BoB Q2 net declines 18%

BS 200 SCORECARD

Bank of Baroda's (BoB) net profit in the second quarter ended September 2004 declined 17.82 per cent to Rs 213.31 crore from Rs 259.56 crore a year earlier, as its total income fell 6.91 per cent to Rs 1,907.61 from Rs 2,049.31 crore in the previous comparable quarter.

BoB said its net interest income after adjusting for extraordinary items was 32.85 per cent higher at Rs 688.29 crore (Rs 518.11 crore). BoB shares were down Rs 1.65 to Rs 158.35 at close on Wednesday.

Its other income decreased by 31.02 per cent to Rs 359.47 crore from Rs 521.12 crore in the previous corresponding quarter due to decrease in the profit on sale of investments.

Other income excluding the profit on sale of investments was up by 10.58 per cent to Rs 204.04 crore. For the first half of 2004-05, treasury income was down by 7.17 per cent due to the hardening of interest rates, while other income was up 3.12 per cent to Rs 754.06 crore.

In the first half, net profit was up 0.45 per cent to Rs 506.30 from a year earlier. Operating profit was down 19.64 per cent to Rs 549.91 crore in the second quarter of 2004-05, while for the first half the fall was 0.24 per cent at Rs 1,146.40 crore.

Its total expenditure continued to show a declining trend with a 0.54 per cent fall to Rs 1,357.70 crore (Rs 1,365.03 crore). Interest expenditure came down by 4.39 per cent to Rs 859.85 crore from Rs 899.29 crore. On a quarterly basis, provisions increased by 17.71 per cent to Rs 245.69 crore from Rs 208.72 crore.

Provisions for NPAs showed a reduction by 31.29 per cent to Rs 155.78 crore from Rs 226.73 crore. Retail lending has risen to Rs 4,506.98 crore. It now forms 14.99 per cent of its total domestic advances.

The bank's net NPAs were down 2.27 per cent to Rs 833.43 crore while capital adequacy ratio has gone up to 13.97 per cent as on September 30, 2004.