Bank of Baroda posts Rs 1,061 crore net profit in Q3

Bank of Baroda on Wednesday reported a net profit of Rs 1,061 crore for October-December quarter of the ongoing financial year as against a net loss of Rs 1,407 crore in the year-ago quarter. Sequentially, net profit declined 37 per cent from Rs 1,679 crore in the preceding July-September quarter.

On a consolidated basis, the bank's net profit stood at Rs 1,196 crore during the quarter under review as compared with a net loss of Rs 1,219 crore in the corresponding quarter of previous year.

The state-owned bank's net interest income grew 8.65 per cent year-on-year to Rs 7,749 crore during the quarter, while non-interest income rose 5.77 per cent to Rs 2,896 crore.

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Bank of Baroda's domestic CASA (current and savings account) ratio expanded by 240 basis points to 41.20 per cent during the quarter. Its gross NPA (non-performing assets) ratio stood at 8.48 per cent as on December 31, 2020 as against 10.43 per cent a year ago. Net NPA ratio declined to 2.39 per cent from 4.05 per cent as on December 31, 2019.

If not for the Supreme Court (SC) order, directing that the accounts not declared as NPA till August 31, 2020 should not be declared as NPA till further orders, the bank's gross and net NPA ratio would have been at 9.63 per cent and 3.36 per cent, respectively.

"Pending disposal of the case in Hon'ble SC, the bank as a matter of prudence has made a contingent provision of Rs 1521.56 crore...Total additional provision as on 31.12.2020 is Rs 1891.49 crore," Bank of Baroda said.

The bank's provision coverage increased to 85.46 per cent as on December 31, 2020 as compared with 77.77 per cent a year ago.

Shares of Bank of Baroda on Wednesday settled 0.07 per cent higher at Rs 73.85 apiece on the BSE.

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