Noida, July 10 (APAC Media): Indian Bank on Friday reported a 10.09% year-on-year increase in net profit to ₹3,273 crore for the quarter ended June 2026, aided by healthy loan growth, higher net interest income, and improvement in asset quality.
The lender had posted a net profit of ₹2,973 crore in the corresponding quarter of the previous financial year.
Indian Bank’s total income rose 10.7% year-on-year to ₹20,724 crore in the June quarter of FY27 from ₹18,721 crore in the corresponding period of FY26, the lender said in a regulatory filing.
Operating profit rose 16.5% to ₹5,557 crore from ₹4,770 crore a year earlier, while net interest income (NII) increased 16.92% to ₹7,435 crore from ₹6,359 crore.
The bank’s domestic net interest margin (NIM) improved to 3.41% during the quarter from 3.35% a year ago.
Indian Bank’s total business grew 13.66% year-on-year to ₹15.29 lakh crore as of June 2026. Gross advances increased 13.89% to ₹6.85 lakh crore, while total deposits rose 13.47% to ₹8.45 lakh crore.
The bank’s retail, agriculture, and MSME (RAM) advances expanded 14.8% to ₹4.17 lakh crore, accounting for 66% of gross domestic advances. Retail advances grew 18.74%, MSME advances 17.03%, and agriculture advances 9.96% over the year.
The domestic CASA ratio improved to 39.73% from 38.97% a year earlier, while the credit-deposit ratio stood at 81.06%, compared with 80.77% a year ago.
Asset quality improved further during the quarter, with the gross non-performing assets (GNPA) ratio declining to 1.86% from 3.01% a year ago. The net NPA ratio stood at 0.15%, compared with 0.18% in the year-ago period.
The bank’s provision coverage ratio, including technical write-offs, improved marginally to 98.22%, while the slippage ratio declined to 0.77% from 0.94%. Credit cost eased to 0.23% from 0.28%.
Indian Bank reported a capital adequacy ratio of 17.58%, with Common Equity Tier-I (CET-I) at 16.51% at the end of June 2026.
On a sequential basis, net profit increased from ₹3,103 crore in the March 2026 quarter. Return on assets improved to 1.31% from 1.28%, while return on equity rose to 19.48% from 18.98%.
The bank said that 95% of customer transactions during the quarter were conducted through digital channels, highlighting the continued shift towards online banking services.
Business worth ₹67,327 crore was generated through digital platforms, while mobile banking users rose 22% year-on-year to 2.48 crore.
UPI users increased 21% to 2.77 crore.
Indian Bank had a network of 6,003 domestic branches, 5,676 ATMs and BNAs, and 17,314 business correspondents as of the end of June 2026.
–ENDS–
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