Nov 03: The Bank reported a strong financial performance for the second quarter of FY27, with net profit reaching ₹23,038 crore, registering a year-on-year growth of 14.28%. Operating profit grew by 7.28% YoY to ₹34,226 crore, while Net Interest Income increased by 14.69% YoY during the quarter.
The Bank’s overall business stood at approximately ₹115 trillion, comprising deposits of ₹63 trillion and advances of ₹52 trillion.
Business and Balance Sheet Performance
Whole Bank advances registered year-on-year growth of 17.84%, while domestic advances grew by 16.94%. Advances from foreign offices increased by 22.86% in rupee terms and 13.84% in dollar terms.
The Retail, Agriculture and MSME (RAM) segment recorded growth of 17.34% YoY, supported by double-digit growth across all segments. Agriculture advances grew by 22.64%, SME advances by 21.97%, and Retail Personal advances by 14.54%. Corporate advances registered growth of 16.12% YoY.
Whole Bank deposits grew by 12.27% YoY, while CASA deposits increased by 8.13%. The CASA ratio stood at 38.32% as of September 30, 2026. Retail Term Deposits registered year-on-year growth of 16.74%.
Profitability and Margins
The Bank’s Return on Assets (ROA) and Return on Equity (ROE) for the first half of FY27 stood at 1.14% and 18.68%, respectively.
Whole Bank and Domestic Net Interest Margins (NIM) for H1FY27 stood at 2.90% and 3.06%, respectively. During Q2FY27, Whole Bank NIM stood at 2.94%, while Domestic NIM reached 3.11%, improving by 8 basis points and 11 basis points, respectively, compared with Q1FY27.
Asset Quality
The Bank continued to report improvements in its asset quality indicators. The Gross Non-Performing Asset (NPA) ratio stood at 1.39%, improving by 34 basis points year-on-year, while the Net NPA ratio was 0.36%, reflecting an improvement of 6 basis points.
The Provision Coverage Ratio (PCR) stood at 74.43%, while PCR, including AUCA, was 91.83%. The slippage ratio for Q2FY27 improved by 4 basis points YoY to 0.41%. Credit cost declined by 17 basis points YoY to 0.22%.
Capital Adequacy
The Bank’s Capital to Risk-Weighted Assets Ratio (CRAR) stood at 16.09% at the end of Q2FY27.
Conclusion
The Bank’s Q2FY27 performance reflects growth across business segments, improved profitability, expansion in advances and deposits, and continued improvement in asset quality. Its capital adequacy ratio stood at 16.09% at the end of the quarter.
