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Key Highlights
- BOB reports a growth of 12.6% in its 9MFY25 Net Profit to INR 14,533 crore
- Net Profit for Q3FY25 stands at INR 4,837 crore, growth of 5.6% YoY.
- Asset quality continues to be robust with Gross NPA below 2.5% at 2.43% for Q3FY25, reduction of 65 bps YoY.
- Net NPA ratio also remains low at 0.59%, declined by 11 bps YoY.
- Slippage ratio remains contained at 0.90% for Q3FY25 and 0.81% for 9MFY25.
- Credit costs remain below 1% due to better asset quality at 0.30% for the quarter and 0.47% for 9MFY25.
- BOB’s balance sheet remains robust with healthy Provision Coverage Ratio (PCR) of 93.51% with TWO & at 76.03% without TWO.
- Return on Assets (ROA) remains above 1% and stands at 1.15% for the quarter and 1.17% for 9MFY25.
- Return on Equity (ROE) for the quarter is 17.01% and 17.03% for 9MFY25.
- Operating profit for Q3FY25 stands at INR 7,664 crore, up by 9.3% YoY.
- Operating profit growth was supported by 34.1% YoY growth in Non-Interest Income which stands at INR 3,769 crore for Q3FY25.
- Cost to Income ratio has also reduced by 4 bps YoY to 49.53% for Q3FY25.
- BOB’s Global Advances registered a growth of 11.8% YoY in Q3FY25 led by robust retail loan book growth. Bank’s organic Retail Advances grew by 19.5%, driven by growth in high focus areas such as Auto Loan (21.1%), Home Loan (16.6%), Mortgage Loan (16.3%), Education Loan (16.9%).
- Capital Adequacy (CRAR) remains healthy at 15.96%.
Profitability
- BOB reported a standalone Net Profit of INR 4,837 crore in Q3FY25 as against a profit of INR 4,579 crore in Q3FY24. Net Profit for 9MFY25 stands at INR 14,533 crore (+12.6% YoY) as against INR 12,902 crore in 9MFY24.
- Net Interest Income (NII) grew by 2.8% YoY to INR 11,417 crore in Q3FY25. NII for 9MFY25 registered a growth of 5.2% and stands at INR 34,639 crore.
- Non-Interest Income for Q3FY25 grew by 34.1% YoY and stands at INR 3,769 crore. Non-Interest Income for 9MFY25 stands at INR 11,438 crore up by 11% YoY
- Global NIM stands at 2.94% in Q3FY25. Global NIM for 9MFY25 stands at 3.08%.
- Yield on Advances stands at 8.35% in Q3FY25 as against 8.51% in Q3FY24.
- Cost of Deposits increased to 5.08% in Q3FY25 as against 4.96% in Q3FY24.
- Operating Income for Q3FY25 stands at INR 15,186 crore (+9.2% YoY). Operating Income for 9MFY25 stands at INR 46,076 crore registering a growth of 6.6%.
- Operating Profit for Q3FY25 stands at INR 7,664 crore (+9.3% YoY).
- Operating Profit for 9MFY25 increased by 6.3% to INR 24,303 crore.
- Cost to Income ratio improved by 4 bps YoY and stands at 49.53% for Q3FY25. Cost to Income ratio of 9MFY25 stands at 47.26%.
- Return on Assets (RoA) (annualised) stands at to 1.15% in Q3FY25. RoA for 9MFY25 stands at 1.17%
- Return on Equity (RoE) (annualised) for Q3FY25 stands at 17.01%. RoE stands at 17.03% for 9MFY25.
- For the consolidated entity, Net Profit stood at INR 5,214 crore in Q3FY25 as against INR 4,789 crore in Q3FY24.
Asset Quality
- The Gross NPA of the Bank reduced by 11.9% YoY to INR 28,471 crore in Q3FY25 and Gross NPA Ratio improved to 2.43% in Q3FY25 from 3.08% in Q3FY24.
- The Net NPA Ratio of the Bank stands at a low of 0.59% in Q3FY25 as compared with 0.70% in Q3FY24.
- The Provision Coverage Ratio of the Bank stood at 93.51% including TWO and 76.03% excluding TWO in Q3FY25.
- Slippage ratio declined to 0.81% for 9MFY25 as against 1.06% in 9MFY24. Slippage ratio for the quarter also remains contained at 0.90% for Q3FY25 as against 0.95% in Q3FY24.
- Credit cost stands at 0.30% for Q3FY25 and 0.47% for 9MFY25.
