Bank of Baroda FY26 profit rises 2.2% to $2.11bn

Overview: FY26 results and an investor meet disclosure

State-owned Bank of Baroda (BoB) reported FY26 net profit of $1,111 Mn, up 2.2% from $1,065 Mn in FY25, as per an investor presentation filed with stock exchanges. The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing was linked to a virtual investor engagement meeting scheduled for June 22, 2026, focused on the bank’s business performance, financial position, and credit profile. BoB also reported stronger balance-sheet growth, with global advances and deposits expanding at double-digit rates. Asset quality improved during the year, with both gross and net NPA ratios falling. The bank said the interaction is part of its regular investor engagement activities. It clarified that no price sensitive information would be shared and that no securities are being offered.

FY26 headline numbers: profit, advances, and deposits

For the financial year ended March 31, 2026, BoB’s net profit came in at $1,111 Mn. The year-on-year increase from FY25 was 2.2%, with FY25 net profit stated at $1,065 Mn. On the balance sheet, the bank reported global advances of $150,775 Mn, representing 16.2% growth year-on-year. Global deposits rose 12% to $173,827 Mn over the same period.

In a separate management commentary embedded in the provided text, the bank also stated net profit for FY 2026 at INR 20,021 crore and operating profit at INR 32,259 crore, described as the “highest ever” for the bank. Because these figures are presented in rupees in the source text, they are reported here as disclosed, alongside the dollar-denominated figures in the presentation summary. The bank also stated that its global business volume crossed 30 lakh crore and stood at 30.78 lakh crore, registering 13.9% growth.

Q4 FY26: quarterly profit and operating performance

BoB reported quarterly profit for Q4 FY26 rising 11.2% year-on-year to $192 Mn. The management commentary in the text also reported Q4 net profit at INR 5,616 crore and Q4 operating profit at INR 9,069 crore, with operating profit growth of 11.5% year-on-year. Return on assets was stated at 1.15% for Q4 FY 2026, while return on equity was reported at 17.27% for the quarter.

The text also notes a one-time change in the methodology for arriving at the AS15 liability, which led to an increase in employee cost of INR 520 crore. This was presented as part of the quarterly performance discussion. The bank’s yield on advances was stated at 7.44% for the quarter, while cost of deposits was stated at 4.78% for the quarter.

Income lines: NII up, non-interest income flat

Despite a marginal dip in operating profit on a year-on-year basis in the presentation summary, BoB reported steady income trends. Net Interest Income (NII) rose 2.5% to $1,028 Mn. Non-interest income declined slightly by 0.2% to $1,662 Mn. Operating profit stood at $1,402 Mn, down 0.5% year-on-year.

Net Interest Margin (NIM) was stated at 2.89%. The management commentary also described the quarterly NIM at 2.89% with a sequential improvement of 10 basis points, and a full-year NIM of 2.89%.

Asset quality: GNPA and NNPA ratios improve

Asset quality improved in FY26, according to the investor presentation summary. The bank’s Gross Non-Performing Asset (GNPA) ratio fell to 1.89%, and Net NPA (NNPA) ratio declined to 0.45%. The management commentary described the GNPA ratio as improving by 37 basis points year-on-year to 1.89% and NNPA improving by 13 basis points year-on-year to 0.45%.

The bank also reported a provision coverage ratio (including TW) of 93.94%. Slippage ratio was stated at 0.89% for Q4 FY 2026 and 0.72% for FY 2026. Collection efficiency excluding agriculture was stated at 98.9%.

Capital and liquidity position

BoB’s management commentary highlighted capital strength, with CET1 at 13.16%, Tier 1 at 13.64%, and overall capital ratio at 15.82%. Liquidity coverage ratio (LCR) for the quarterly average was stated at approximately 127%. These metrics were presented as part of the bank’s capital and liquidity discussion in the provided text.

The bank also declared a dividend of INR 8.5 per share, subject to requisite approvals, as stated in the management commentary.

Segment trends: corporate loans and retail products

In the management commentary, corporate loans were stated to have grown 11.2% year-on-year. Within the retail segment, the commentary cited growth in auto loans (20.6%), mortgage loans (19.3%), home loans (14.6%), education loans (10.9%), and personal loans (8.7%). On the liability side, total deposits were stated to have grown 12%, with international deposits up 7.5% and domestic deposits up 12.8%.

The commentary also reported domestic CASA deposits growth of 9.8% and term deposits growth of 14.8%. As of March 31, 2026, domestic credit-deposit ratio was stated at 83.4%. CASA ratio was stated at 38.9%, up 45 basis points quarter-on-quarter.

Investor engagement meeting: what BoB told exchanges

BoB disclosed that it will hold a virtual group interaction with foreign fixed-income investors on June 22, 2026. The stated agenda is to discuss business performance, financial position, and credit profile. The bank clarified that no price sensitive information will be shared during the meeting and that no securities are being offered or sold pursuant to the disclosure.

The bank also said the specific list of investors attending the session has not yet been finalised. It added that any proposed issuance, if undertaken in the future, would be subject to prevailing market conditions and applicable approvals.

Why this matters for bond investors and the market

For fixed-income investors, the combination of advances growth (16.2% to $150,775 Mn), deposit growth (12% to $173,827 Mn), and improving asset quality metrics (GNPA 1.89%, NNPA 0.45%) directly informs credit assessment. The disclosure also signals that the bank is proactively engaging with overseas debt investors, while formally ring-fencing the interaction from price sensitive information.

From an operating standpoint, the figures indicate modest improvement in profitability alongside stable margins (NIM 2.89%) and the bank’s emphasis on capital and liquidity buffers (CET1 13.16%, CRAR 15.82%, LCR about 127%). The dividend declaration of INR 8.5 per share, subject to approvals, is another data point for investors tracking capital returns.

Key facts at a glance

Conclusion

Bank of Baroda’s FY26 disclosure combines a modest rise in annual profit with faster growth in advances and deposits and improved asset quality ratios. The bank’s exchange filing also sets the context for a June 22, 2026 virtual interaction with foreign fixed-income investors, where it plans to discuss performance and credit profile without sharing price sensitive information. Next, investors will track the outcome of the meeting, along with any subsequent disclosures the bank may make under SEBI (LODR) requirements.