State-owned lender Bank of Baroda has closed financial year ended March 31, 2020 (FY20) with net profit of Rs 546 crore, compared to net loss of Rs 8,340 crore during FY19. The bank reported a net profit of Rs 507 crore in January-March quarter of last fiscal (Q4 FY20) compared to a loss of Rs 8,875 crore in the same quarter a year ago, Bank of Baroda said in a regulatory filing.
For FY20, Bank of Baroda reported a 6.90 per cent growth in net interest income (NII), or the core income a bank earns by giving loans, at Rs 27,451 crore as compared to Rs 25,678 crore in the previous fiscal. In Q4 FY20, the NII rose by 5.02 per cent to Rs 6,798 crore as against Rs 6,473 crore in Q4 FY19.
Non-interest income increased to Rs 10,317 crore in FY20 from Rs 8,794 crore in the year-ago period. For Q4 FY20, non-interest income fell marginally by 1.08 per cent to Rs 2,834 crore versus Rs 2,865 crore in Q4 FY19.
Global net interest margin (NIM) during Q4 FY20 increased to 2.67 per cent from 2.62 per cent and domestic NIM increased to 2.78 per cent from 2.68 per cent in the year-ago period, Bank of Baroda said in a filing to the Bombay Stock Exchange.
The operating profit during Q4 FY20 increased to Rs 5,121 crore as against Rs 3,462 crore during the same quarter of the previous financial year, registering a growth of 47.9 per cent. Operating profit for FY20 stood at Rs 19,691 crore, an increase of 19 per cent.
On the asset quality front, gross non-performing assets (GNPA) stood at Rs 69,381 crore compared to Rs 73,140 crore as on December 31, 2019. Gross NPA as a percentage of gross advances fell to 9.40 per cent versus 10.43 per cent in Q3 FY20, while net NPA fell to 3.13 per cent from 4.05 per cent as on December 31, 2019.
The bank's provisions fell 36 per cent on a year-on-year (y-o-y) basis to Rs 6,844 crore in Q4 FY20. For FY20, provisions declined by 4.04 per cent YoY to Rs 21,493 crore.
"Provision coverage under NCLT 1 and NCLT 2 list was 99.57 per cent and 93.01 per cent, respectively," it said.
The bank's fresh slippage for the quarter was at Rs 3,050 crore. The slippage ratio fell to 2.97 per cent in FY20 compared with 4.34 per cent in FY19, it said.
Ahead of earnings announcement, shares of Bank of Baroda gained 2.13 per cent to close at Rs 50.45 on the BSE.
By Chitranjan Kumar