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Informist, Saturday, Aug 3, 2024

--Bank of India Apr-Jun net profit 17.03 bln rupees vs 15.51 bln

--Bank of India Apr-Jun total income 182.40 bln rupees vs 158.21 bln

--Bank of India Apr-Jun provisions 12.93 bln rupees vs 8.24 bln 

--Bank of India Apr-Jun NPA provisions 12.16 bln rupees vs 7.77 bln  

--Bank of India gross NPA ratio 4.62% as on Jun 30 vs 4.98% qtr ago 

--Bank of India net NPA ratio 0.99% as on Jun 30 vs 1.22% qtr ago 

--Bank of India Basel III capital adequacy ratio 16.18% as on Jun 30 

--Bank of India provision coverage ratio 92.11% as on Jun 30 

--Bank of India current, savings account ratio 42.68% as on Jun 30 

--Bank of India Apr-Jun NII 62.75 bln rupees vs 59.15 bln year ago 

--Bank of India Apr-Jun domestic NIM 3.43% vs 3.37% year ago 

--Bk of India local loans 5.08 trln rupees on Jun 30, up 17.3% on yr 
--Bk of India local deposits 6.48 trln rupees on Jun 30, up 9.9% YoY 

--Bank of India: See domestic loan growth of 15-16% in FY25 
--Bank of India: See global deposit growth of 11-12% in FY25 
--Bank of India: Expect global loan book to grow 13-14% in FY25 
--Bank of India: Seeing good traction in vehicle loan segment 
--Bank of India: RBI draft norms to hit bank's LCR by 10-15% 
--Bank of India: Target gross NPA ratio of 4% by Mar 31 
--CORRECTS: Bk of India eyes 50 bln, not 5 bln, rupees via infra bonds

By Kshipra Petkar
 

MUMBAI - Bank of India reported a net profit of 17.03 bln rupees for Apr-Jun, higher than 15.51 bln rupees a year ago. The rise in total income and improvement in asset quality aided the bottomline.

The total income of the bank was at 182.40 bln rupees for the quarter under review, higher than 158.21 bln rupees a year ago. The net interest income also increased to 62.75 bln rupees from 59.15 bln rupees reported a year ago.

In terms of asset quality, the gross non-performing asset ratio improved to 4.62% as on Jun 30 from 4.98% a quarter ago, and the net non-performing asset ratio also improved to 0.99% as on Jun 30 from 1.22% a quarter ago. The bank aims for a gross non-performing asset ratio of 4% in the current financial year.

The bank's Apr-Jun provisions were up 56.9% on year to 12.93 bln rupees. Sequentially, they fell by 29.17%. The provisions for non-performing assets increased to 12.16 bln rupees from 7.77 bln rupees reported a year ago. The provision coverage ratio was 92.11% as on Jun 30.

The bank's global deposits increased by 9.74% on year to 7.64 trln rupees as on Jun 30 and global advances increased by 15.82% on year to 6.00 trln rupees.

Domestic deposits increased by 9.91% on year to 6.47 trln rupees as on Jun 30. The low-cost current account savings account deposits were up by 5.51% on year to 2.74 trln rupees as on Jun 30 and CASA ratio stood at 42.68%. Domestic advances increased by 17.29% on year to 5.08 trln rupees as on Jun 30.

Managing Director and Chief Executive Officer Rajneesh Karnatak, in a post-earnings press conference, said he expects global deposits to grow at 11-12% in the current financial year and global loan book to grow at 13-14%.

The bank expects domestic loan growth of 15-16% in 2024-25. Karnatak said the bank is seeing good traction in the vehicle loan segment due to tie-ups with a lot of dealers. 

In terms of capital raising, he said the bank said had got approval to raise 100 bln rupees via infrastructure bonds, of which the bank has already raised 50 bln rupees. The bank will try to raise the remaining amount in September, Karnatak said. The bank's Basel III capital adequacy ratio was at 16.18% as on Jun 30.

On the National Stock Exchange, the shares of Bank of India closed flat at 126.24 rupees on Friday.  End

Reported by Kshipra Petkar

Edited by Vandana Hingorani

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