Canara Bank reported its financial results for the September quarter (Q2 FY26), posting steady growth in profitability along with continued improvement in asset quality.
The lender reported a net profit of ₹4,773.96 crore for Q2 FY26, compared to ₹4,014.53 crore in Q2 FY25 and ₹4,752.03 crore in Q1 FY26.
Financial performance highlights (₹ crore)
| Metric | Q2 FY26 | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Interest Earned | 31,543.89 | 31,002.83 | 29,740.07 |
| Interest Expended | 22,402.70 | 21,994.07 | 20,424.87 |
| Net Interest Income (NII) | 9,141 | 9,009 | 9,315 |
| Other Income | 7,053.84 | 7,060.48 | 4,981.00 |
| Total Income | 38,597.73 | 38,063.31 | 34,721.07 |
| Operating Expenses | 7,606.90 | 7,515.65 | 6,642.37 |
| Operating Profit | 8,588.13 | 8,553.59 | 7,653.83 |
| Provisions | 2,354.17 | 2,351.56 | 2,251.29 |
| Profit before tax | 6,233.96 | 6,202.03 | 5,402.54 |
| Net Profit | 4,773.96 | 4,752.03 | 4,014.53 |
NII = Interest Earned – Interest Expended
Asset quality improves
| Asset Quality Metrics | Q2 FY26 | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Gross NPA (%) | 2.35% | 2.48% | 2.57% |
| Net NPA (%) | 0.54% | 0.63% | 0.73% |
| Gross NPAs (₹ cr) | 39,895 | 41,600 | 41,351 |
| Net NPAs (₹ cr) | 9,135 | 10,342 | 10,822 |
| NPA Provisions (₹ cr) | 1,503.63 | 1,845.26 | 2,586.55 |
Operating efficiency
| Key Operating Metric | Q2 FY26 | Q1 FY26 |
|---|---|---|
| Employee Expenses | 4,822.25 | 4,795.54 |
| Other Operating Expenses | 2,784.65 | 2,720.11 |
Stock performance
| Period | Return |
|---|---|
| 1 Day | -0.01% |
| 5 Days | +2.04% |
| 1 Month | +4.12% |
| 6 Months | +32.18% |
| 1 Year | +24.62% |
| 5 Years | +647.16% |
Canara Bank continued to strengthen its balance sheet during the quarter with improved NPA ratios and strong operating performance. Improvement in recoveries and a controlled slippage trajectory supported bottom-line growth.
Disclaimer
The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
