Bank of Baroda Announces Profit Surge and Global Business Boom


Mumbai, India – Bank of Baroda (BOB) capped off a successful fiscal year with a strong showing in both profitability and global expansion. The bank’s net profit for FY24 jumped a significant 26.1% year-on-year to reach ₹17,789 crore. This positive performance was echoed in Q4 FY24, where net profit saw a 2.3% increase to ₹4,886 crore.

Beyond profitability, BOB boasts improvements in key financial metrics. Return on Equity (ROE) and Return on Assets (ROA) both saw significant growth, reaching 18.95% and 1.17% respectively for FY24. This indicates the bank is efficiently generating returns on its assets and shareholders’ investments.

Bank of Baroda’s asset quality has also improved, with a notable reduction in Gross NPA (Non-Performing Assets) by 87 basis points year-on-year in Q4 FY24. The bank’s Net NPA ratio also reflects a positive trend, dropping to 0.68% from 0.89% in the previous year. This suggests a decrease in loan defaults, strengthening the bank’s financial health.

The growth story doesn’t stop domestically. BOB’s global business is a major bright spot, experiencing an impressive 11.2% increase to reach ₹24,17,464 crore as of March 31, 2024. This expansion is accompanied by an improvement in Global Net Interest Margin (NIM) to 3.27% in Q4 FY24. Both Global Advances and Deposits witnessed healthy growth, rising 12.5% and 10.2% year-on-year respectively.

Overall, Bank of Baroda’s financial performance for FY24 paints a picture of a bank experiencing robust growth across all sectors. The strong performance in its global business is a noteworthy highlight, indicating the bank’s strategic focus on international expansion. With a focus on profitability, asset quality, and global reach, Bank of Baroda appears well-positioned for continued success.

Profitability Soars:

  • Net Profit surged 26.1% YoY to reach ₹17,789 crore for FY24.
  • Q4 FY24 Net Profit witnessed a 2.3% increase to ₹4,886 crore.
  • Return on Assets (ROA) and Return on Equity (ROE) improved significantly for FY24, reaching 1.17% and 18.95% respectively.
  • Healthy Operating Income growth of 15.3% YoY for FY24, driven by a 44.6% YoY jump in Non-Interest Income.

Improved Asset Quality:

  • Gross NPA (Non-Performing Assets) witnessed a significant reduction of 87 bps YoY to 2.92% in Q4FY24.
  • Net NPA ratio also improved, dropping to 0.68% in Q4FY24 from 0.89% in the previous year.
  • Bank maintains a strong Provision Coverage Ratio (PCR) of 93.30%.

Global Business Expansion:

  • Global Business grew by an impressive 11.2% to reach ₹24,17,464 crore as of March 31, 2024.
  • Global Net Interest Margin (NIM) improved to 3.27% in Q4FY24.
  • Both Global Advances and Deposits witnessed healthy growth of 12.5% and 10.2% YoY respectively.

Strong Business Performance:

  • Overall advances, including domestic and global, increased by 12.5% YoY.
  • Deposits grew by 10.2% YoY, with domestic CASA deposits showing a 5.4% YoY rise.
  • Organic Retail Advances across various segments like auto loans, home loans, and personal loans displayed robust growth.
  • Agriculture and MSME loan portfolios also saw significant expansion.

Overall, Bank of Baroda’s FY24 results demonstrate a strong financial performance. The bank’s profitability has grown steadily, asset quality has improved, and its global business is flourishing.

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