Bank of India Q3 Results: Profit up 12% to Rs 1,151 crore

Mumbai: Bank of India (BoI) on Tuesday reported a 12% increase in fiscal third-quarter net profit, led by strong retail loan growth and higher margins along with an improvement in asset quality.

Net profit for the quarter ended December 31 increased to 1,151 crore from 1,027 crore a year earlier. Net interest income — the difference between the interest earned on loans and that paid on deposits and other funds — rose 64% to 5,596 crore. Net interest margin (NIM) expanded to 3.28% from 2.27% a year earlier.

Chief executive AK Das said the bank expects to maintain NIM in the 3.25-3.50% range and that some moderation is likely due to an increase in deposit rates.


The bank’s yield on advances improved to 7.67% from 7.02% in the third quarter of last fiscal year. Cost of deposits increased to 3.72% from 3.68%.

Non-interest income dropped 22% to 1,432 crore, which Das blamed on lower treasury income that fell to 115 crore from 210 crore. Total provisions increased four-and-a-half times to 1,879 crore, as the bank stepped up provisions on both standard as well as doubtful accounts during the past quarter.