Bank of Baroda Q4 Results 2022: Profit grows 9x to reach Rs.7272 Crores

On 13th May 2022, Bank of Baroda announced its quarterly results for the last quarter of FY2022.

Key Highlights:

Q4FY22:

- Net Interest Income for Q4 FY22 grew by 21.2% YoY to Rs.8612 crores from Rs.7107 Crores in  Q4FY21

- Fee income increased by 5.8% YoY to Rs.1848 crores from Rs.1747 crores in Q4FY21.

- Operating profit declined by 9.6% to Rs.5635 crores from Rs.6235 crores in Q4FY21. 

- Total provisions for FY22 stood at Rs.3736 crores, up by 5.1% over the same period last year. 

- Net Profit for Q4FY22 to Rs.1779 crores from a loss of Rs.1047 crores in Q4FY21.

- The bank reported revenue of Rs.18714 crores from Rs.16685 crores, up by 12.16% YoY.

FY2022:

- Net Interest Income for FY22 grew by 13.2% YoY to Rs.32622 crores from Rs.28809 crores. 

- Fee income grew by 12.6% YoY to Rs.6409 crores. 

- Operating profit up by 5.6% to Rs.22389 crores from Rs.21199 crores in FY21. 

- Total provisions for FY22 stood at Rs.13002 crores, down by 16.9% over the same period last fiscal. 

- Net Profit for FY22 grew 9x to Rs.7272 crores from Rs.829 crores in FY21.

- The bank reported revenue of Rs.69881 crores from Rs.70495 crores, down by 0.87% YoY.

Other Highlights:

- Advances grew by 8.9% YoY in FY22 

- Organic Retail Advances grew by -17%, led by growth in high focus areas such as Home Loan (11.3%), Personal Loan (108%), Auto Loan (19.5%), Education Loan (16.7%) 

- The domestic CASA ratio of the bank improved by 137 bps YoY to 44.24%. 

- Net Interest Margins improved by 32 bps YoY to 3.03% in FY22. 

- Net Interest Margin for Q4FY22 was 3.08% (an increase of 36 bps compared to Q4FY21) 

- Healthy Capital base - CRAR improved to 15.98% in Mar'22 from 14.99% in March 2021 

- Return on Assets (RoA) improved to 0.60% in FY22 from 0.07% in FY21 . 

- Return on Equity (RoE) increased sharply by 1016 bps YoY to 11.66% 

Asset Quality:

- The Gross NPA of the Bank reduced to Rs.54,059 crore in Q4FY22 from the level of Rs.66,671 crore in Q4FY21 and Gross NPA Ratio improved to 6.61% in Q4FY22 from 8.87% in Q4FY21. 

- The Net NPA Ratio of the Bank improved to 1.72% in Q4FY22 as compared with 3.09% in Q4FY21. 

- The Provision Coverage Ratio of the Bank stood at 88.71 % including TWO and 75.28% excluding TWO in Q4FY22. 

- Slippages for the year were contained at 1.61 %. 

- Credit cost for the year was at 1.95%, however, adjusted for prudential provisioning, proforma credit cost was 1.70%

Business Highlights:

- Global Advances of the Bank increased to Rs.8,18,120 crore, up by 8.9% YoY and 6% QoQ as of March 2022. 

- Domestic Advances of the Bank increased to Rs.6,84,153 crore, with a growth of 6.7% YoY and 4.6% QoQ as of March 2022. 

- Global Deposits increased by 8.2% YoY to Rs.10,45,939 crore. Domestic Deposits increased by 8.0% YoY to Rs.9,27,011 crore in March 2022. 

- Domestic Current Account Deposits stand at Rs.68,780 crore, registering a robust growth of 11.6% on a YoY basis. 

- Domestic Savings Bank Deposits grew by 11.4% to Rs.3,41,343 crore. Overall Domestic CASA registered a growth of 11.4% on a YoY basis

- The organic retail loan portfolio of the Bank grew by 16.8% led by growth in the Personal loan portfolio by 108.1%, Auto loan by 19.5%, and Education loan by 16.7% on a YoY basis. The agriculture loan portfolio grew by 10.3% YoY to Rs.1,09,796 crore. 

- Organic MSME portfolio grew by 5.4% YaY to Rs.96,863 crore

The Board of Directors has recommended a dividend of Rs.1.20 per equity share (60%) for the year ended March 31, 2022.