INSUBCONTINENT EXCLUSIVE:
Shares of Bank of Baroda (BoB) were trading over 2 per cent higher in morning trade on Tuesday ahead of its financial results for the
quarter ended December 2018
The scrip was up 2.11 per cent at Rs 111.50 at around 10.25 am (IST), while the BSE Sensex was down 42.75 points, or 0.12 per cent, at
35,613.31 at around the same time
Brokerage firm Motilal Oswal Financial Services sees 734.60 per cent year-on-year rise in net profit of Bank of Baroda on 6.6 per cent
increase in net interest income
The brokerage also believes that the asset quality of the lender is likely to remain stable
Gross NPA of the public lender has been projected at 11.10 per cent against 11.80 per cent on QoQ basis.
The management aims to develop more
sustained fee income streams, which, coupled with an improvement in treasury performance, are expected to result in an uptick in other
income.
Kotak Institutional Equities sees 1861 per cent year-on-year and 415 per cent quarter-on-quarter jump in profit after tax for BoB in
It also projected 11 per cent YoY and 9 per cent QoQ rise in net interest income (NII)
Pre-provisioning profit may dip 5 per cent YoY.
Kotak expects fresh slippages at over 3 per cent as some of the pending non-performing loans
(ILFS subs) are recognised while gross NPLs are set to decline led by a few resolutions
“Progress of the merger would be discussed,” Kotak said.
