More Stories

Informist, Thursday, Oct. 30, 2025

 

Please click here to read all liners published on this story

--Canara Bk retail lending book INR 2.51 tln as on Sept 30, up 29.1% on year 
--Canara Bank global credit-deposit ratio at 75.33% as on Sept 30 
--Canara Bank global advances INR 11.51 tln as on Sept 30, up 13.7% on year 
--Canara Bank global deposits INR 15.28 tln as on Sept 30, up 13.4% on year 
--Canara Bank Jul-Sept annualised credit cost 0.68% vs 0.72% qtr ago 
--Canara Bank Jul-Sept net interest income INR 91.41 bln, down 1.9% year ago 
--Canara Bank Jul-Sept fresh slippages INR 20.31 bln vs INR 23.09 bln yr ago 
--Canara Bank Jul-Sept quarterly net interest margin 2.50% vs 2.55% qtr ago 
--Canara Bk: Hold additional provision INR 3.12 bln in 7 accounts on Sept 30 
--Canara Bank provision coverage ratio 93.59% as on Sept 30 
--Canara Bank Apr-Sept total income INR 766.61 bln vs INR 687.41 bln year ago 
--Canara Bank Jul-Sept NPA provisions INR 15.04 bln vs INR 25.87 bln year ago 
--Canara Bank Apr-Sept net profit INR 95.26 bln vs INR 79.20 bln year ago 
--Canara Bank Jul-Sept provisions INR 23.54 bln vs INR 22.51 bln year ago 
--Canara Bank Basel III capital adequacy ratio 16.20% as on Sept 30 
--Canara Bank net NPA ratio 0.54% as on Sept 30 vs 0.63% qtr ago 
--Canara Bank Jul-Sept total income INR 385.98 bln vs INR 347.21 bln year ago 
--Canara Bank gross NPA ratio 2.35% as on Sept 30 vs 2.69% qtr ago 
--Canara Bank Jul-Sept net profit INR 47.74 bln vs INR 40.15 bln year ago 
--Analysts saw Canara Bank Jul-Sept net profit at INR 41.56 bln 
--Canara Bank Jul-Sept net profit INR 47.74 bln 

 

By Pratiksha

 

NEW DELHI – Beating Street estimates, Canara Bank Ltd.'s net profit for the September quarter rose on year, helped by the biggest on-year jump in other income in over four years. However, a rise in provisions for the second consecutive quarter ate into the lender's bottom line. 

 

The public-sector bank's net profit for Jul-Sept was INR 47.74 billion, up 19% on year and higher than analysts' estimate of INR 41.56 billion. The net profit was up only 0.5% on quarter. After the quarterly earnings results were out, the lender's shares on the National Stock Exchange were up 2.7% to INR 132.30, at 1428 IST.  

 

The bank's total income during the quarter was up 11% on year at INR 385.98 billion. Of this, other income increased 42% on year to INR 70.54 billion. Interest income rose 6.1% on year to INR 315.44 billion.

 

The bank's provisions were up 4.6% on year at INR 23.54 billion in the September quarter. However, provisions for non-performing assets fell 42% on year to INR 15.04 billion. The lender holds an additional provision of around INR 3.12 billion in seven accounts as per the Reserve Bank of India's prudential framework for resolution of stressed assets. 

 

The bank's provision coverage ratio was at 93.59% as of Sept. 30, up from 90.89% at the end of September 2024. The bank sees the provision coverage ratio falling to 93% by the end of 2025-26 (Apr-Mar).

 

The lender's asset quality improved, both sequentially and annually, which supported the bottom line. The gross non-performing asset ratio declined to 2.35% as of Sept. 30 from 2.69% at the end of June and 3.73% as of Sept. 30, 2024. The net non-performing asset ratio fell to 0.54% from 0.63% as of Jun. 30 and 0.99% at the end of September 2024. The lenders has guided for the gross NPA and net NPA at 2.50% and 0.60%, respectively, by the end of FY26. 

 

The bank's net interest income – the difference between interest earned and expended – for the quarter ended September fell 1.9% on year to INR 91.41 billion. The lender's total expenses during the quarter under review rose 11% on year to INR 300.10 billion. Of this, interest expenses increased 9.7% on year to INR 224.03 billion. 

 

The bank recognised fresh slippages worth INR 20.31 billion in Jul-Sept, down from INR 23.09 billion a year ago. The bank's credit cost fell to 0.68% in the September quarter from 0.72% in the previous quarter and 0.97% a year ago.

 

Robust growth in loans also boosted the bank's bottom line. The bank reported 13.7% on-year growth in global advances at INR 11.51 trillion as of Sept. 30. Domestic advances grew 13.3% on year to INR 10.81 trillion. Within domestic loans, retail loans reported the fastest year-on-year increase of 29% at INR 2.51 trillion. Agriculture advances rose 9.6% on year to INR 2.66 trillion. Corporate advances also grew 9.6% on year to INR 4.80 trillion. The lender expects global advances to grow 10-11% on year by FY26-end. 

 

Canara Bank's total deposits were up 13% on year at INR 15.28 trillion as of Sept. 30. Current account savings account deposits rose 10.5% on year to INR 4.28 trillion in the reporting quarter. The ratio of low cost deposits to domestic deposits was 30.69% as of Sept. 30, trailing the bank's full-year guidance of 32.00%. The bank's global credit-deposit ratio was at 75.3% as of Sept. 30, up from 74.7% a quarter ago.

 

The lender's net interest margin contracted in Jul-Sept, primarily due to the Reserve Bank of India's Monetary Policy Committee cutting the repo rate by 100 bps so far in 2025. The bank's net interest margin was 2.50% in the September quarter, down from 2.55% a quarter ago and 2.86% a year ago. The bank has guided for its global annualised net interest margin at 2.75-2.80% for FY26.

 

The lender's Basel-III capital adequacy ratio was 16.20% as of Sept. 30, down from 16.57% a year ago. For Apr-Sept, the bank's net profit was INR 95.26 billion, up 20% on year. Total income was INR 766.61 billion in the six months to September, up 11.5% on year.  End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Tanima Banerjee

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2025. All rights reserved.