High interest income pushes up BoB net 61 pc to Rs 1,019 cr
Driven by a 47 per cent spike in interest income, Bank of Baroda, which today reported a 61 per cent jump in profit at Rs 1,019.30 crore for the September quarter, said it will close the fiscal with a 24 per cent growth in credit offtake.business Updated: Oct 29, 2010 01:37 IST
Driven by a 47 per cent spike in interest income, Bank of Baroda, which today reported a 61 per cent jump in profit at Rs 1,019.30 crore for the September quarter, said it will close the fiscal with a 24 per cent growth in credit offtake.
The total income rose to Rs 5,840 crore, up 23.5 per cent in the reporting quarter against Rs 4,730.7 crore in the year-ago period, while total business rose 29.9 per cent to Rs 4.62 crore during the period.
The bank had a net profit of Rs 634.2 crore in the September 2009 quarter. "The robust profit growth has been largely driven by increasing our core business activities. This growth has been balanced across all our business areas. This is one of our best results in many quarters," Chairman and Managing Director MD Mallya told reporters here while announcing the numbers.
On the growth forecast, Mallya said he expects to close the fiscal with 23-24 per cent rise in advances. During the September quarter, its advances stood grew by 29.6 per cent to Rs 1,92,959 crore.
The bank's deposits rose 30.1 per cent to Rs 2,69,660 crore. Out of this, retail credit, which forms 18.91 per cent of its overall advances, grew 27 per cent to Rs 27,192 crore, while that of MSMEs rose 40.1 per cent to Rs 23,507 crore and that of farm credit by 21.5 per cent to Rs 21,555 crore.
Interest expenses stood at Rs 5,989.49 crore, a modest growth of 7.5 per cent due to good liability management, which helped the bank to report better numbers. Similarly, employee cost too grew moderately 3.6 per cent.