Bank of Baroda Q1 Result: Net profit rises 2% at ₹4,541 crore; NII declines marginally

The PSU bank’s net interest income (NII), however, declined 1.4% to ₹11,435 crore year-on-year (YoY) as against ₹11,600 crore in Q1 FY25.

On the asset quality front, Bank of Baroda’s gross non-performing asset (NPA) was reported at 2.28%, in contrast to 2.26% quarter-on-quarter (QoQ). Net NPA for Q1 FY26 was seen at 0.6% as against 0.58% QoQ.

For the quarter under review, the net interest margin (NIM) stood at 2.91% as compared to 2.98% QoQ. Global NIM for Q1FY26 was at 2.91%, while domestic NIM was at 3.06%.

“Bank delivers strong operating performance with calibrated growth and resilient asset quality,” Bank of Baroda said in a statement.

Ahead of the earnings on Friday, shares of Bank of Baroda settled at ₹243.30 apiece on the National Stock Exchange, declining 1.44%.

BoB's global advances registered a growth of 12.6% YoY, and gross domestic advances grew by 12.4% in Q1 FY26.

Domestic current account and savings account (CASA) deposits registered a growth of 5.5% YoY at ₹4,73,637 crore as of June 30, 2025.

The provision coverage ratio of the bank stood at 93.32% at the end of the quarter in contrast to 93.18% in the same quarter of the previous fiscal year.

For Q1 FY26, the lender’s capital adequacy ratio rose 79 basis points to 17.61%, from 16.82% in Q1 FY25.

Steady growth in operating income and contained growth in operating expenses led to a YoY reduction of 30 bps in the cost-to-income ratio, which stands at 48.87% for Q1 FY26.

During the quarter, Return on Assets (ROA) remains above 1% and stands at 1.03%, while Return on Equity (ROE) was seen at 15.05%.

Bank of Baroda’s credit cost remains below 0.75% at 0.55% for Q1FY26.