Top PSU Bank Reports 168% YoY Jump In Profit, Declares Rs 5.5/Share Dividend

Indian public sector bank headquartered in Vadodara, Bank of Baroda on May 16 declared 168% year-on-year (YoY) jump in its standalone net profit to Rs 4775 crore for the fourth quarter ended March 2023 as against Rs 1779 crore reported last year in the same quarter. Board of directors of the PSU bank also recommended a dividend of Rs 5.50 per equity share. Check details below:

Bank of Baroda Recommends Dividend: According to the regulatory filing of the bank, "recommended a dividend at Rs. 5.50 (Rupees Five and Fifty Paise only) per equity share (Face Value Rs.2/- each fully paid up) for the FY2022-23 subject to declaration / approval at the ensuing 27th Annual General Meeting."

Bank of Baroda Stock Performance & Return: The current market price of Bank of Baroda share is Rs 186.60 per share with intraday gain of 1.52% on BSE. The stock's 52-week high price is Rs 197.20 apiece and 52-week low price is Rs 89.90 apiece, respectively.

The bank has a market capitalisation of Rs 96,497.62 crore. Shares of Bank of Baroda 87% in last 1-year only, 151% in last 2-years, and a huge 348% in last 3-years.

Bank of Baroda Q4: The bank announced its net interest income (NII) for the quarter soared 33.8% to Rs 11,525 crore. It is worth noting that the NII jumped 26.8% YoY for FY23 to Rs 41,355 crore. Meanwhile, the global NIM came at 3.53% for Q4FY23, registering a rise of 45 bps YoY. NIM for FY23 registered at 3.31 % as against 3.03% for FY22. Domestic NIM registered at 3.65% for Q4FY23, up 51 bps YoY. NIM for FY23 registered at 3.42% as against 3.09% announced in FY22.

Bank of Baroda's global advances surged to Rs 9,69,548 crore, up 18.5% YoY, as a result of strong retail loan book growth. On the other hand, domestic advances of the Bank jumped to Rs 7,95,560 crore, up 16.3% YoY. International advances rose by 6.3% sequentially in Q4FY23 and registered at Rs 1,73,988 crore.

According to Gaurav Jani, Research Analyst, Prabhudas Lilladher Pvt Ltd, "Earnings beat led by stronger fees, recovery from TWO and lower provisions. NII was largely in-line at Rs115bn (PLe Rs116bn) since NIM and loan growth came in as expected. NIM was exactly in-line at 3.70% with both, yield on IEA and cost of funds meeting expectations. Loan growth was 4.9% QoQ and 21.1% YoY while deposit growth was 4.7% QoQ and 15% YoY. Sequential loan growth was led by retail/SME at 6.7%/5.0% while deposit accretion was largely led by CASA (+5.9%) and wholesale TD (+7.6%)."