The 2012 BT-KPMG Best Banks Study

The Indian banking sector is grappling with heightened risks and profitability has taken a hit. Even in this tough operating environment, however, some have outperformed others. The 2012 BT-KPMG Best Banks Study brings you the cream of the crop.

M.D. Mallya
CMD, Bank of Baroda

Bank of Baroda, led by Chairman & Managing Director M.D. Mallya, retained its top position among large banks in the 2012 BT-KPMG Best Banks Study. The bank also bested its state-owned and private sector peers in three sub-categories: growth, productivity & efficiency, and consistent performance (where it shares the top honours with Axis Bank). During the last financial year, Bank of Baroda posted the highest growth in deposits, at 26 per cent, among all banks. Its cost-to-income ratio was at 0.37, the lowest in the industry.

Rana Kapoor
Founder, MD and CEO, YES Bank

YES Bank, led by founder, MD & CEO Rana Kapoor, emerged the best overall performer among mid-sized banks in the 2012 BT-KPMG Best Banks Study. The bank's operating profit in financial year 2011/12 stood at Rs 1,540 crore, while return on capital employed was at an impressive 23.07 per cent. YES Bank's net non-performing assets were very low, at 0.05 per cent, while its capital adequacy was high, at 17.9 per cent, well above the RBI's requirement of nine per cent.

Kalpana Morparia
CEO, J.P. Morgan India

JPMorgan Chase Bank emerged the best overall performer among small-sized banks in the 2012 BT-KPMG Best Banks Study. It is one of the few banks in India that can boast of zero bad debts. This is despite its advances portfolio growing 31 per cent year-on-year. The bank's profitability is sound as is the quality of its assets. It is one of the top five foreign banks in the country and has 350 MNCs and 200 Indian companies as clients. The bank is positioning itself to offer services to global clients entering India and Indian companies going global.

Vishwavir Ahuja
MD and CEO, Ratnakar Bank

Ratnakar Bank, led by MD & CEO Vishwavir Ahuja, emerged the best in terms of growth among mid-sized banks in the 2012 BT-KPMG Study. The bank recorded a whopping 132 per cent growth in total deposits, 116 per cent growth in loan deposits and a 496 per cent growth in operating profits in financial year 2011/12. It is aggressively adopting technology across operations. And with an IPO on the cards, Ratnakar Bank is looking to sustain its growth trajectory.

Michihiro Enomoto
Regional Executive for India, The Bank of Tokyo-Mitsubishi UFJ Ltd

Bank of Tokyo-Mitsubishi UFJ Ltd emerged the best in terms of growth among small-sized banks in the 2012 BT-KPMG Best Banks Study. Over the years, the bank has successfully diversified its portfolio and added more Indian companies to its client roster. Its total deposits grew 98.52 per cent, fee income rose 132 per cent, and operating profit increase 79 per cent in financial year 2011/12.

Aditya Puri
MD, HDFC Bank
HDFC Bank, led by MD Aditya Puri, was the best performer in terms of Quality of Assets, in the 2012 BT-KPMG Best Banks Study. At 0.18 per cent, its net non-performing assets were the lowest among large banks during the last financial year. HDFC Bank was also able to contain its restructured assets-to-total average loans to 0.09 per cent, again the lowest among large banks. It has recorded a CAGR of some 29 per cent over the past five years.

Ravneet Gill
CEO, Deutsche Bank (India)

Frankfurt-headquartered Deutsche Bank, led by CEO Ravneet Gill in India, was the best mid-sized bank in terms of quality of assets in the 2012 BT-KPMG Best Banks Study. India is the German bank's most profitable emerging market thanks to its prudence in choosing customers. Its non-performing assets grew a paltry 0.15 per cent, while NPA coverage was high, at 91.57 per cent. Deutsche Bank has no restructured loans in its books. The bank, which entered India in 1980, has 17 branches in the country and employs 9,700 people.

Sanjiv Bhasin
General Manager and CEO, DBS Bank India

Singapore headquartered DBS Bank, led by General Manager & CEO Sanjiv Bhasin in India, was the best mid-sized bank in terms of productivity and efficiency in the 2012 BT-KPMG Best Banks Study. It has been growing at a CAGR of 35 per cent over the last five years. Between 2010/11 and 2011/12, the bank's deposit base grew 75 per cent. Advances increased 71 per cent, fee income rose 129 per cent and operating profit jumped 118 per cent. Significantly, the bank's operating profit per employee is the second highest among its peers while its cost to income ratio is third highest.

Sanjeev Mittal
CEO, The Bank of Nova Scotia

The Bank of Nova Scotia, led by CEO Sanjeev Mittal in India, was adjudged the most productive and efficient small bank in the 2012 BT-KPMG Best Banks Study. In line with a global practice, the Canadian bank eschews exotic and volatile revenue streams and has still managed to record 15 per cent year-on-year growth in India. In 2011/12, the bank posted revenue of Rs 515 crore and a profit of Rs 247 crore. The bank has a balance sheet size of Rs 12,400 crore.

Shikha Sharma
MD and CEO, Axis Bank

Axis Bank, led by MD & CEO Shikha Sharma, topped the Consistent Performer category in the 2012 BT-KPMG Best Banks Study, along with Bank of Baroda. In the last three years, the bank recorded an average growth of 27.88 per cent in loans and advances, the highest among large banks. Net interest income was high thanks to good growth in loans and advances. Axis Bank also recorded 27.35 per cent average fee income growth over the past three years.