Total income declined 2.6% to Rs 20,312.44 crore in Q1 June 2020 over Q1 June 2019. The result was announced after market hours yesterday, 10 August 2020.
The bank's net interest income (interest earned minus interest expended) grew by nearly 5% to Rs 6,816 crore in Q1 June 2020 from Rs 6,497 crore in Q1 June 2019. The bank's global net interest margin (NIM) during Q1 June 2020 stood at 2.55% while domestic NIM in Q1 June 2020 stood at 2.63% compared with 2.62% and 2.73% respectively during the same period last year.
The bank's provisions and contingencies surged 71.3% to Rs 5627.70 crore in Q1 June 2020 from Rs 3284.88 crore in Q1 June 2019. The bank said it made provisions on standard accounts of Rs 1,811 crore. With respect to COVID-19 provisioning, the bank made fresh provision of Rs 996.11 crore in Q1 June 2020. The bank's provision coverage ratio in Q1 June 2020 stood at 83.30% higher than 77.34% reported in the same quarter last year.
On the asset quality front, the bank's gross non-performing assets (NPAs) stood at Rs 69,132.01 crore as on 30 June 2020 as against Rs 69,381.43 crore as on 31 March 2020 and Rs 69,713.95 crore as on 30 June 2019. The ratio of gross NPAs to gross advances stood at 9.39% as on 30 June 2020 as against 9.4% as on 31 March 2020 and 10.28% as on 30 June 2019. The ratio of net NPAs to net advances stood at 2.83% as on 30 June 2020 as against 3.13% as on 31 March 2020 and 3.95% as on 30 June 2019.
Bank of Baroda's slippage ratio fell to 1.64% in Q1 June 2020 compared with 3.56% in Q1 June 2019. The bank's domestic slippage ratio in Q1 June 2020 was at 0.45%.
Global advances increased by 8.6% led by international, domestic organic retail and corporate loans which grew by 13.93%, 13.5% and 9.16% respectively. Domestic CASA ratio increased to 39.49%, higher by 294 bps YoY. Retail term deposits increased by 10.4% YoY. Cost of deposits in Q1 FY21 is lower by 53 bps YoY at 4.95%.
BOB said that the total moratorium on term loans availed is 21.4% of total loan book. Of which 15.7% is by borrowers with outstanding above Rs 10 lakhs who were given an option. The bank's capital adequacy ratio improved to 12.84% in Q1 June 2020 from 11.5% in Q1 June 2019.
Bank of Baroda is a public sector bank. The Government of India held 71.60% in the bank as on 30 June 2020.