Bank of Baroda — Q3 FY26
Bank of Baroda reported Q3 FY26 net profit of ₹5,555 crore (+4.5% YoY), driven by strong operational performance with no one-off items.
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
73%Questions answered1Evaded / deflected11Questions audited
Partial answer
High priority
Distinction between total NIM and core NIM, and recovery in written-off loans.
Asked by Mahrukh Adajania, Nuvama Institutional Equities
CEO refused to separate core NIM and did not provide the requested split for recoveries.
no split given for written-off recoveriesdeclined to provide core NIM figure
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Question
Firstly, in terms of NII growth, if you could help us distinguish between total NIM and core NIM... And secondly, in terms of written-off recoveries, they doubled QOQ. So if you could give the split between retail and corporate...
Debadatta Chand, CEO
Look, as I said, that as far as NII is concerned, INR 11,800 crore NII is... one of the strong NII number on absolute terms... I don't have a core NIM or a separate NIM. All NIM is core... The impact on the number can be something around 5-6 basis points maximum...
Answered
Medium priority
LCR drop and CD ratio comfort levels.
Asked by Nitin Aggarwal
CEO provided specific current ratios and target ranges for both LDR and LCR.
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Question
If I look at LCR ratio has dropped quite sharply in the last two quarters, and so how do you think about that? And likewise, on the CD Ratio... what are the comfortable numbers that you will want to guard?
Debadatta Chand, CEO
So Nitin, on the LDR or the CD ratio, we say perennially we have been operating 80+%. And, this quarter, the global is 86% and the domestic at 83%... our target is always to operate around 120%... last quarter we were 120%, this quarter we are 160%....
Answered
High priority
ECL transition requirements and provisioning strategy.
Asked by Nitin Aggarwal
CEO gave specific numbers for ECL impact on CRAR and incremental credit cost.
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Question
If you can give some color as to what kind of requirement are you seeing, in terms of, for the transitioning to the ECL? And, when we are having already a very strong asset quality... why are we not raising coverage further?
Debadatta Chand, CEO
Our credit guidance continue to be 11%-13% with upside... credit cost... we have revised upward... to below 0.60... the net impact on the ECL or CRAR... would be somewhere at 0.6 or 0.7 maximum... The incremental provisioning... is only can elevate the credit cost only by 18 basis points.
Partial answer
High priority
Core NIM excluding income tax refund benefit.
Asked by Kunal Shah, ICICI Bank
CEO acknowledged the impact but insisted it is all core, not providing a separate core NIM figure.
refused to label core NIM separately
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Question
So once again, to touch upon interest on income tax refund. So you mentioned like 4-5 basis points of benefit in NIMs of 2.79. So the core NIMs would have been closer to 2.74 or so.
Debadatta Chand, CEO
That's the routine, actually... there is no core NIM or other NIM. Everything is core for that. But, if you talk about the element per se, then yes, there is a 5-6 basis points impact, because of that, and it can be in the range of 270-274 kind of level.
Answered
Medium priority
Sufficiency of floating provisions for ECL.
Asked by Kunal Shah, ICICI Bank
CEO directly stated current provisions are adequate relative to ECL impact.
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Question
We have floating provisions to the tune of INR 1,000-odd crores. So is that sufficient, and now there is no further need to create the floating provisions going forward?
Debadatta Chand, CEO
So, as I said, just to the earlier question also, the impact... on the CRAR will be 0.7, 0.6, I mean, 60 basis points. At the same time, the recurring provision requirement would be 18 basis points on the credit cost. Current provision level is adequate, almost to that level, right?
Answered
Low priority
Labor code impact on provisions.
Asked by Kunal Shah, ICICI Bank
CEO clearly stated no material impact, supported by auditor report.
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Question
And just, maybe on labor code, any impact during the quarter, or no, not really?
Debadatta Chand, CEO
That's what the auditors also given in their report, key, there is no material impact... there is no material impact as far as the gratuity, the labor code is concerned.
Answered
High priority
Why not revise loan growth guidance upward.
Asked by Kunal Shah, ICICI Bank
CEO explained that the guidance includes upside and current growth is within that range.
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Question
Now you have revised on the credit cost side, but growth, we are already like, say, closer to 10 odd % year to date from March to December. Then doesn't it appear that we will easily beat this 11-13 advances growth?
Debadatta Chand, CEO
No, actually, there is no rundown here. Actually, as I said, 11-13 upside. So this quarter we had 15, so precisely that upside is to exceed 13%... the advances side, the growth will be somewhere around 15%, 14.5, 15%. So that's why we revised that 11%-13% with upside.
Partial answer
Medium priority
Whether LDR can go above 84% if LCR is adequate.
Asked by Abhishek Mishra
CEO reiterated target range but did not directly answer whether higher LDR is acceptable.
did not explicitly confirm if LDR can go above 84%
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Question
You said that if LCR is adequate, then LDR should not matter. Your domestic LDR at 83%-84%, as long as you have 160%-120% LCR, this can go up, right? Because even if it goes to 86-87, it will be fine with you?
Debadatta Chand, CEO
Actually, domestic, we want to be in the 82%-84%. I mean, the optimal that we are looking at domestic is 84%. Whereas global can be around 86%-88%... I don't think there is any limiting factor for that. The bank continue to grow strong...
Partial answer
High priority
Levers for NIM improvement from current levels.
Asked by Abhishek Mishra
CEO discussed factors but did not provide concrete levers for NIM expansion.
did not quantify specific leversfocused on maintaining guidance rather than improvement
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Question
Second question is on NIM. So from here, what levers do you see?
Debadatta Chand, CEO
See, there are two things. We said earlier... Q3 and Q4 would be better than the Q1 and Q2... the cost of deposit is now all-time low at 4.75... So, net to net, I think we'll be in a position to maintain that 2.85-3 guidance that we are giving for the full year.
Answered
High priority
Whether 18 bps ECL credit cost is sustainable steady state.
Asked by Piran Engineer, CLSA
CEO clearly confirmed it is the sustainable steady state impact.
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Question
Just firstly, one clarification on one of your previous comments when you mentioned that incremental credit cost will be 18 basis points due to ECL. Are you just referring to for the first five years of transition, or the sustainable steady state is 18 basis points?
Debadatta Chand, CEO
Yeah, the sustainable steady state... the net impact is going to be 60, and that would be spread over five years... On an ongoing basis... talks about the impact of 18 basis points, on an ongoing basis, year-to-year basis.
Answered
Medium priority
Whether Bank of Baroda had PSL compliance observations on agri loans.
Asked by Piran Engineer, CLSA
CEO directly denied any such observation.
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Question
In the agri book, excluding gold loans, do we do farmer finance... RBI had some observations with some private sector banks... Did we also have such an observation?
Debadatta Chand, CEO
... frankly, we have no, no observation on the PSL categorization classification. We do big farm lending. So absolutely no.
Evasive
High priority
Whether NIM guidance should be revised given rate cuts and IT refund volatility.
Asked by Ankit Bihani, Nomura
CEO did not commit to maintaining or revising guidance, instead discussed other factors.
did not directly answer whether guidance would be reviseddeflected to discussion of IT refund
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Question
So my question was on margins. So our nine-month margin now stands at 2.88% and is towards the lower band of our guidance. And now with full impact of the 25 basis point cut coming in, would we want to revise our guidance?
Debadatta Chand, CEO
Two things. One is with regard to, you talked about the NIM... the full year NIM would be in the range... I think we're hopeful of doing that, right? That is one. Secondly, the core NIM that you talked about in the refund... it's a guidelines which came saying that...