Money & Banking

Bank of India posts Q3 profit of ₹106 crore

Our Bureau Mumbai | Updated on January 31, 2020 Published on January 31, 2020

Bank of India reported a net profit of ₹106 crore in the third quarter ended December 31, 2019, against a net loss of ₹4,738 crore in the year-ago quarter.

This is the fourth successive quarter that the public sector bank has logged a net profit. However, the net profit in the reporting quarter is lower than preceding quarter’s ₹266 crore.

Net interest income rose 24 per cent year-on-year (y-o-y) to ₹4,119 crore in the reporting quarter against ₹3,332 crore in the year-ago quarter. Non-interest income jumped 50 per cent y-o-y to ₹2,503 crore in the reporting quarter against ₹1,669 crore in the year-ago quarter. This was mainly due to a marked improvement in recovery in written-off accounts, which soared to ₹1,337 crore from ₹262 crore.

In the reporting quarter, the bank’s slippages were higher at ₹6,716 crore against ₹3,166 crore in the preceding quarter.

Recovery, upgradation

However, recovery and upgradation improved to ₹3,212 crore (₹966 crore in the preceding quarter) and ₹447 crore (₹294 crore).

Provisions for bad and doubtful debt jumped to ₹3,774 crore against ₹1,452 crore in the preceding quarter.

Asset quality pressure

Gross non-performing assets (GNPAs) were almost flat at 16.30 per cent of gross advances against 16.31 per cent in the year-ago quarter. Net non-performing assets nudged up to 5.97 per cent of net advances against 5.87 per cent in the year ago quarter.

Global deposits nudged up 1.36 per cent y-o-y to ₹5,22,138 crore, solely on the back of a 9.68 per cent growth in domestic deposits. Foreign deposits de-grew 32.45 per cent.

Similarly, global advances inched up 1.58 per cent y-o-y to ₹3,78,686 crore, only on account of a 6.71 per cent growth in domestic advances. Foreign advances de-grew 24.65 per cent. On Friday, the shares of Bank of India closed at ₹67.75 apiece, up 2.57 per cent over the previous close on the BSE.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on January 31, 2020
This article is closed for comments.
Please Email the Editor