MUMBAI, 9 MAY, 2025 (TGN): Public sector lender Bank of India (BoI) reported a net profit of ₹2,626 crore for the fourth quarter of financial year 2024–25 (Q4FY25), marking an 82.5 per cent year-on-year (Y-o-Y) increase, aided by robust non-interest income.For the full FY25, the lender posted a net profit of ₹9,219 crore, registering 45.92 per cent Y-o-Y growth.
The board recommended a dividend of ₹4.05 per share for FY25, subject to statutory and shareholder approval. On Friday, Bank of India’s share closed 2.55 per cent higher at ₹110.5 on the BSE.
Net interest income (NII)—a key revenue component—rose 2.14 per cent Y-o-Y in Q4FY25 to ₹6,063 crore.
However, the net interest margin (NIM)—the difference between interest earned and interest paid—from domestic operations in Q4FY25 declined to 2.61 per cent, from 2.92 per cent in the same period last year.
Shri Rajneesh Karnatak, Managing Director and CEO, BoI, said during the post-results interaction that margins will remain under pressure due to anticipated rate cuts. The Reserve Bank of India has already cut the repo rate by 50 basis points, and a further 50 bps cut is expected. While lending rates on external benchmark-linked loans are adjusted immediately, the repricing of deposits happens with a lag, putting pressure on margins. The expected impact of the softening interest rate is around 20 basis points, he added.
Non-interest income—including fees, commission, and treasury gains—nearly doubled, rising 96 per cent to ₹3,428 crore in Q4FY25 from ₹1,747 crore a year ago.
Provisions for non-performing assets (NPAs) fell to ₹1,347 crore in Q4FY25 from ₹2,043 crore in Q4FY24.
BoI reported 13.74 per cent Y-o-Y growth in advances, reaching ₹6.66 trillion at the end of March 2025. The bank has provided credit growth guidance of 12–13 per cent for FY26 and has a sanctioned corporate loan pipeline of ₹60,000 crore, Karnatak said.
Deposits rose 10.65 per cent Y-o-Y to ₹8.16 trillion. The bank expects deposit growth of 11–12 per cent in FY26, he added.
Asset quality improved, with gross NPAs declining to 3.27 per cent from 4.98 per cent a year earlier. Net NPAs fell to 0.82 per cent from 1.22 per cent in March 2024. The provision coverage ratio (PCR), including technical write-offs, stood at 92.39 per cent in March 2025.
The capital adequacy ratio stood at 17.77 per cent, with the common equity tier-I (CET-1) ratio at 14.84 per cent.
Balance Sheet:
Bank’s Global Advances grew by 13.74% with Domestic Advances grew by
14.45% YoY. Bank’s Global Advances crossed ₹ 6 Lakh crores.
Overseas Advances grew by 9.97% YoY.
Retail Advances grew by 19.93% YoY, MSME Advances grew by 18.39% YoY
followed by Agriculture Advances which grew by 16.30% YoY and Corporate
Advances grew by 9.59% YoY.
Bank’s Deposits grew by 10.65% YoY with Domestic Deposits grew by 11.21%
YoY. CASA Deposit grew by 3.86% YoY and CASA ratio stands at 40.28% as on
31st March, 2025.
Profitability:
Operating Profit for FY25 grew by 17% YoY to Rs.16,412 crores while Operating
Profit for Q4FY25 grew by 37% YoY to Rs.4,885 crores.
Net Profit for FY25 stands at ₹9,219 crores witnessing growth of 46% YoY. Net Profit
for Q4FY25 grew by 82% YoY to ₹2,626 crores,
Bank’s ROA and ROE for FY25 stand at 0.90% and 15.27% respectively.
Net Interest Income (NII) for FY25 increased by 6% YoY.
Net Interest Margin (NIM) of Global and Domestic for FY25 stand at 2.82% and 3.10% respectively.
Global and Domestic NIM for Q4FY25 stand at 2.61% and 2.91% respectively.
Asset Quality:
Gross NPA ratio at 3.27% improved by 171 bps YoY.
Net NPA ratio at 0.82% improved by 40 bps YoY.
PCR improved by 180 bps YoY and stands at 92.39%.
Slippage Ratio for FY25 improved by 22 bps YoY and stands at 1.36%. Slippage
Ratio for Q4FY25 improved by 6 bps YoY and stands at 0.32%.
Credit Cost for FY25 improves by 2 bps YoY to 0.76%.
Capital Adequacy:
Capital Adequacy Ratio (CAR) as at the end of FY25 stands at 17.77%.
Alternate Channels:
Over 440 services available in Mobile Banking App “BOI Mobile Omni Neo Bank”.
Share of Alternate Channels in total transactions increased from ~93.9% in FY24 to
~95.9% in FY25.
