You are here: Home » Companies » Results
Business Standard

Bank of Baroda Q2 net up 24% at Rs 2,088 cr on robust non-interest income

Non-interest income grew by 23 per cent to Rs 3,579 crore in Q2FY22 from Rs 2,910 crore in Q2FY21 a year ago

Topics
Bank of Baroda | Bank of Baroda results | Q2 results

Abhijit Lele  |  Mumbai 

Bank of Baroda

posted a 24.4 per cent rise in net profit at Rs 2,088 crore in September 2021 quarter (Q2FY22) on robust rise in non-interest income including fees and and recoveries from written-off accounts.

The lender had posted a net profit of Rs 1,679 crore in the second quarter of FY21. Sequentially, net profit rose from Rs 1,209 crore in the first quarter ended June 2021.

The provision for tax fell to Rs 828 crore in Q2FY22 from Rs 872 crore a year earlier.

The BoB stock closed 4.61 per cent lower at 101.45 per share on BSE.

Net Interest Income (NII) for the reporting quarter rose by just 2.11 per cent to Rs 7,566 crore, from Rs 7,410 crore a year ago. However, NII fell from Rs 7,892 crore in Q1FY21. The net interest margin (NIM) rose to 2.85 per cent in Q2FY22 from 2.78 per cent in Q2FY21. NIM declined by 19 basis points from 3.04 per cent in Q1FY22.

Non-interest income grew by 23 per cent to Rs 3,579 crore in Q2FY22 from Rs 2,910 crore in Q2FY21 a year ago. It also rose sequentially from Rs 2,864 crore in June 2021 quarter. The total fee income rose by 5.42 per cent to Rs 1,499 crore. The recovery from the written-off account rose from Rs 341 crore in Q2FY21 to Rs 720 crore in Q2FY22 and trading gains grew by 21.37 per cent to Rs 1,221 crore from Rs 1,006 crore a year ago.

The provisions from non-performing Assets (NPAs) rose by 14.2 per cent to Rs 2,600 crore in Q2FY22 from Rs 2,277 crore a year ago.

Its asset quality improved with gross NPAs declining to 8.11 per cent in September 2021 from 9.14 per cent a year ago and 8.86 per cent in June 2021. However, its net NPAs were up 2.83 per cent in September 2021 from 2.51 per cent in September 2020. It fell from 3.03 per cent in June 2021.

Its advances rose by 2.1 per cent YoY, to Rs 7.34 trillion.

The bank's deposits rose by 0.54 per cent YoY to Rs 9.59 trillion in September 2021. The share of low cost deposits – Current account and Saving Account (CASA) – rose to 41.7 per cent in September 2021 from 36.71 per cent a year ago.

The capital adequacy ratio (CAR) was 15.5 per cent in September 2021 from 13.26 per cent a year ago.


chart

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, November 10 2021. 18:02 IST
RECOMMENDED FOR YOU
.