Bank of India net profit rises 12 per cent to Rs 1,151 crore in Q3 on interest income

NEW DELHI:  Public sector lender Bank of India on Tuesday announced 12% increase in net profit to Rs 1,151 crore for the quarter ending December 2022, supported by increase in net interest income. The bank had posted a net profit of Rs 1,027 crore in the same quarter a year ago.

The bank’s net interest income, the difference between interest earned and interest paid, improved by 64% and stood at Rs 5,596 crore for the third quarter of the current financial year against Rs 3,408 crore for third quarter of the previous financial year. Non-interest income came at Rs 1,432 crore for the third quarter against Rs 1,835 crore in the third quarter of the previous financial year.

“Net interest margin (Global) improved by 101 basis points (bps) year-on-year (YoY) to 3.28% in the third quarter of the current fiscal year as against 2.27% in the same quarter in the previous fiscal year. It improved by 24 bps on a sequential basis from 3.04% in the second quarter of the current financial year,” said Atanu Kumar Das, managing director and CEO, of Bank of India.

“NIM (domestic) have improved by 121 bps YoY to 3.72% in the third quarter of the current financial year against 2.51%  in the same quarter of the previous financial year. It has improved 23 bps on a sequential basis from 3.49% in the second quarter of current financial year,” he added.

Total income increased to Rs 14,159.60 crore in Q3FY23 from Rs 11,211.14 crore in the year-ago period. The bank witnessed improvement on asset quality front with gross NPAs (non-performing assets) declining to 7.66% as against 10.46% at the end of third quarter of the previous financial year, while 
its net NPAs fell to 1.61% as against 2.66% in the same period a year ago.