$BANKBARODA Ends Legal Overhang, But Q1 Earnings May Take a Hit

$BANKBARODA has settled its long-running litigation related to the collapse of NMC Health by paying $600 million (around ₹5,700 crore) through its Abu Dhabi branch, resolving all claims without admitting any liability. While the settlement removes a major legal overhang and brings certainty for investors, brokerage Nomura expects the one-time payment to impact the bank's Q1 FY27 earnings, as the provision is unlikely to have been made earlier. Despite the near-term earnings hit, the resolution is seen as a positive step for the bank's long-term outlook.