Mumbai: Bank of India, the country’s sixth-biggest by assets, said on Monday its fourth-quarter (Q4) profit rose 76% as companies and individuals borrowed more in the world’s fastest-expanding major economy after China.
Net income in the three months ended 31 March rose to Rs447 crore ($107 million), compared with Rs254 crore during the same period a year earlier, the Mumbai-based bank said in a statement to the Bombay Stock Exchange on Monday.
That was higher than the Rs320 crore median estimate of four analysts surveyed by Bloomberg News.
Interest and non-interest income combined rose to Rs3,192 crore, compared with Rs2,326 crore a year ago.
Net interest income, or interest earned on loans after deducting interest paid for deposits, rose to Rs968 crore from Rs838 crore, the bank said in a statement emailed from its Mumbai headquarters.
Banks in India gave more than 27% loans in the 12 months ended 30 March 2007, falling from an average of more than 35% loan growth over the previous two years, as individuals and companies borrowed more to spend and invest in a buoyant economy that is poised to expand more than 9% for a second year in the 12 months to 31 March, according to a government estimate.
The 100-year-old Bank of India said its advances expanded 30% during the past 12 months to an outstanding Rs86,800 crore.
Bank of India, which is 69.5% owned by the government, has 25 overseas offices, in addition to the 2,800 branches across the country.