BANK OF BARODA ANNOUNCES FINANCIAL RESULTS FOR Q2FY22

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365telugu.com Online News, Hyderabad‌11,November 2021: BOB quadruples Net profit in HY ended Sep’21 over HY ended Sep’20Net profit for the quarter up by 24.39% YoYGross NPA ratio declined to 8.11% in Sep’21 from 9.14% in Sep’20Domestic CASA up by 13.01% YoY, domestic CASA Ratio improved by 368 bps YoYCost to income ratio improved by 61 bps to 48.54% in H1FY22 as against 49.15% in H1FY21.Healthy Capital base – CRAR improved to 15.55% in Sep’21 from 13.26% in Sep’20

Key Highlights

  • The domestic CASA of the Bank marked a growth of 13.01% on a YoY basis.
  • Operating profit grew by 5.76% on a YoY basis.
  • Net profit of the Bank marked a YoY growth of 24.39%, increased to INR 2,088 crore in Q2FY22 against INR 1,679 crore in Q2FY21. Net profit increased to INR 3,296 crore in H1FY22 from INR 814 crore in H1FY21.
  • Gross NPA of the Bank significantly improved to 8.11% in Sep’21 from 9.14% in Sep’20.
  • Global Net Interest Margin (NIM) increased to 2.85% in Sep’21 from 2.78% in Sep’20.
  • Global Advances of the Bank increased by 2.10% YoY to INR 7,34,033 crore.
  • Domestic Advances of the Bank increased to INR 6,23,368 crore, up by 2.99% on a YoY basis.

Business Performance

  • Global Deposits increased by 0.54% to INR 9,59,483 crore on a YoY basis. Domestic Deposits increased by 3.43% to INR 8,64,603 crore in Sep’21.
  • Domestic Current Account Deposits stood at INR 60,098 crore, registering a YoY growth of 15.34% and Domestic Savings Bank Deposits grew by 12.58% to INR 3,15,668 crore. Overall Domestic CASA registered a growth of 13.01% on a YoY basis.
  • Organic Retail loan portfolio of the Bank grew by 10.25% on a YoY basis, led by growth in Personal loan portfolio which stood at 33.12%, 23.17% growth in Auto loan and 11.09% in Education loan.
  • Agriculture loan portfolio grew by 7.39% on a YoY basis and stood at INR 1,00,748 crore
  • Organic MSME portfolio of the Bank increased by 4.12% and stood at INR 89,339 crore.

Profitability

  • Net Interest Income (NII) increased to INR 7,566 crore in Q2FY22 as against INR 7,410 crore in Q2FY21, registering a growth 2.11% YoY.
  • Non-Interest Income during Q2FY22 increased by 22.99% YoY to INR 3,579 crore
  • Operating Income of the Bank increased by 8.00% YoY to INR 11,145 crore in Q2FY22.

Operating Income for H1FY22 registered a growth of 12.71% and stood at INR 21,901 crore as against INR 19,432 crore in H1FY21.

  • Cost of Deposits reduced to 3.52% in Sep’21 as against 3.99% in Sep’20. Yield on Advances stood at 6.55% in Sep’21 as compared with 7.08% in Sep’20.
  • Operating Profit of the Bank increased to INR 5,670 crore in Q2FY22, up by 5.76% on a YoY basis.
  • Bank reported a standalone Net Profit of INR 2,088 crore in Q2FY22 as against INR 1,679 crore in Q2FY21, registering a growth of 24.39% YoY.
  • Global NIM increased to 2.85% in Q2FY22 from 2.78% in Q2FY21.
  • Return on Assets (RoA) improved to 0.73% in Sep’21 from 0.59% in Sep’20.
  • For the consolidated entity, Net Profit stood at INR 2,168 crore in Q2FY22 as against INR 1,771 crore in Q2FY21.

Asset Quality

  • The Gross NPA of the Bank reduced to INR 59,504 crore in Q2FY22 from the level of INR 65,698 crore in Q2FY21. Subsequently the Gross NPA Ratio improved to 8.11% in Q2FY22 from 9.14% in Q2FY21.
  • The Net NPA Ratio of the Bank stood at 2.83% in Q2FY22 as compared with 2.51% in Q2FY21.
  • The Provision Coverage Ratio of the Bank stood at 83.42% including TWO and 67.06% excluding TWO in Q2FY22.

Capital Adequacy

  • CRAR of the Bank improved to 15.55% in Sep’21 from 13.26% in Sep’20. Tier-I stood at 13.21% (CET-1 at 11.39%, AT1 at 1.82%) and Tier-II stood at 2.34% as of Sep’21.
  • The CRAR and CET-1 of consolidated entity is at 16.06% and 12.02% respectively

Income & Expenditure

Particulars (INR crore)Q2FY21Q1FY22Q2FY22YoY (%)
Interest Income17,82017,05316,692-6.33
Interest Expenses10,4109,1619,126-12.34
Net Interest Income (NII)7,4107,8927,5662.11
Non- Interest Income2,9102,8633,57922.99
Operating Income10,32010,75511,1458.00
Operating Expenses4,9585,1545,47610.45
Operating Profit5,3615,6015,6705.76
Total Provisions (other than tax) and contingencies2,8114,0062,754-2.04
of which, Provision for NPA Bad Debts Written-off2,2772,5572,60014.20
Profit before Tax2,5501,5962,91614.37
Provision for Tax872387828-5.05
Net Profit1,6791,2092,08824.39

Business details

Particulars (INR crore)Sep 30, 2020Jun 30, 2021Sep 30, 2021YoY (%)
Domestic deposits8,35,8948,37,8038,64,6033.43
Domestic CASA3,32,4933,62,0443,75,76613.01
Global deposits9,54,3409,31,3179,59,4830.54
Domestic advances6,05,2456,00,9706,23,3682.99
Of which, retail loan portfolio (Organic)1,11,9441,19,7291,23,42410.25
Global advances7,18,9577,11,4877,34,0332.10
Cost of Deposit %3.993.553.52 
Yield on Advances %7.086.856.55 
Cost Income Ratio %48.0547.9249.13 
NIM Global %2.783.042.85 
RoA %0.590.420.73 
ParticularsSep 30, 2020Jun 30, 2021Sep 30, 2021
CRAR (%)13.2615.4015.55 
Tier-1 (%)10.7513.0613.21 
CET-1 (%)9.2111.2511.39 
Gross NPA (%)9.148.868.11
Net NPA (%)2.513.032.83
PCR (with TWO) (%)85.3583.1483.42
ParticularsQ2FY21Q4FY21Q1FY22
Credit Cost (%)1.241.361.46