Bank of Baroda back in black in Q1, posts net profit of Rs 1,208 cr

State-owned lender Bank of Baroda (BoB) posted net profit of Rs 1,208 for June 2021 quarter (Q1FY22) as against net loss of Rs 864 crore in the same quarter last year (Q1FY21). The improvement in bottomline is backed by robust rise in net interest income (15 per cent), and other income (63.3 per cent) and dip in provisions.

On Friday, the BoB stock had closed 1.03 per cent up at Rs 83.35 per share on BSE.

Its net interest income (NII) rose by 15.8 per cent in Q1FY22 to Rs 7,892 crore from Rs 6,816 crore in the quarter ended June 2020 (Q1FY21).

The non-interest income rose 63.3 per cent YoY to Rs 2,969 crore, from Rs 1,818 crore in Q1FY21.

Asset quality profile improved with gross non-performing assets down to 8.86 per cent in June 2021, from 9.39 per cent last year. However, Net NPA moved up to 3.03 per cent, from 2.83 per cent in June 2020. Its provision coverage ratio stood at 83.14 per cent in June 2021 as against 83.3 per cent a year ago.

Its provisions and contingencies dipped to Rs 4,111 crore in Q1FY22, as against Rs 5,349 crore in Q1FY21.

The capital adequacy ratio stood at 15.4 per cent in June 2021 up from 12.84 per cent at the end of June 2020.

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