The PSU lender said NII rose to Rs 2,862 crore against Rs 2,567 crore while net profit rose to Rs 1,301 crore against Rs 1,166 crore.
Net interest margins, which is the difference between the interest income generated and paid by banks relative to the amount of their interest-earning assets came in slightly better at 3.23 per cent against 3.22 per cent quarter-on-quarter.
Bank of Baroda said advances grew 22 per cent while deposits jumped 23 per cent against the last year. Fee income grew 13 per cent while other income rose 12 per cent year-in-year to Rs 828 crore.
Gross non-performing assets (NPAs) jumped 72 per cent year-on-year to Rs 5,879 crore. Gross NPAs rose to 1.98 per cent of loan assets as on September 30, 2012 as compared to 1.41 per cent at the end of second quarter of the previous fiscal.
Net NPAs rose 113 per cent to Rs 2,385 crore. Bank of Baroda reported fresh slippages Rs 918 crore and restructured Rs 1,200 crore in assets, which was slightly lower than estimates. Provisions for bad loans were up 33 per cent year-on-year at Rs 646 crore, but declined 27 per cent sequentially.
Shares in Bank of Baroda, the sixth most valuable bank by market cap, traded 1.5 per cent lower at Rs 786 on the BSE at 1.40 p.m.