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Shares of Bank of Baroda jumped as much as 9 per cent after the bank posted a net profit of Rs 506.59 crore in Q4 March 2020 compared with a net loss of Rs 991.37 crore in the same quarter of last financial year. Bank of Baroda (BOB) share was trading at Rs53.15, up 5.35 per cent from its previous close, while the benchmark index, Sensex rose 0.3 per cent to 35499.47.
The bottom line was supported by a Rs2,229.87-crore write-back in provision for taxes against a tax provision of Rs547.13 crore in Q4 FY2019. Fresh slippage for the quarter was at Rs3,050 crore. Provision for NPAs was at Rs3,190 crore for the quarter. The slippage ratio fell to 2.97 per cent in FY2020 compared with 4.34 per cent in FY2019. Credit cost declined to 1.82 per cent in March quarter compared with 3.88 per cent in immediate previous quarter.
Net Interest Income (NII) increased by 5.02 per cent to Rs6,798 in the fourth quarter from Rs6,473 crore in the same period last year. Domestic NIM increased to 2.78 per cent from 2.68 per cent.
The ratio of gross NPAs to gross advances stood at 9.40 per cent as on 31 March 2020 as against 10.43 per cent as on 31 December 2019 and 9.61 per cent as on 31 March 2019. The ratio of net NPAs to net advances came at 3.13 per cent as on 31 March 2020 as against 4.05 per cent as on 31 December 2019 and 3.33 per cent as on 31 March 2019.
