Bank of India — Q4 FY26 earnings call
Summary generated by AI from the official transcript Bank of India filed with BSE on 15 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Bank of India reported FY26 net profit of Rs. 10,527 crore, up 14% year-on-year, with operating profit rising 4% to Rs. 17,049 crore. Global business grew 14.57% YoY to Rs. 16.98 lakh crore, driven by deposit growth of 13.56% and gross advances growth of 15.82%, while asset quality improved with Gross NPA at 1.98% and Net NPA at 0.56%. Management gave guidance for FY27 of 15-16% global advances growth and 13-14% global deposit growth, and discussed preparations for RBI's upcoming ECL provisioning framework and the government's ECLGS 5.0 scheme.
Numbers mentioned
Global business: Rs. 16.98 lakh crore (FY26)
p. 4
“Global business grew by 14.57% YoY from Rs. 14.83 lakh crore in Mar’25 to Rs. 16.98 lakh crore in Mar’26 with an incremental growth of Rs. 2.16 lakh crore.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
Global Deposits: Rs. 9.27 lakh crore (FY26)
p. 4
“Global Deposits increased by 13.56% YoY from Rs. 8.17 lakh crore in Mar’25 to Rs. 9.27 lakh crore in Mar’26 with incremental growth of Rs. 1.11 lakh crore.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
Operating Profit: Rs. 17,049 crore (FY26)
p. 4
“Operating Profit improved by 4% YoY and stood at Rs. 17,049 crore for FY26 against Rs. 16,412 crores in FY25 and for Q4FY26 stood at Rs. 5,026 crore witnessing a YoY growth of 3%.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
Net Profit: Rs. 10,527 crore (FY26)
p. 4
“Net Profit increased by 14% YoY and stood at Rs. 10,527 crore for FY26 against Rs. 9,219 crore in FY25 and for Q4FY26 stood at Rs. 3,016 crore witnessing a YoY growth of 15%.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
NII: Rs. 25,172 crore (FY26)
p. 4
“NII increased by 3% YoY and stood at Rs. 25,172 crore for FY26 against Rs. 24,394 crore in FY25 and for Q4FY26 stood at Rs. 6,730 crore against Rs. 6,063 crore for Q4FY25.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
Global NIM: 2.52% (FY26)
p. 4
“Global NIM stood at 2.52% in FY26 against 2.82% in FY25.”
Shri Rajneesh Karnatak, page 4 of the filed PDF · View the filing
Gross NPA ratio: 1.98% (FY26)
p. 5
“Gross NPA ratio improved by 129 bps YOY to 1.98% for FY26.”
Shri Rajneesh Karnatak, page 5 of the filed PDF · View the filing
Net NPA ratio: 0.56% (FY26)
p. 5
“Net NPA ratio improved by 26 bps YoY to 0.56% for FY26.”
Shri Rajneesh Karnatak, page 5 of the filed PDF · View the filing
Provision Coverage Ratio: 93.57% (Mar'26)
p. 5
“Provision Coverage Ratio (PCR) improved to 93.57% in Mar26 against 92.39% in Mar25.”
Shri Rajneesh Karnatak, page 5 of the filed PDF · View the filing
CRAR: 18.01% (31.03.2026)
p. 5
“As on 31.03.2026, Bank’s CRAR has improved to 18.01% from 17.77% as on 31.03.2025.”
Shri Rajneesh Karnatak, page 5 of the filed PDF · View the filing
ROA: 1.01% (Q4 FY26)
p. 10
“As far as ROA is concerned, we have now touched in Q4 ROA of 1.01 %.”
Shri Rajneesh Karnatak, page 10 of the filed PDF · View the filing
Domestic NIM: 2.78% (March'26)
p. 11
“But our domestic NIM as on March’26, it is at a very healthy 2.78 %”
Shri Rajneesh Karnatak, page 11 of the filed PDF · View the filing
SMA book: Rs. 4,700 crore, 0.62% of total asset book
p. 17
“Yeah, so it is now at 4,700 crore the overall SMA is there and it is only 0.62 % of our total asset book, which was earlier in March 25 at 0.92 %”
Shri Rajneesh Karnatak, page 17 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Global advances growth — 15-16% · FY27
stated firmly by Shri Rajneesh Karnatak
p. 5
“the guidance for global advances growth will be around 15-16%, and global deposit growth around 13-14% for FY27.”
Shri Rajneesh Karnatak, page 5 of the filed PDF · View the filing
ROA — 1% · March 27
stated firmly by Shri Rajneesh Karnatak
p. 10
“As far as the guidance on the ROA is concerned for the whole year FY 27, we are giving a guidance that we'll be touching a number of 1 % for March 27.”
Shri Rajneesh Karnatak, page 10 of the filed PDF · View the filing
RAM book share of advances — 62% · March 29
stated as an aspiration by Shri Rajneesh Karnatak
p. 11
“Yes, so as far as the RAM book is concerned, we are targeting a number of say around 62 %, the RAM book and 38 % the Corporate book.”
