Bank of Baroda has made a profit of 1208 crores in the June quarter. The bank had a loss of 864 crores in the same quarter a year ago. The bank said that profit has increased due to reduction in bad loan provisioning.
Bank’s profit increased due to decline in provisioning.
Public sector Bank of Baroda (BOB) has posted a standalone profit of Rs 1,208.63 crore in the first quarter ended June of the current financial year. The profit of the bank has been good due to less provision for bad loans. Due to this, the bank had a net loss of Rs 864 crore in the same quarter of the previous financial year.
In a communication to the stock exchanges, the bank said that its total income declined marginally to Rs 20,022.42 crore during the quarter from Rs 20,312.44 crore in the year-ago quarter. The bank’s gross non-performing assets (NPAs) on total loans declined to 8.86 per cent during the quarter. It was 9.39 percent in the same quarter a year ago. However, the net NPA ratio of the bank increased from 2.83 per cent to 3.03 per cent.
Provisioning of the bank Rs 4112 crore
The bank’s total provisions and other contingencies declined to Rs 4,111.99 crore during the quarter. It was Rs 5,628 crore in the same quarter a year ago. In the quarter under review, the Reserve Bank had also imposed a penalty of Rs 41.75 lakh on Bank of Baroda.
second largest public sector bank
Bank of Baroda is currently the second largest public sector bank. Under the bank merger, Vijaya Bank and Dena Bank were merged with Bank of Baroda. From July 1, the checkbooks of both those banks have also been closed. Shares of Bank of Baroda closed at Rs 83.40 this week.
64 percent stake with the government
The 52-week high of this stock is Rs 99.85 and the lowest level is Rs 39.50. The market cap of the bank is Rs 43,129 crore. SBI is the largest bank and its market cap is 1.68 lakh crores. At number three is Punjab National Bank, whose market cap is close to 24600 crores. Shares of Bank of Baroda have gained 3.86 per cent in a week. It has registered a growth of 18 percent in three months and 36 percent so far this year. The government’s stake in this bank is 63.97 percent.
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