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Bank of Baroda posted an increase of 19.7 per cent in its quarterly net profit at Rs 425.38 crores for the July-September quarter, as it marginally improved the NPA position. The State-owned bank’s net profit in the July-September quarter of 2017-18 was recorded at Rs 355.36 crores. According to the bank’s regulatory filing, consolidated net profit increased by 39.71 per cent Y.o.Y to Rs. 686 crore.”
Bank of Baroda‘s total revenue during the quarter under discussion stood at Rs 13,429.95 crores, as against Rs 12,490.39 crore recorded in the corresponding quarter a year ago. Net Non-Performing Asset (NPA) ratio decreased to 4.86 per cent during the Q2 FY19, from 5.40 per cent registered in the June-end quarter of 2018 and 5.05 per cent in the year-ago same quarter period.
The Bank announced that fresh slippage (new NPA) was at the lowest levels from the last seven quarters at Rs 2,281 crores. The bank also added, “Credit cost decreased to 1.31 per cent in September 2018 from 1.82 per cent last year. Provision for NPAs at Rs 1,467 crore was at a nine-quarter low.”
As per the bank’s statement, the absolute amount of net NPAs also declined by Rs 1,325 crore quarter-on-quarter. Net Interest Margin (NIM) improved to 2.61 per cent in September 2018 from 2.34 per cent in September 2017 but was marginally lower on a quarter on quarter basis.
