Bank of India, a leading Public Sector Bank posted a rise by 20 per cent sequentially in Net Profit at Rs. 1151 crore in the quarter ended December 31, 2022 (Q3FY23), driven by a steady rise in operating margins 8 per cent sequentially.
The Bank has demonstrated significant improvement in various important parameters during the third quarter. Operating Profit has jumped to Rs. 3,652 crore up by 74 per cent YoY and by 8 per cent sequentially. The Return on Assets (RoA) stood at 55 bps. The NIM per cent is reported at 3.28per cent, driven by the Domestic NIM per cent of 3.72 per cent. The growth in profitability is mainly contributed by the growth in Advances, more particularly on the growth in RAM and corporate segments.
With better credit off take, considerable growth is witnessed in NIMper cent, which stood at 3.28 per cent thereby improved by 101 bps YoY. NII stood at Rs. 5,596 crore, up by 64 per cent YoY and 10 per cent sequentially. Yield on Advances at 7.67 per cent, increased by 46 bps sequentially and 65 bps YoY.
RAM Advances grew by 13.24 per cent on YoY basis and it constitutes 54.14 per cent of Gross Advances. CASA deposits domestic increased by 3.70 per cent on YoY basis and the domestic CASA per cent is reported at 44.56 per cent on Aggregate Deposits.
On the recovery front, the bank took several steps which brought down Gross NPA per cent to 7.66 per cent with a significant decline by 280 bps on YoY basis and also reduced the Gross NPA on absolute number by Rs.6,875 crore on YoY basis. The Net NPA per cent has also declined and touched to 1.61 per cent, down by 105 bps on YoY basis. Slippage Ratio stood at 0.27per cent declined by 20 bps YoY. Both the Gross NPA and Net NPA have reduced on absolute and percentage basis on YoY and QoQ basis.
Cost to Income Ratio (Global) improved on sequential basis to 48.03 per cent (as on 31.12.2022) as against 48.10 per cent (as on 30.09.2022) and 60.03 per cent (as on 31.12.2021).
Manoj Kumar, Jharkhand Head of Bank of India expressed his reaction to the excellent performance of the bank and thanked all the customers and congratulated all the employees. Kumar urged all to maintain satisfactory customer service so that the bank grows progressively. On this occasion, Zonal Manager of Ranchi Zone Sanjay Kumar Khemka expressed his gratitude to everyone.