Shri Rajneesh Karnatak, page 11 of the filed PDF · View the filing
Total advances — around 11 lacs crores · March 29
stated as an aspiration by Shri Rajneesh Karnatak
p. 11
“we are targeting advance of somewhere around 11 lacs crores as on March’ 29.”
Shri Rajneesh Karnatak, page 11 of the filed PDF · View the filing
Domestic NIM — 2.80% · March 27
stated firmly by Shri Rajneesh Karnatak
p. 16
“as I said for the year ended March 27, we will be trying to be as close as 2.80% as possible”
Shri Rajneesh Karnatak, page 16 of the filed PDF · View the filing
Fresh slippages — 4,000 crores · FY27
stated as an aspiration by Shri Rajneesh Karnatak
p. 11
“We have already reduced them to 5,500 crores if you see our presentation in the entire year and we want to further reduce it to 4,000 crores in this financial year.”
Shri Rajneesh Karnatak, page 11 of the filed PDF · View the filing
Recovery from written-off accounts — 2,500 to 3,000 crores · FY27
stated as an aspiration by Shri Rajneesh Karnatak
p. 14
“in the financial year FY 26 & FY 27 also we will be trying to achieve the similar run rate of around 2,500 to 3,000 crores of recovery from these written off accounts.”
Shri Rajneesh Karnatak, page 14 of the filed PDF · View the filing
ECL transition impact on capital — 0.50% p.a., 2.50% cumulative over five years · April 2027 to March 2032
stated firmly by Shri Rajneesh Karnatak
p. 6
“the impact will be only 0.50 % p.a aggregating to total 2.50 % over the next five years.”
Shri Rajneesh Karnatak, page 6 of the filed PDF · View the filing
CASA — around 3.30 lakh crores · FY27
stated as an aspiration by Shri Rajneesh Karnatak
p. 18
“we have set targets for ourselves that we should be closing our CASA at somewhere around 3.30 lakh crores, which is a increase of around 10 % in FY 27.”
Shri Rajneesh Karnatak, page 18 of the filed PDF · View the filing
Agriculture book growth — 17% · FY27
stated conditionally by Shri Rajneesh Karnatak
p. 18
“So we are very much confident that the agricultural growth will be 17 %.”
Shri Rajneesh Karnatak, page 18 of the filed PDF · View the filing
ECLGS 5.0 funding — 10-12 thousand crores · FY27
stated as an aspiration by Shri Rajneesh Karnatak
p. 7
“we expect to fund around 10-12 thousand crores under the ECLGS scheme.”
Shri Rajneesh Karnatak, page 7 of the filed PDF · View the filing
Credit cost impact from ECL — not more than 10 basis points annualized
stated conditionally by Shri Rajneesh Karnatak
p. 17
“there will be some impact on the credit cost side because of the ECL guidelines, but we feel that it should not be more than ten basis point on an annualized basis.”
Shri Rajneesh Karnatak, page 17 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said preparation is underway with a big-four consultant onboarded and expects a modest cumulative capital impact, and estimated ECLGS 5.0 could fund Rs 10-12 thousand crore.
Answered by Shri Rajneesh Karnatak
Asked by Ashok Ajmera: Is the bank prepared for the ECL provisioning guidelines effective April 2027, and how much credit growth is expected from ECLGS 5.0?
p. 6
“we do not expect much impact on us and I can assure you that with the kind of asset quality and the SMA numbers that we are having and the declining trend in the SMA numbers, the transition for Bank of India to the ECL guidelines of RBI will be smooth.”
Shri Rajneesh Karnatak, page 6 of the filed PDF · View the filing
Management acknowledged headwinds from rising crude prices, interest rates and supply chain disruption but said ECLGS 5.0 would mitigate stress in vulnerable sectors.
Answered by Shri Rajneesh Karnatak
Asked by Namit Arora: What is the likely impact of recent geopolitical developments on credit quality?
p. 10
“there are certain sectors definitely which is particularly exporters and the importers and also certain segments within the industry like you can say ceramics, pharmaceuticals, chemicals, which maybe feeling the heat of this geopolitical situation in the immediate term.”
Shri Rajneesh Karnatak, page 10 of the filed PDF · View the filing
Management detailed a Q4 ROA of 1.01%, a domestic NIM of 2.78%, and outlined strategies including increasing MCLR and RAM advances to protect margins.
Answered by Shri Rajneesh Karnatak
Asked by Choksey: What are the growth aspirations for ROA, ROE, NIM and CD ratio balance between corporate and RAM?
p. 10
“we are above 1 % as far as the Q4 is concerned. However, our overall ROA for the year is 0.93 % and it is above the ROA of 0.90 % in March’ 25.”
