Bank of India Reports Strong Growth and Improved Margins for Q1FY25

On August 03, 2024, the Bank of India announced its financial results for the June 30, 2024 quarter.

Bank of India Ltd experienced significant growth in its global business, with a 12.34% year-over-year (YoY) increase. Global deposits rose by 9.74% YoY, while global advances saw a 15.82% YoY increase.

Retail credit surged by 20.46% YoY, agriculture credit by 22.18% YoY, and MSME credit by 13.06% YoY. CASA (Current Account Savings Account) deposits increased by 5.51% YoY, with a CASA ratio of 42.68%.

Net profit rose 10% year over year to ₹1,703 crore. The yield on global advances improved by 50 basis points (bps) year over year, and the yield on domestic advances improved by 52 bps year over year. The gross NPA (Non-Performing Assets) ratio decreased by 205 bps year over year, while the net NPA ratio fell by 66 bps year over year.

For Q1FY25, the company’s net profit improved by 10% year-over-year (YoY), reaching ₹1,703 crore, compared to ₹1,551 crore in Q1FY24. Operating profit for Q1FY25 was ₹3,677 crore, slightly down from ₹3,752 crore in Q1FY24. Net Interest Income (NII) increased by 6% YoY, amounting to ₹6,275 crore in Q1FY25, up from ₹5,915 crore in Q1FY24. However, non-interest income decreased to ₹1,302 crore in Q1FY25 from ₹1,462 crore in the same quarter of the previous year.

In Q1FY25, the company’s Net Interest Margin (NIM) on a global scale improved by 4 basis points (bps) to 3.07%, up from 3.03% in Q1FY24. Domestically, the NIM saw a 6 bps improvement, reaching 3.43% compared to 3.37% in Q1FY24. The Return on Assets (RoA) was slightly lower at 0.70% in Q1FY25, down from 0.71% in Q1FY24, while the Return on Equity (RoE) declined to 13.48% from 15.18% over the same period.

About Bank of India

Bank of India, headquartered in India, operates through three main segments: Treasury Operations, Wholesale Banking, and Retail Banking. The Treasury Operations segment encompasses the bank’s entire investment portfolio, including dealings in government and other securities, money market activities, and foreign exchange operations.

On August 05, 2024, the Bank of India Ltd’s share price opened at ₹123.60, touching the day’s low at ₹120.10 at 9:48 AM on the NSE.

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