Bank of Baroda reported a standalone net profit of Rs 1,278 crore for the June quarter, down 71.86% year-on-year from Rs 4,541.4 crore in the same period last year. The loss comes after the state-owned lender booked a one-time exceptional loss of Rs 5,680.2 crore linked to an out-of-court settlement by its Abu Dhabi branch.
According to the Q1 report, the country’s second-largest public sector bank’s core operations showed steady momentum. Net interest income for Q1 FY27 rose 9.5% to Rs 12,524 crore, up from Rs 11,435 crore in the corresponding quarter of the previous fiscal.
Asset quality improves, capital buffer thins
The public lender’s asset quality strengthened during the quarter. Net non-performing assets eased 10 basis points to 0.5%, down from 0.6% a year earlier. However, the bank’s capital adequacy ratio fell sharply to 16.31%, down 130 basis points from 17.61% in the year-ago quarter.
Bank of Baroda’s net non-performing assets rose to 0.5% in the first quarter of the current financial year from 0.45% in the January-March quarter of FY26.
On the business front, Bank of Baroda’s global advances grew 17.4% year-on-year to Rs 14.17 lakh crore. Domestic advances rose 16.1% to Rs 11.51 lakh crore, while international advances climbed a sharper 23.3% to Rs 2.66 lakh crore.
On the liabilities side, global deposits increased 13.8% to Rs 16.34 lakh crore and domestic deposits rose 14.7% to Rs 13.82 lakh crore. Domestic CASA deposits grew 10% year-on-year to Rs 5.21 lakh crore.
Retail portfolio leads growth
Retail lending remained a key driver for the bank, with organic retail advances rising 18.4%. Within this segment, auto loans grew 25.3%, mortgage loans 27.4%, home loans 14.7% and education loans 10.8%.
