BoB profit hits record: loan growth outlook improves

Mumbai: State-owned Bank of Baroda on Friday reported a 31 per cent jump in September quarter consolidated net profit at Rs 6,737.28 crore helped by its stake sale in largest equity bourse NSE.

On a standalone basis, the lender reported its highest-ever quarterly net profit of Rs 6,532 crore, registering a growth of 35.8 per cent year-on-year.

The core net interest income went up by 9 per cent to Rs 13,026 crore on the back of 18.3 per cent growth in advances and a 0.22 per cent compression in net interest margin at 2.74 per cent. Chief executive and managing director Debadatta Chand said the bank upped its loan growth guidance to 13-15 per cent for FY27 from the 12-14 per cent earlier on strong loan growth in the first half of the fiscal, which is typically the softer growth phase.

Net Interest Margin (NIM) will stay within the earlier guided band of 2.75-2.95 per cent, he said, adding that the number will expand in the second half of the fiscal amid RBI’s rate hike as 38 per cent of its overall loanbook is linked to external benchmark.