Debasis Mohapatra
Kochi, 27 July 2026
Bank of Baroda shares were trading in red with marginal losses in early trade on Monday after the public sector bank posted a mixed set of results last week.
Bank of Boroda posted a net profit of Rs 1,278 crore, which was a decline of 71.9% from Rs 4,541 crore reported in the corresponding quarter last year.
The fall in net profit was attributed to a one-time expense of Rs 5,680.23 crore incurred during June quarter, related to payments to NMC Group to settle a legal dispute. Notably, Bank of Baroda has agreed to pay $600 million in an out-of-court settlement for resolving pending litigation linked to the collapse of United Arab Emirates (UAE)-based healthcare provider NMC Health.
During Apri-June period, Net Interest Income (NII) increased 9.5% to Rs 12,526 crore year-on-year basis.
Asset quality of the bank deteriorated sequentially.Gross non-performing assets (GNPA) rose to 1.99% in Q1 of FY27 from 1.89% reported in the previous quarter.
Net non-performing assets (NNPA) increased to 0.50% from 0.45%, indicating a sequential deterioration in the bank’s bad loan ratios.
Provisions of the bank declined sharply to Rs 643 crore, down 79.6% sequentially from Rs 3,150 crore reported in March quarter, reflecting a much lower provisioning requirement.
Meanwhile, the bank has approved an increase in its overseas resource-raising limits by doubling the borrowing limit through various loan facilities to $10 billion from $5 billion, as the public sector lender looks to strengthen its business from its international operations.
