BoB reports strong financial results for FY24
Source: Chronicle News Service
Imphal, May 11 2024:
Bank of Baroda (BOB) has reported robust financial results for the fiscal year ended March 31, 2024, showcasing significant growth and stability across key performance metrics.
According to a statement from BOB, the bank has recorded a notable growth of 26.1 per cent in its net profit for FY24, reaching Rs 17,789 crore.
Its global business expanded by 11.2 per cent to Rs 24,17,464 crore as of March 31, 2024.Net profit for the fourth quarter of FY24 stands at Rs 4,886 crore, representing a growth of 2.3 per cent year-on-year (YoY).
Return on Assets (ROA) increased by 14 basis points (bps) YoY to 1.17 per cent for FY24, while Return on Equity (ROE) rose by 61 bps YoY to 18.95 per cent for the same period.
The bank experienced a healthy operating income growth of 15.3 per cent YoY in FY24, supported by a 44.6 per cent YoY increase in non-interest income to Rs 14,495 crore.
BOB's operating profit grew by 15.3 per cent YoY to Rs 30,965 crore in FY24.Global Net Interest Margin (NIM) improved by 17 bps sequentially to 3.27 per cent in Q4FY24, while the NIM for FY24 stood at 3.18 per cent.
The bank witnessed a significant improvement in asset quality, with gross non-performing assets (GNPA) reducing by 87 bps YoY to 2.92 per cent in Q4FY24.Similarly, net non-performing assets (NNPA) decreased by 21 bps YoY to 0.68 per cent in the same period.
BOB's balance sheet remains robust with a healthy Provision Coverage Ratio (PCR)of 93.30 per cent with two and at 77.34 per cent without two.
Credit cost remained below 1 per cent at 0.67 per cent for FY24 and 0.57 per cent for the quarter.
The bank also maintained a healthy Liquidity Coverage Ratio (LCR) at 120.6 per cent as of March 31, 2024.BOB's global advances grew by 12.5 per cent YoY in Q4 FY24, primarily driven by robust growth in the retail Iqan book.
Organic retail advances grew by 20.7 per cent with strong performance across segments such as Auto Loan (23.8 per cent), (Home Loan (14.1 per cent), Personal Loan (51.6 per cent), Mortgage Loan (11.4 per cent), Education Loan (19.6 per cent) .