Mumbai: Bank of India (BOI) reported strong financial performance for the second quarter of the financial year 2026-27 (Q2 FY27), with net profit rising 25.34% year-on-year (YoY) to ₹3,202 crore. The bank also recorded significant growth in operating profit, total business, deposits and advances, supported by improved asset quality and stronger operational efficiency.
Operating profit increased 33.19% year-on-year to ₹5,089 crore, while the bank’s global business expanded to ₹18,92,601 crore as of September 2026. The improvement in profitability and declining non-performing asset (NPA) ratios reflect the bank’s continued focus on business growth, financial stability and operational performance.
Bank of India Q2 FY27 Results: Key Highlights
Bank of India’s financial performance for the July-September quarter of FY27 showed growth across major business and profitability indicators.
- Net Profit: ₹3,202 crore, up 25.34% year-on-year.
- Operating Profit: ₹5,089 crore, up 33.19% year-on-year.
- Global Business: ₹18,92,601 crore, up 21.13%.
- Global Deposits: ₹10,37,530 crore, up 21.59%.
- Global Advances: ₹8,55,071 crore, up 20.58%.
- RAM Advances: Up 18.68% year-on-year, accounting for 58.63% of total advances.
- Gross NPA Ratio: Improved to 1.60%.
- Net NPA Ratio: Improved to 0.42%.
- Cost-to-Income Ratio: Improved to 47.95%.
Bank of India Asset Quality Improves in Q2 FY27
Bank of India reported an improvement in asset quality during the September 2026 quarter, with both gross and net non-performing asset ratios declining compared with the previous quarter.
The gross NPA ratio stood at 1.60% in September 2026, compared with 1.81% in June 2026, marking an improvement of 94 basis points year-on-year. The net NPA ratio declined to 0.42% from 0.51% in the previous quarter, improving by 23 basis points year-on-year.
The bank’s provision coverage ratio (PCR), which measures the extent to which provisions have been set aside against bad loans, increased to 94.45% in September 2026 from 93.39% a year earlier.
Meanwhile, the slippage ratio stood at 0.15%, and the credit cost was recorded at 0.12%. These indicators reflect the bank’s focus on controlling fresh slippages, managing credit risk and maintaining asset quality.
Global Business Grows 21.13% to ₹18.93 Lakh Crore
Bank of India’s global business increased 21.13% year-on-year to ₹18,92,601 crore as of September 2026, driven by strong growth in both deposits and advances.
Global deposits rose 21.59% to ₹10,37,530 crore, while global advances increased 20.58% to ₹8,55,071 crore. The growth highlights the expansion of the bank’s deposit base and lending activities during the quarter.
The bank also recorded healthy growth across its retail, agriculture and micro, small and medium enterprise (MSME) lending segments, which form an important part of its overall credit portfolio.
Retail, Agriculture and MSME Advances Record Double-Digit Growth
Bank of India continued to expand its RAM (Retail, Agriculture and MSME) portfolio, with advances in these segments growing 18.68% year-on-year. The RAM portfolio accounted for 58.63% of the bank’s total advances.
Segment-wise performance included:
- Retail Advances: Increased 19.27% year-on-year to ₹1.74 lakh crore.
- MSME Advances: Rose 20.27% to ₹1.18 lakh crore.
- Agriculture Advances: Grew 16.34% to ₹1.21 lakh crore.
The double-digit growth across these lending categories highlights the bank’s continued focus on retail customers, agricultural credit and financing for small businesses. The RAM portfolio’s contribution of 58.63% to total advances also underlines the importance of these segments in the bank’s overall lending strategy.
Profitability and Operating Efficiency Strengthen
Bank of India recorded improvements in key profitability and efficiency indicators during Q2 FY27.
The cost-to-income ratio improved by 507 basis points year-on-year to 47.95%, indicating better operating efficiency. A lower cost-to-income ratio generally suggests that a bank is spending less on operations relative to the income it generates.
Return on assets (ROA) improved by 10 basis points year-on-year to 1.01%, while return on equity (ROE) increased by 142 basis points to 16.36%.
The bank’s global net interest margin (NIM), which measures the difference between interest earned on lending and interest paid on deposits relative to interest-earning assets, improved by six basis points year-on-year to 2.47%.
These improvements indicate stronger profitability and better efficiency in the bank’s operations.
Bank of India Capital Adequacy Ratio Strengthens to 17.78%
Bank of India also reported a stronger capital position during the quarter. Its capital to risk-weighted assets ratio (CRAR) increased by 109 basis points year-on-year to 17.78%.
The Common Equity Tier 1 (CET-1) ratio stood at 15.49%. These capital adequacy indicators reflect the bank’s capital strength and its capacity to support lending activities while maintaining a financial buffer against potential risks.
About Bank of India (BOI)
Bank of India is a public sector bank in India that provides a wide range of banking and financial services to retail customers, businesses, agricultural borrowers and corporate clients. Its services include deposits, loans, digital banking, MSME financing and other financial products. The bank operates through a network of branches and other banking channels, serving customers across India and in international markets.
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