Shares of Bank of Baroda plunged over 8% on Monday, trading at ₹229.07 as of 2:40 PM, down ₹20.06 from the previous close of ₹249.13. The sharp decline came despite the lender posting a rise in quarterly profit, as investors reacted to subdued NII and increased slippages.
Bank of Baroda reported a standalone net profit of ₹5,048 crore for the fourth quarter of FY25, a modest rise from ₹4,886 crore in Q4FY24. The growth in profit came even as the bank reported a drop in net interest income (NII) to ₹11,019.6 crore from ₹11,792 crore in the year-ago period.
Total income for the quarter climbed to ₹35,851.85 crore from ₹33,774.87 crore YoY. Operating profit before provisions stood at ₹8,132 crore, marginally up from ₹8,106 crore, while provisions and contingencies rose to ₹1,551 crore from ₹1,302 crore. Tax expenses also saw an increase to ₹1,523 crore versus ₹1,303 crore.
Asset quality showed visible improvement. The Gross NPA ratio fell to 2.26% from 2.92% a year earlier, while Net NPA improved to 0.58% from 0.68%. However, fresh slippages during the quarter stood at ₹29,000 crore, higher than ₹25,000 crore reported in Q3FY25, raising some caution among investors.
For the full year FY25, Bank of Baroda posted a net profit of ₹19,581 crore, up from ₹17,788 crore in FY24. The full-year NII stood at ₹44,368 crore, slightly lower than ₹45,231 crore a year earlier.
Despite steady performance on key financial metrics and asset quality, the drop in core income and elevated fresh slippages weighed on market sentiment, leading to the day’s sharp stock correction.
Key Financial Highlights (Q4FY25 YoY):
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Net Profit: ₹5,048 crore vs ₹4,886 crore (↑3.3%)
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Net Interest Income (NII): ₹11,019.6 crore vs ₹11,792 crore (↓6.5%)
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Fresh Slippages: ₹29,000 crore vs ₹25,000 crore (QoQ)
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Gross NPA: 2.26% vs 2.92%
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Net NPA: 0.58% vs 0.68%
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Operating Profit: ₹8,132 crore vs ₹8,106 crore
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Total Income: ₹35,851.85 crore vs ₹33,774.87 crore
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