Bank of India Q3 PAT seen up 5% to Rs 754 cr

State-controlled lender Bank of India is set to declare its results for the third quarter of financial year 2012-13 on Monday. Analysts on an average expect profit after tax of the bank to grow by 5 percent year-on-year to Rs 754 crore in the quarter.

Net interest income is seen going up by 11 percent to Rs 2,285 crore from Rs 2,068 crore during the same period, according to CNBC-TV18 poll.
In second quarter, net interest income rose by 15 percent YoY to Rs 2,195 crore and profit after tax fell 39 percent YoY and 66 percent QoQ to Rs 301 crore. In previous quarter, provisions were up by 229 percent QoQ to Rs 1,552 crore.
Asset quality of the bank was worsened for the whole of first six months of FY13 and has been inferior to peers.
According to management meetings with analysts during the quarter, the bank said key focus in second half of FY13 would be two pronged - sustaining growth + improving asset quality via recoveries.
After looking at OBC and Syndicate Bank's earnings, analysts are now expecting subdued growth on net interest income from Bank of India; PAT will show a jump sequentially, say analysts.
Reported net interest margin is expected to stabilize between 2.6 percent to 2.7 percent for financial year 2012-13. In previous quarter, net interest margin improved to 2.4 percent as against 2.27 percent, which was expected.