Bank of India Q4 net profit soars 82% to Rs 2,626 crore; eyes 12% loan growth in FY26

Bank of India reported a robust 82% year-on-year increase in its net profit for the January-March 2025 quarter, reaching Rs 2,626 crore. This surge was primarily driven by significant treasury gains and a substantial rise in recoveries from written-off accounts.The bank's core net interest income (NII) grew by 2% to Rs 6,063 crore, while other income nearly doubled, up 96% to Rs 3,428 crore.The bank's managing director and CEO, Rajneesh Karnatak, announced a target of 12-13% loan growth and 11-12% deposit growth for the fiscal year 2025-26. Despite the narrowing of the net interest margin (NIM) to 2.61% from 2.92% in the previous year, the bank remains optimistic about sustaining high growth rates. The overall capital adequacy ratio stood at 17.77%, with a core buffer of 14.84% as of March 31, 2025.Recoveries from written-off accounts jumped 195% to Rs 1,193 crore, while treasury gains rose 87% to Rs 711 crore, contributing to the sharp increase in other income.Overall deposits grew 10.65% during the quarter, though the share of low-cost current and savings account (CASA) balances declined to 40.28%.In response to the ongoing geopolitical tensions, the bank is adhering to advisories from the Reserve Bank of India (RBI) and the Indian Computer Emergency Response Team (CERT-IN) concerning cybersecurity measures. Additionally, the Finance Ministry has issued guidelines to ensure adequate cash availability in automated teller machines (ATMs), which the bank is diligently following.Following the announcement, Bank of India's stock closed at Rs 110.20 on the Bombay Stock Exchange, marking a 2.27% increase on the day.