Chamber of Indian Micro Small & Medium Enterprises [CIMSME], received on 20-07-2018.

2019-20

  • Best MSME offering under Private Sector category in ASSOCHAM 7th National MSMEs Excellence Awards, instituted by ASSOCHAM, received on 30-01-2020.
  • Third Best Performed Bank award at National Level under Old Private Sector Bank Category for the year 2018-2019, instituted by State Forum of Bankers’ Clubs, Kerala, received on 15-12-2019.
  • ET Business Excellence Award 2019, in the category “Excellence in Banking Service” received on 19-09-2019.
  • STP Award 2018: In recognition of Bank’s outstanding payment formatting and straight-through rate, instituted by Bank of New York, Mellon.
  • Bank’s in-house magazine ‘ABHYUDAYA ‘- awarded as the Best In House Magazine in the National Awards for Marketing Excellence presented by Business Television India (BTVI).
  • Bank bags Atal Pension Yojana “Game Changers” award instituted by PFRDA on 01-07-2019, for achieving 100% of AAPB target for the FY 2018-19.

2020-21

  • Karnataka Best Employer Brand Awards 2020.
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