Synopsis:Bank of Baroda's fourth-quarter results for the fiscal year ending March 2024 show a marginal increase in net profit and significant growth in total income. The bank's efforts to improve asset quality have led to a reduction in gross and net Non-Performing Assets (NPAs), accompanied by a decrease in provisions for bad loans and contingencies.
Bank of Baroda (BoB) announced a marginal 2.3% increase in net profit to Rs 4,886 crore for the fourth quarter ending March 2024.
This compares to a net profit of Rs 4,775 crore recorded in the same period last year.
The bank reported a total income of Rs 33,775 crore during the quarter, up from Rs 29,323 crore in the corresponding period of the previous year, according to regulatory filings.
Interest income for the quarter rose to Rs 29,583 crore from Rs 25,857 crore in the same quarter last year.
The bank's gross Non-Performing Assets (NPAs) decreased to 2.92% of gross advances as of March 31, 2024, down from 3.79% at the end of March 2023.
Net NPAs also decreased to 0.68% of advances, down from 0.89% in 2023.
Consequently, provisions for bad loans and contingencies decreased to Rs 1,302 crore, compared to Rs 1,421 crore set aside during the same quarter a year ago.
The Provision Coverage Ratio of the bank stood at 93.30% at the end of March 2024.
For the fiscal year ending March 2024, the bank's net profit increased by 26% to Rs 17,789 crore, compared to Rs 14,110 crore in the previous fiscal year.
Total income for the fiscal year increased to Rs 1,27,101 crore from Rs 99,614 crore in the previous fiscal year.
The board has proposed a dividend of Rs 7.60 per equity share of face value of Rs 2 each fully paid up for the fiscal year 2023-24, subject to approval at the ensuing 28th Annual General Meeting.
The Capital Adequacy Ratio (CRAR) improved to 16.31%, up from 16.24% as of March 31, 2023. The Net Interest Margin (NIM) of the bank was reported at 3.18% at the end of March 2024.
In conclusion, Bank of Baroda has reported a modest increase in net profit for the fourth quarter of the fiscal year ending March 2024, accompanied by a notable growth in total income.
The bank's efforts to manage asset quality have resulted in a decline in both gross and net Non-Performing Assets (NPAs), reflecting improved financial health.
Additionally, provisions for bad loans and contingencies have decreased, contributing to a strengthened balance sheet.
The bank has demonstrated robust performance for the fiscal year, marked by substantial growth in net profit and total income.
The proposed dividend payout and the improvement in capital adequacy ratio further underscore the bank's commitment to shareholder value and financial stability.
Overall, Bank of Baroda's performance reflects resilience and strategic management in navigating challenges while pursuing growth opportunities.
Related Questions
1. What is the net profit reported by Bank of Baroda for the fourth quarter ending March 2024?
Bank of Baroda reported a net profit of Rs 4,886 crore for the fourth quarter ending March 2024, representing a marginal 2.3% increase from the previous year.
2. How does the bank's total income compare for the fourth quarter of fiscal year 2023-24?
The bank's total income for the fourth quarter of fiscal year 2023-24 was Rs 33,775 crore, reflecting an increase from Rs 29,323 crore in the corresponding period of the previous year.
3. What are the changes observed in the bank's Non-Performing Assets (NPAs) from March 2023 to March 2024?
The bank's gross NPAs decreased from 3.79% to 2.92%, and net NPAs decreased from 0.89% to 0.68% from March 2023 to March 2024.
4. What dividend has the board proposed for the fiscal year 2023-24?
The board has proposed a dividend of Rs 7.60 per equity share of face value of Rs 2 each fully paid up for the fiscal year 2023-24, subject to approval at the ensuing Annual General Meeting.
5. How does the bank's Capital Adequacy Ratio (CRAR) compare between March 2023 and March 2024?
The bank's Capital Adequacy Ratio (CRAR) improved to 16.31% at the end of March 2024, up from 16.24% as of March 31, 2023.
