Bank of Baroda Financial Results Q2 and H1, 2015-16 (FY16) November6,2015


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Bank of Baroda Financial Results Q2 and H1, 2015-16 (FY16) November6,2015 tn]frfrdlr Bankd Barula . TotalBusiness at{ 10,27,358 crore at end-Sept,2015, up 7.84%, (y-o-y} . Domestic CASA shar€ held steady at 31.95% . Gross NPA at 5.56% & Net NPA at 3.08% . Provision Coverage Ratio at58,23% . Opeiating Profit { 2,337 crore in Q2, FY16, marginally down by 2.74% (y-o-y} . N€t Prolit at{ 124 crore;n Q2, FYl6 versus { 1,104.rore in Q2, FY15 . CRAR (Basel ll) at 13.28% and CRAR (Basel lll) at 12.51% Bank of Baroda announced its reviewed results for the second qua.ter of 2015-16 (Q2, FY16) following the approval of its Board of Directors on November 6, 2015, Results at a Glance BUSINESS EXPANSION The Bank s Total Eusiness expanded by 7.84o/” ly-o-y) to<70,27,358 crore in Q2, FY16. Total Deposits increased by 8.03% (y o-y) to < 6,12,458 crore. Share of domestic CASA ,, deposits improved to 31.95% in Q2 FY16 from 31.89% in Q1, FY16. Total Advances increased by 7.55% {y-o-y) to { 414900 crore. lhe growth in domestic loanbook was diversified. Retail Credit increased by IO.75% {y-o-y) to t 52,188 crore and formed 18.17% of its Gross Domestic Credit as on 3oth Sept, 2015. Farm Credit grew by 15.95% (y-o-y) to < 35,595 crore. The Bank’s Overs€as gusiness continued to occupy a significant positioo in its overall business. During Q2, FY16, the Overseas Operations contributed 31.71% to the Bank’s Total Business. \j.. Particular quarterly Results Half-Yearly Resultt Q2:FY16 [< crore) Q2:FY15 ({ crore} % Change H1:FY16 (l crore) H1:FY15 (lcrore) % Change Total Income 12,300.40 LL,ar7.32 4.@% 24,544.72 23,499.42 4.44% Interest lncome 11,156.36 lo,425.67 3.O5% 22,432.45 27,443.63 4-42% Intetest Expenses 1,9!1.90 7,424.56 6.56% 75,724.76 t4;/s4.2t 6.67% Net lnter€st lncome 3,244,47 3401.11 4.67% 6,7(X.09 6,729.42 -0.38% Otherlncome 7,r44,O4 991.55 L5.37% 2,71L,28 2,016.19 4.72% Total Expenses 9,963.38 s.a3% 20,005.15 14,677.29 7.45% Operating Expenses 2,O57.49 1,989.83 3.1U/o 4,276.39 3,863.08 70.7tr4 ofwhich Employee cost 1,043.98 7,707.43 5.16% 2,349.06 2,2r3.33 7.94% Operating Profit 2,337.O2 2,402.93 -2-74% 4,538.98 4882.s3 -7.44% Provision forTax 320.84 470.67 -2r.47% 870.90 1,001.68 13.06% Provision (other than tax) & contingencies 1891.70 888.04 773.O2% 2,497.44 76-10% Net Profit r24,44 1,7O4.22 -44,73% 1,a76.63 2,466.rO -s2.21t 5 INCOME The Banl(s Total Income grew by 4,09% (y-o-y) to <12,300 crore in Q2, FY16 and Net Interest fncome stood at I 3,244 crore (down 4.6Iyo, y-o-yl. Other lncome, howevet increased buoyantly by 15.37% to { 1,144 crore primarily due to improved lrading gains. EXPENSES The Bank’s Total Expenses grew at the controlled pace of 5.83% (y-o-y) to < 9,963 crore in Q2, FY16 aided by a modest growth of 3.10% (y-o-y) in Operating Expenses to < 2,051 crore and 6.56% (y-o-y) in Interest Expenses to 17,912 crore. ASSET QUALITY Gross NPA of the Bank increased to < 23,710 crore as on sept 30,2OtS frcm < 17,274 (Iorc as on June 30, 2015. Fresh slippage during the quarter was higher at t 6816 crore reflecting continued stress in corporate portfolio both in domestic and overseas loan book. The Gross NPA ratio stood at 5,56% as on 3o’n sept, 2015, while the Net NPA ratio stood at 3.08%. Gross NPA of overseas business was 3.17% in Q2, FY15 while net NPA wasl,7396- Restructured assets (Standard) of the Bank were t 22,930 crore as on 30.09.2015 as against levelof< 25.541crore ason 30.06.2015. Provisions and Contingencies (excluding tax provisions’ made by the Bank stood at t1,891 crore in Q2, FY16 versus < 888 crore in Q2, FY15. lncrease in non-tax provisions was mainly on account of higher provisions against non-performing assets during Q2, FY16. Provisions against “NPAs/8ad Debts written off’stood at { 1,844 crore in Q2, FY16. Provision Coverage Ratio (PCR) of the Bank was 58.23% as on 30″ September 2015. Banks Tax Provision was lower by 21.87% (y-o-y) to I 321 crore. PROFIT The BanlCs Operating Profit was {2,337 crore in Q2, FY16 (marginally down by 2.74y” on y o-y basis) as against {2,403 crore in Q2, FY15. The lower growth in interest earnings contibuted to decline in operating profit. Howevet on Q o-Q basis, it increased by 6.13% from Q1 FY16 figure oI < 2,202 (l,ore.Its Net Profit for Q2, FY16 stood at {124 crore, down 88.73% (y-o y) due to higher provisions on slippages during the quarter. a, CAPITAL ADEQUACY The CRAR (Basel tll) was at 12.51% as on 3oth Sept, 2015. out of this, the share of Tier 1 capital was 9.9296 and that of CET 1 Capital was 9.42%. lt does not include half yearly profits upto 30s SeDtember 2015. KEY FINANCIAL RATIOS . The Bank’s Net worth expanded by 5.97% (y-o-y) to < 39,858 crore as on 30th Sept, 2015. . The Bank’s gook Value per Share improved to < 172.98 as on 30′” Sept, 2015 . In annualized terms, the EPS stood at Rs 10.9. . fn annuafized terms, the Bank’s Return on Equity stood at 5.90% in H7, Fy!6. . lts Return on Average Assets stood at 0.33% in H1, FY16. AWARDS H1. FY16 o Bank of Baroda was conferred the Best Public sector Bank under the cateSory Global Business at the Dun & Bradstreet Banking Awards 2015. . Bank of Baroda was awarded HR Excellence Award by Business world for “Best initiative for Engaging Superannuated Employees”. . Bank of Baroda won First Prize under All India Rajbhasha Kriti Purashkar Scheme of Gow. of India for Bank’s outstanding performance in Official Language lmpleflentation under the category of nationalized banks in linguistic region “8”, for the year 2074 I5 November 6, 2015 V.s. Narang Mumbai GeneralManager {strategic Planning & Performance gudgeting} and Chief Information Officer 3

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