Bank of India(BoI) net profit jumped by 247% in Q1

Bank of India(BoI) reported a net profit of Rs 843.6 crore in the quarter ended June 2020, a rise of 2.5X as against Rs 242.6 crore in a year-ago period, due to lower provisions.

Net Interest Income (NII) in Q1FY21 was down marginally to Rs 3,481.1 crore from Rs 3,485.4 crore, compared to the same period a year ago.

Pre-provision operating profit increased to Rs 2,844.52 crore from Rs 2,271.35 crore in the same period last year.

Asset quality during the quarter improved significantly as gross non-performing assets (NPA) fell 6.1 percent to Rs 57,787.8 crore from Rs 61,549.9 crore while net NPA declined 7.3 percent to Rs 13,275 crore from Rs 14,320.1 crore, compared to the previous quarter.

Gross NPA as a percentage of gross advances fell by 90 bps to 3.6 percent from 3.9 percent and net NPA as a percentage of net advances decreased by 30 bps to 3.6 percent from 3.9 percent, on a sequential basis.

Total provisions in Q1FY21 declined to Rs 1512.07 crore from Rs 8,141.92 crore in the previous quarter. Provisions during Q1FY20 were at Rs 1,911.98 crore.

The Provision Coverage Ratio of the bank as on June 30, 2020, was 84.87 percent versus 83.74 percent as on March 31, 2020, and versus 77.18 percent as on June 30, 2019.