Capital Adequacy
- CRAR of the Bank stands at 15.96% in Dec’24. Tier-I stood at 13.44% (CET-1 at 12.38%, AT1 at 1.06%) and Tier-II stood at 2.52% as of Dec’24.
- The CRAR and CET-1 of consolidated entity stands at 16.36% and 12.86% respectively
- The Liquidity Coverage Ratio (LCR) consolidated stands at 130% (approx.).
Business Performance
- Global Advances of the Bank increased to INR 11,73,034 crore, +11.8% YoY.
- Domestic Advances of the Bank increased to INR 9,64,869 crore, +11.9% YoY.
- Global Deposits increased by 11.8% YoY to INR 13,92,461 crore.
- Domestic Deposits increased by 9.2% YoY to INR 11,65,874 crore in Dec’24.
- International Deposits grew by 27.3% on a YoY basis to INR 2,26,588 crore in Dec’24.
- Organic Retail Advances grew by 19.5%, led by growth in high focus areas such as Auto Loan (21.1%), Home Loan (16.6%), Mortgage Loan (16.3%), Education Loan (16.9%) on a YoY basis.
- Agriculture loan portfolio grew by 12.5% YoY to INR 1,51,050 crore.
- Total Gold loan portfolio (including retail and agri.) stands at INR 58,172 crore, registering a growth of 29.1% on a YoY basis.
- Organic MSME portfolio grew by 13.6% YoY to INR 1,31,769 crore.
- Corporate advances registered a growth of 6.8% YoY and stands at INR 3,87,405 crore.
Financial results for Quarter and 9 months ended 31st December 2024
Particulars (INR crore) | Q3FY24 | Q2FY25 | Q3FY25 | YoY(%) | 9MFY24 | 9MFY25 | YoY(%) |
Interest Income | 28,605 | 30,263 | 30,908 | 8.0 | 83,023 | 90,800 | 9.4 |
Interest Expenses | 17,504 | 18,641 | 19,491 | 11.3 | 50,094 | 56,161 | 12.1 |
Net Interest Income (NII) | 11,101 | 11,622 | 11,417 | 2.8 | 32,929 | 34,639 | 5.2 |
Non-Interest Income | 2,810 | 5,181 | 3,769 | 34.1 | 10,304 | 11,438 | 11.0 |
Operating Income | 13,912 | 16,803 | 15,186 | 9.2 | 43,233 | 46,076 | 6.6 |
Operating Expenses | 6,897 | 7,326 | 7,522 | 9.1 | 20,373 | 21,774 | 6.9 |
Operating Profit | 7,015 | 9,477 | 7,664 | 9.3 | 22,859 | 24,303 | 6.3 |
Total Provisions (other than tax) and contingencies | 666 | 2,336 | 1,082 | 62.5 | 4,774 | 4,429 | -7.2 |
of which, Provision for NPA Bad Debts Written-off | 1,007 | 1,733 | 871 | -13.5 | 4,986 | 3,874 | -22.3 |
Profit before Tax | 6,349 | 7,141 | 6,582 | 3.7 | 18,085 | 19,873 | 9.9 |
Provision for Tax | 1,769 | 1,903 | 1,745 | -1.4 | 5,183 | 5,340 | 3.0 |
Net Profit | 4,579 | 5,238 | 4,837 | 5.6 | 12,902 | 14,533 | 12.6 |
Business position
Particulars (INR crore) | Dec 31 2023 | Sep 30 2024 | Dec 31 2024 | YoY (%) |
Domestic deposits | 10,67,371 | 11,50,791 | 11,65,874 | 9.2 |
Domestic CASA | 4,34,337 | 4,58,425 | 4,62,617 | 6.5 |
Global deposits | 12,45,300 | 13,63,486 | 13,92,461 | 11.8 |
Domestic advances | 8,62,086 | 9,38,883 | 9,64,869 | 11.9 |
Of which, retail loan portfolio (Organic) | 2,03,627 | 2,32,311 | 2,43,360 | 19.5 |
Global advances | 10,49,327 | 11,43,039 | 11,73,034 | 11.8 |
Key Ratios
Particulars | Q3FY24 | Q2FY25 | Q3FY25 |
NIM Global % | 3.10 | 3.10 | 2.94 |
Return on Assets (%) | 1.20 | 1.30 | 1.15 |
CRAR (%) | 14.72 | 16.26 | 15.96 |
CET-1 (%) | 11.11 | 12.67 | 12.38 |
Gross NPA (%) | 3.08 | 2.50 | 2.43 |
Net NPA (%) | 0.70 | 0.60 | 0.59 |
PCR (with TWO) (%) | 93.39 | 93.61 |