Bank of India experienced a notable upswing of over 2 percent in early trading on October 31, propelled by the public sector lender’s announcement of revised lending rates.
By 12:28 pm, the stock was trading at Rs ₹97.55, reflecting a 1.99 percent increase. According to an October 30 regulatory filing, the bank disclosed adjustments in its marginal cost of fund based lending rate (MCLR) effective from November 1, aligning with the pricing policy approved by the Board.
In the revised rates, the overnight MCLR remained steady at 7.95 percent, while the MCLR for periods ranging from one month to three years experienced a marginal uptick of 5 basis points.
It is noteworthy that Bank of India is yet to unveil its Q2FY24 earnings. In Q1FY24, the bank showcased a remarkable 176 percent year-on-year surge in net profit for the quarter ending June 2023, reaching Rs 1,551 crore.
The net interest income (NII) also exhibited substantial growth, ascending by 45 percent YoY to Rs 5,915 crore.
During the same quarter, the bank disclosed a Current Account Savings Account (CASA) ratio of 44.52 percent, marking a 7.56 percent YoY rise from the previous fiscal.
Additionally, the Gross Non-Performing Assets (GNPA) ratio witnessed a 263 basis points YoY increase, reaching 6.67 percent, while the Net Non-Performing Assets (NPA) ratio saw a 56 basis points YoY decline, settling at 1.65 percent.
