Bank of India Net Profit Of Q2FY23 Increases Sequentially By 71%

Bank has demonstrated significant improvement in various important parameters during the second quarter

Bank of India posted a rise by 71 per cent sequentially in Net Profit at Rs. 960 crore in the quarter ended September 30, 2022 (Q2FY23), driven by a steady rise in operating margins. However, the Net Profit has reportedly dropped from Rs 1051 crores (Q2FY22) to Rs 960 crores (Q2FY23) on YOY basis by almost 8 per cent.

Bank has demonstrated significant improvement in various important parameters during the second quarter. Operating Profit has jumped to Rs. 3,374 crore up by 26 per cent YoY and by 55 per cent sequentially. Both Return on Assets (RoA) and Return on Equity increased by 18 bps and 321 bps respectively on QOQ basis.

With better credit off take, considerable growth is witnessed in NIM per cent, which stood at 3.04 per cent thereby improved by 49 bps sequentially. NII stood at Rs. 5,083 crore up by 44 per cent YoY and 25 per cent sequentially. Yield on Advances at 7.21 per cent, increased by 63 bps sequentially and 20 bps YoY.

RAM Advances grew by 15.57 per cent on YoY basis and it constitutes 54.25 per cent of Gross Advances. CASA deposits increased by 4.05% on YoY basis and CASA  per cent is reported at 44.12 per cent on Aggregate Deposits.

On the recovery front, bank took several steps which has brought down Gross NPA per cent to 8.51 per cent with a significant decline by 349 bps on YoY basis. The Net NPA per cent has also declined and touched to 1.92 per cent, down by 87 bps on YoY basis. Credit Cost stood at 0.60 per cent, declined by 61 bps, sequentially and Slippage Ratio improved to 0.30 per cent from 0.69 per cent, sequentially.

Cost to Income Ratio (Global) improved significantly on sequential basis to 48.10 per cent (as on 30.09.2022) as against 58.22 per cent (as on 30.06.2022) and 52.69 per cent (as on 30.09.2021).