BANKS
Bank of India Q1 net down 15% at Rs 720 crore
Bank of India’s total income falls to Rs 11,698.13 cr in Q1 from Rs 11,941.52 cr a year ago; gross NPAs stand at 13.51%.
Bank of India’s total income falls to Rs 11,698.13 cr in Q1 from Rs 11,941.52 cr a year ago; gross NPAs stand at 13.51%.
State-owned Bank of India reported a 14.7% drop in net profit to Rs 720 crore in the fiscal first quarter ended June. This was on the back of higher provisions on its bad loans.The bank had posted a net profit of Rs 843.60 crore in the same period last year.
Total income fell to Rs 11,698.13 crore in the June quarter from Rs 11,941.52 crore in the year-ago quarter.
Gross non-performing assets (NPAs) fell marginally to 13.51% of the gross advances from 13.91%.
Net NPAs were down at 3.35% (Rs 56,042 crore) in the June quarter compared to 3.58% in the year-ago period.
Provisions for bad loans and contingencies for the quarter under review were raised to Rs 1,709.12 crore. The provisions stood at Rs 1,512.07 crore in the same period a year ago.
The bank has projected an expansion of its retail, agriculture and MSME lending profile by leveraging its existing customer base. It will continue to contain funding cost by sourcing low-cost deposits such as CASA (current account savings account).
The bank plans to focus on improving asset quality and containing NPA levels. It also intends to leverage technology to increase cross selling opportunities, reduce cost and enhance customer experience.
