Indian Bank Reports Impressive Financial Performance with 11.49% Net Profit Growth in September 2025

Indian Bank has shown strong financial results for the quarter and half-year ending September 30, 2025. The bank's net profit for the quarter increased by 11.49% year-on-year, reaching Rs 3,018 crore compared to Rs 2,707 crore in September 2024. Operating profit also rose by 2.31% to Rs 4,837 crore.

For the half-year ending September 2025, Indian Bank's net profit grew by 17.24% year-on-year to Rs 5,991 crore from Rs 5,110 crore in the previous year. Net Interest Income (NII) increased by 4.35% to Rs 12,910 crore, while operating profit saw a rise of 4.08% to Rs 9,607 crore.

The bank's asset quality improved significantly with a Provision Coverage Ratio (PCR) of 98.28%. Gross Non-Performing Assets (GNPA) decreased to 2.60%, down by 88 basis points year-on-year, and Net Non-Performing Assets (NNPA) reduced to 0.16%. The Capital Adequacy Ratio stood at a robust 17.31%, supported by a Common Equity Tier-1 (CET-1) ratio of 14.80%.

Indian Bank's Return on Assets (RoA) and Return on Equity (RoE) for the quarter were recorded at 1.32% and 19.58%, respectively. For the half-year period, RoA increased by seven basis points to 1.33%, while RoE remained steady at 19.93%. The bank's credit cost was reduced by 41 basis points to 0.27%, demonstrating stronger asset quality.

The Retail, Agriculture, and MSME (RAM) sectors experienced growth of 15.57%, making up 65.50% of all domestic advances. Overall gross advances rose by 12.65% year-on-year to Rs 6,20,324 crore. Total deposits increased by 12.09% to Rs 7,76,946 crore, with a CASA ratio of 38.87%.

The bank continues to enhance its digital infrastructure with over 5,955 domestic branches and more than 15,500 business correspondents. In H1FY26, Indian Bank generated Rs 1.23 lakh crore in business through digital channels, with mobile banking users increasing by 17% year-on-year.

Digital Expansion and Recognition

"Our focus remains on staying agile in a dynamic environment, building trust through transparency and delivering personalised experiences," stated Indian Bank on Thursday. "We are investing in innovation, expanding access to underserved segments and strengthening our foundation for long term success."

Net banking users constitute about 6%, while UPI users make up approximately 24%. During the quarter, Indian Bank received several awards including the Rajbhasha Kirti Award and VMware Cloud Leader - India Award for operational excellence.