Bank of India

The bank surprised by street by announcing a set of good numbers and the stock rose over 6% on the back of this performance. For Q3Fy13, the company posted a 38% (YoY) rise in net profit at Rs.302 crore. NII was up 3% at Rs.1891 crore. But the best news for the market was improvement in asset quality. Gross NPA rose sequentially by 30 bps to 3.36% for 3.66% while net NPA fell 36 bps to 1.7% from 2.06%. Capital adequacy ratio was at 10.78% v/s 11.39%.

On the other hand, provisions against bad loans increased sharply by 76% (QoQ) to Rs.857 crore.  During the quarter, its deposits increased 17% (YoY) at Rs 2,39,355 crore and advances increased 22% at Rs.1,85,885 crore. The Bank is to get a capital infusion of Rs 2,500 crore as part of the government's plan to recapitalise the public sector banks.