New Delhi: Bank of Baroda has reported a strong set of financial results for the fourth quarter and full year FY26, with net profit rising to ₹5,616 crore, marking an 11.2% year-on-year growth. The board has also recommended a dividend of ₹8.50 per equity share for shareholders.
The results were announced after the board meeting held in Mumbai on May 8, 2026.
Strong Q4 Performance Driven by Higher Income
In Q4 FY26, the bank delivered healthy growth across key parameters:
- Net Profit: ₹5,616 crore (up 11.2%)
- Net Interest Income (NII): ₹12,494 crore (up 8.7%)
- Operating Profit: ₹9,069 crore (up 11.5%)
- Non-Interest Income: ₹3,967 crore
- Return on Equity (ROE): 17.27%
- Return on Assets (ROA): 1.15%
Global Net Interest Margin (NIM) stood at 2.89%, reflecting stable profitability.
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Full-Year FY26 Profit Crosses ₹20,000 Crore
For the full financial year FY26, Bank of Baroda recorded:
- Net Profit: ₹20,021 crore (up 2.2%)
- Net Interest Income: ₹47,682 crore (up 2.5%)
- Operating Profit: ₹32,259 crore
- ROE: 15.39%
- ROA: 1.06%
The bank maintained steady growth despite a challenging global banking environment.
Dividend Announcement and Key Dates
The board has recommended a 425% dividend (₹8.50 per share) on a face value of ₹2.
- Dividend: ₹8.50 per share
- Record Date: June 5, 2026
- AGM Date: June 23, 2026 (via VC/OAVM)
- Payment: Post shareholder approval
Major Improvement in Asset Quality
The bank reported significant improvement in asset quality:
- Gross NPA: 1.89% (down from 2.26%)
- Net NPA: 0.45% (improved by 13 bps)
- Provision Coverage Ratio: 93.94%
- Slippage Ratio: 0.89% (improved YoY)
- Credit Cost: 0.76%
The reduction in NPAs reflects stronger recovery and risk management.
Strong Growth in Loans and Deposits
Bank of Baroda reported robust business expansion:
- Global Advances: ₹14.29 lakh crore (up 16.2%)
- Global Deposits: ₹16.48 lakh crore (up 12%)
- Retail Loan Growth: 17.9%
- MSME Portfolio: up 15.6%
- Agriculture Loans: up 20.7%
- Corporate Advances: up 11.2%
CASA deposits also rose nearly 10%, indicating strong retail participation.
Capital Strength and Financial Stability
- CRAR: 15.82%
- CET-1 Ratio: 13.16%
- Tier-1 Capital: 13.64%
The bank also announced plans to raise up to ₹6,000 crore via AT1 and Tier-II bonds to further strengthen its capital base.
One-Time Financial Adjustments and Legal Updates
During the quarter, the bank recorded:
- Tax provision reversal of ₹1,29,383 lakh after favourable ITAT rulings
- Additional provisioning of ₹52,037 lakh due to actuarial assumption change
- Completion of family pension amortisation
The bank also confirmed ongoing legal proceedings in the NMC Group matter, stating it has filed a strong defence.
Audit Report and Compliance
Statutory auditors issued an unmodified (clean) audit opinion on both standalone and consolidated financial statements, confirming compliance with SEBI regulations.
About Bank of Baroda
Bank of Baroda (BoB) is one of India’s leading public sector banks with a strong domestic and international presence. Headquartered in Mumbai, the bank offers a wide range of banking and financial services across retail, corporate, agriculture, and MSME segments.
