Bank of India : Net Profit of Q2FY23 reportedly increased sequentially by 71% coupled with rise in operating margins
Bank of India, a leading Public Sector Bank posted a rise by 71% sequentiallyin Net Profit at Rs. 960crore 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%.
Bank has demonstrated significant improvement in various important parameters during the second quarter. Operating Profit has jumped to Rs.3,374 croreup by 26% YoY and by 55% 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%, which stood at 3.04% thereby improved by 49 bps sequentially. NII stood at Rs.5,083 crore up by 44% YoY and 25% sequentially. Yield on Advances at 7.21%, increased by 63 bps sequentially and 20 bps YoY.
RAM Advances grew by 15.57% on YoY basis and it constitutes 54.25% of Gross Advances. CASA deposits increased by 4.05% on YoY basis and CASA% is reported at 44.12% on Aggregate Deposits.
On the recovery front, bank took several steps which has brought down Gross NPA%to 8.51% with a significant decline by349 bps on YoY basis. The Net NPA%has also declined and touched to 1.92%,down by 87 bps on YoY basis. Credit Cost stood at 0.60%, declined by 61 bps, sequentially and Slippage Ratio improved to 0.30% from 0.69%, sequentially.
Cost to Income Ratio (Global) improved significantly on sequential basis to 48.10% (as on 30.09.2022) as against 58.22% (as on 30.06.2022) and 52.69% (as on 30.09.2021).