Shri Rajneesh Karnatak, page 10 of the filed PDF · View the filing
Management said they are guiding to 2.70-2.75% domestically for March 27 and are targeting to get as close to 3% as possible over time.
Answered by Shri Rajneesh Karnatak
Asked by Choksey: Can domestic NIM reach 3%?
p. 12
“Domestic NIM we are definitely targeting to get as close to 3 % as possible.”
Shri Rajneesh Karnatak, page 12 of the filed PDF · View the filing
Management explained the increase came from bad and doubtful debts provisions rising from Rs 605 crore to Rs 1,200 crore, and said one central PSU NPA was fully provisioned with no further profitability impact, while three state PSUs remain in SMA but are expected to avoid slipping to NPA.
Answered by Shri Rajneesh Karnatak
Asked by Niteen S Dharmawat: Why did provisioning rise sharply quarter-on-quarter, and what is the status of recovery from state and central PSU defaults?
p. 13
“there was only one central PSU which got NPA in the last financial year for which we have fully provisioned also, so there will be no impact on the profitability or provisioning as far as that central PSU is concerned.”
Shri Rajneesh Karnatak, page 13 of the filed PDF · View the filing
Management said they aim to increase MCLR, RAM and mid-corporate advances alongside CASA and retail term deposits, and expect recovery from written-off accounts to continue at a similar run rate.
Answered by Shri Rajneesh Karnatak
Asked by Ashok Ajmera: What are the plans to increase non-interest income and recovery from written-off accounts?
p. 14
“we have done a recovery of nearly 2,500 crores in this year and this is a healthy number & in the financial year FY 26 & FY 27 also we will be trying to achieve the similar run rate of around 2,500 to 3,000 crores of recovery from these written off accounts.”
Shri Rajneesh Karnatak, page 14 of the filed PDF · View the filing
Management pointed to ongoing initiatives in wealth management, DMAT tie-ups, the BOI Services Ltd feet-on-street model, and mutual fund AUM growth as part of a five-year strategy.
Answered by Shri Rajneesh Karnatak
Asked by Ashok Shah: Why has the bank lagged in building subsidiary-driven other income like broking and insurance compared to peers, and what is the five-year plan?
p. 15
“Three years ago the mutual fund AUM was somewhere around 3-4 thousand crores. Today, it is at around 14 to 15 thousand crores.”
Shri Rajneesh Karnatak, page 15 of the filed PDF · View the filing
Management clarified NIM guidance targets, explained the growth in other income from written-off recoveries, and estimated a limited additional credit cost impact from ECL transition.
Answered by Shri Rajneesh Karnatak
Asked by Siddhart R: Is the NIM guidance an exit rate, what drives other income growth, and how will credit cost move under the ECL framework?
p. 17
“we feel that it should not be more than ten basis point on an annualized basis.”
Shri Rajneesh Karnatak, page 17 of the filed PDF · View the filing
Management said CASA in absolute terms continues to grow and they are targeting Rs 3.30 lakh crore for FY27, and expressed confidence that improved canal networks reduce drought risk to the agriculture book.
Answered by Shri Rajneesh Karnatak
Asked by Divansh: Will CASA percentage recover to 40-41%, and what is the impact of a weaker monsoon forecast on the agriculture book?
p. 18
“we are very much confident that the agricultural growth will be 17 %.”
Shri Rajneesh Karnatak, page 18 of the filed PDF · View the filing
Risks flagged
Rising crude oil prices and interest rates creating inflationary pressure and potential GDP slowdown
p. 9
“we already are seeing that there has been a rise in crude prices say at $102 per barrel.”
Shri Rajneesh Karnatak, page 9 of the filed PDF · View the filing
Supply chain disruption affecting importers and exporters, evidenced by a sharp rise in the Baltic index
p. 9
“the supply chain is also disrupted both for the importers and the exporters and there has been a significant increase in the Baltic index which has happened by nearly 2x, 2.5x to 3x.”
Shri Rajneesh Karnatak, page 9 of the filed PDF · View the filing
Certain industry segments such as ceramics, pharmaceuticals and chemicals facing pressure from geopolitical situation
p. 10
“there are certain sectors definitely which is particularly exporters and the importers and also certain segments within the industry like you can say ceramics, pharmaceuticals, chemicals, which maybe feeling the heat of this geopolitical situation in the immediate term.”
Shri Rajneesh Karnatak, page 10 of the filed PDF · View the filing
Weaker than expected monsoon forecast potentially affecting the agriculture loan book
p. 18
“there are news that the monsoon will be at somewhere around 92 % kind of thing, the reports which are coming.”
Shri Rajneesh Karnatak, page 18 of the filed PDF · View the filing
Three state PSU accounts continuing to move within SMA categories due to cash flow challenges
p. 13
“they continue to move roll forward and roll backward during the quarter, but one thing we are confident that they are having cash flows with them and they will not be slipping into the NPA category”
Shri Rajneesh Karnatak, page 13 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.