Financial Report 2016-17

Audited Financial Results for the Quarter/ Year ended 31st March, 2017

Notes forming part of the audited financial results for the Quarter/Year ended 31st March, 2017

• The above financial results have been reviewed by the Audit Committee of Board in their meeting held on 18th May, 2017 and approved by the Board of Directors in their meeting held on 18th May, 2017. The same have been subjected to Audit by the Statutory Central Auditors of the Bank, in line with the guidelines issued by Reserve Bank of India and as per the requirement of listing agreement with Stock Exchanges.
• The above results for the quarter / full year ended 31st March 2017 have been prepared, following the same accounting policy as those followed in the annual financial statements for the year ended 31st March, 2016.
• The financial results for the quarter / full year ended 31st March 2017 have been arrived at after considering provision for Non-performing Assets, Standard Assets, Restructured Assets and depreciation / provision for Investments on the basis of prudential norms and specific guidelines issued by the RBI. The Bank has made provision @ 20% on the Secured Sub-standard Advances as against the Regulatory requirement of 15%.
• In compliance with the RBI Circular DBR.No.BP.34/21.04.132/2016-17 dated 10th November, 2016, "Scheme for Stressed Assets- Revisions", in respect of Standard Facilities under Strategic Debt Restructuring (SDR) and Scheme for Sustainable Structuring of Stressed Assets (S4A), the Bank has during the year ended 31st March, 2017 reversed an amount of Rs. 190.61 Crores being unrealized interest in such accounts.
• In compliance of RBI letter no. DBR.NO.BP.13018/21.04.048/2015-16 dated 12.04.2016, Bank has made a provision of Rs.240.62 Crore being 20% of the existing outstanding of Rs.1203.13 Crore as on 31.03.2017 under food credit availed by State Government of Punjab.
• In terms of RBI Circular DBOD.BP.BC.2/21.06.201/2013-14 dated 01.07.2013, Banks are required to make Pillar 3 disclosure under Basel III Capital Regulations. These details are being made available on our website "www.bankofbaroda.com". These disclosures have not been subjected to Audit by the auditors.
• Non Performing Loan Provisioning Coverage Ratio is 66.83 % as on 31st March 2017.
• Details of Investor's complaints for the quarter ended 31.03.2017: Pending at Beginning: 0; Received: 152; Disposed off: 152; Closing:0
• The Board of Directors has proposed a dividend of Rs.1.20 per share (face value Rs.2/-) i.e. 60% subject to approval of shareholders.
• Based on RBI's clarification that the repatriation of accumulated profits shall not be considered as disposal or partial disposal of interest in non-integral foreign operations, the Bank has not recognized exchange gain of Rs. 193.36 crores as income arising on repatriation of funds from foreign offices during the year. In the previous year, the Bank had recognised an amount of Rs. 302.97 crores in the Profit and Loss Account being the proportionate exchange gain in FCTR on repatriation of profits from overseas operations. In the opinion of the Management, the circular is not retrospective in nature and has applied the same from the financial year 2016-17 onward and hence no adjustment has been made in respect of the previous year.
• In terms of Income Computation and Disclosure Standards (ICDS) notified by CBDT which are effective from 01.04.2016 and the clarification issued by CBDT through FAQs, the FCTR balance as on 01.04.2016 pertaining to Exchange difference on monetary items of non integral operations is required to be recognised in the income computation of the previous year relevant to AY 2017-18 to the extent not recognised earlier. The balance in FCTR as on 01.04.2016 amounts to Rs.2238.55 Crs. Based on legal opinion, bank has not considered the opening balance of FCTR for computing taxable income and consequently tax amounting to Rs.774.71 Crs has not been provided for. Further this will not impact the profit for the year since deferred tax assets has not been recognised to that extent.
• Statement of Assets & Liabilities is as under:

• The figures of previous period have been regrouped / rearranged, wherever necessary, so as to make them comparable with those of the current period.
• The figures for the quarter ended 31st March, are the balancing figures between audited figures in respect of the full financial year and the published year to date figures up to the third quarter of the respective financial years.
  Liquidity Coverage Ratio (LCR) for Quarter ended 31st March, 2017
  • LCR Qualitative Disclosure March 2017 (150 KB)
  • LCR Quantitative Disclosure Format March 2017 (111 KB)

Segment reporting for the Quarter /Year ended 31st March, 2017

Part A: Business Segments

Part B : Geographic Segments

Notes on Segment Reporting

• As per guidelines of the RBI on compliance with Accounting Standards, the Bank has adopted "Treasury Operations", Wholesale, Retail and "Other Banking Operations" as Primary business segments and "Domestic" and International as secondary / geographic segments for the purpose of compliance with AS-17 on Segment Reporting issued by ICAI.
• Segment revenue represents revenue from external customers.
• Capital employed for each segment has been allocated proportionate to the assets of the segment.
• The figures of previous period / year have been regrouped / rearranged wherever necessary so as to make them comparable with those of the current period.