Bank of Baroda Q2 profit dips 8% YoY to ₹4,809 cr; asset quality strengthens, retail loans up 18%
Mumbai: Bank of Baroda (BoB) reported a year-on-year decline of 8.2% in its Q2FY26 net profit, which stood at ₹4,809 crore, compared to ₹5,238 crore in the same quarter last year.
Sequentially, however, profit rose 5.9% from the previous quarter, supported by healthy loan growth, higher margins, and lower credit costs.
For the first half of FY26, the bank posted a net profit of ₹9,351 crore, marginally lower than ₹9,696 crore in H1FY25.
Net Interest Income (NII) rose 2.7% YoY to ₹11,954 crore, while Non-Interest Income came in at ₹3,515 crore.
Operating profit stood at ₹7,576 crore, down from ₹9,477 crore a year earlier.
Profitability metrics remained steady, with Return on Assets (ROA) at 1.07% and Return on Equity (ROE) at 15.37%.
The Global Net Interest Margin (NIM) improved to 2.96% from 2.91% in the previous quarter, while the Domestic NIM stood at 3.10%.
The bank’s asset quality continued to improve, with Gross NPA reducing to 2.16% from 2.50% last year and Net NPA at 0.57%, down 3 bps YoY.
The Provision Coverage Ratio (PCR) stood strong at 93.21%, while credit cost remained contained at 0.29%.
On the business front, global advances grew 11.9% YoY to ₹12.78 lakh crore, led by strong retail lending momentum.
Domestic advances rose 11.5%, while the retail loan portfolio expanded 17.6%, driven by solid growth in mortgage (19.8%), auto (17.7%), home (16.5%), and personal loans (18.6%).
The Retail, Agri, and MSME (RAM) segment now forms 61.7% of total advances.
Deposits also showed healthy growth — domestic deposits increased 9.7% YoY to ₹12.72 lakh crore, and global deposits rose 9.3% to ₹15 lakh crore.
The bank’s Capital Adequacy Ratio (CRAR) remained comfortable at 16.54%, with a Tier-I ratio of 14.15%.
Support Our Journalism
We cannot do without you.. your contribution supports unbiased journalism
IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.
