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Dip in PAT, weak asset quality: What to track in Bank of Baroda's Q3 result HSBC pegs Bank of Baroda's Q3FY21 net profit at Rs 164.1 crore, a staggering 90 per cent de-growth from September quarter's PAT of Rs 1,678.6 crore
Even as economic activity began to look up in the December quarter, Bank of Baroda (BoB) may not have been able to leverage on it, fear analysts. The lender, which is scheduled to report its December quarter results (Q3FY21) on January 27, may report muted earnings on the back of moderate treasury gains, higher operating expenses, and elevated provisions. Picture at the bourses, however, is different. The stock price of the lender outran the benchmark Nifty50 and sectoral Nifty PSU Bank index, during the quarter under review, by surging 50 per cent on the NSE. In comparison, the Nifty and the PSU Bank index are up 24 per cent and 37 per cent, respectively, ACE Equity data show. Here’s what leading brokerages expect: HSBC The global brokerage pegs the lender’s net profit at Rs 164.1 crore, a staggering 90 per cent de-growth from September quarter’s (Q2FY21’s) PAT of Rs 1,678.6 crore. In the year-ago quarter (Q3FY20), the lender had incurred a loss of Rs 1,407 crore. Similarly, profit before tax (PBT) is expected to plunge by 91 per cent QoQ to Rs 219.4 crore from Rs 2,550.2 crore. The pre-tax loss was Rs 2,197 crore in Q3FY20. Nomura Analysts here expect the core pre-provision profit (operating profit) to decline 7.3 per cent on a yearly basis, to Rs