Bank of Baroda jumped 10.58% to Rs 159.85 after the bank's net profit surged 58.7% to Rs 3,313.42 crore on 13.86% rise in total income to Rs 23080.03 crore in Q2 FY23 over Q2 FY22.
The PSU bank's profit before tax soared 51.01% to Rs 4,403.49 crore in Q2 FY23 from Rs 2,915.97 crore recorded in same period last year.
Net Interest Income (NII) jumped 34.5% to Rs 10,174 crore in Q2 FY23 as against Rs 7,566 crore posted in Q2 FY22. Global NIM improved to 3.33% as on 30 September 2022 from 2.85% as of 30 September 2021.
The bank's provisions and contingencies dropped 40.9% to Rs 1,628 crore in Q2 FY23 as compared to Rs 2,754 crore reported in the corresponding quarter previous year.
On the asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 46,374.44 crore in Q2 FY23 as against Rs 52,590.83 crore in Q1 FY23 and Rs 59,503.82 crore in Q2 FY22. The gross NPA ratio improved to 5.31% in Q2 FY23 from 6.26% in Q1 FY23 and 8.11% in Q2 FY22. The net NPA ratio improved to 1.16 % in Q2 FY23 as compared with 1.58% in Q1 FY23 and 2.83% in Q2 FY22.
The provision coverage ratio of the bank stood at 91.73% including TWO and 79.14% excluding TWO in Q2 FY23.
Slippage ratio declined to 1.77% for Q2 FY23 as compared with 3.22% reported in Q2 FY22. Credit cost for Q2 FY23 stoood at 0.79%.
Domestic deposits increased by 10.9% YoY to Rs 9,58,967 crore and domestic advances improved to Rs 7,16,737 crore, registering a growth of more than 15%. Overall domestic CASA reported a growth of 9.2% YoY while domestic CASA ratio decreased by 69 bps YoY to 42.77% in Q2 FY23.
Organic Retail loan portfolio of the bank grew by 28.4% led by growth in Personal loan portfolio by 172.8%, Auto loan by 29.2%, Education loan by 23.2%, Home loan by 19% on a YoY basis. Agriculture loan portfolio grew by 14.1 % YoY to Rs 1, 14,964 crore.
Total Gold loan portfolio (including retail and agri.) stood at Rs 33,502 crore, registering a growth of 27.8% on a YoY basis. Organic micro, small, and medium enterprises (MSME) portfolio grew by 13.4% YoY to Rs 1,01,278 crore.
Cost of deposits stood at 3.59% in Q2 FY23 as against 3.52% posted in the same period last year.
The bank's return on assets (RoA) (annualised) improved to 1.01% in Q2 FY23 from 0.73% reported in Q2 FY22. Return on equity (RoE) (annualised) increased by 554 bps YoY to 19.56% in Q2 FY23 over Q2 FY22.
CRAR of the bank was at 15.25% in September 2022 from 15.55% in September 2021. Tier-I stood at 12.81% (CET-1 at 10.95%, AT1 at 1.86%) and Tier-II stood at 2.44% as of September 2022.
Bank of Baroda is one of India's largest banks with a strong domestic presence spanning 8,161 branches and 11,461 ATMs and cash recyclers supported by self-service channels. The bank has a significant international presence with a network of 94 overseas offices spanning 17 countries. As of 30 September 2022, Government of India held 63.97% stake in the bank.
The counter hit a 52-week high of Rs 161.75 in intraday today.
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