BoB net profit soars to a record on strong loan growth
CEO Sanjiv Chadha said the bank has grown faster than its peers and expects the growth to continue even in the next fiscal year even as he guided for asset quality to remain solid.
By ET Bureau | Updated:
Agencies
Gross NPAs dropped to 4.53% from 7.25% a year ago. Provisions for bad loans also dropped by 81% to ₹817 crore, helping the growth in profits.
Mumbai: Bank of Baroda (BoB) said net profit grew 75% year-on-year led by a strong growth in loans even as asset quality improved. Net profit increased to a record ₹3,853 crore in the quarter ended December 2022 from ₹2,197 crore a year ago.
Net interest income (NII), the difference between the interest earned on loans and that paid on deposits, increased 27% to ₹10,818 crore in December 2022.
CEO Sanjiv Chadha said the bank has grown faster than its peers and expects the growth to continue even in the next fiscal year even as he guided for asset quality to remain solid.
"For us asset quality comes first followed by margins and then growth. Our gross NPAs have come down by 272 basis points over the last one year and expect it to come down even further. Our credit costs will be below 1%," Chadha said.
Gross NPAs dropped to 4.53% from 7.25% a year ago. Provisions for bad loans also dropped by 81% to ₹817 crore, helping the growth in profits.
