PNB Q2 results: Net profit rises 14% to ₹4,904 crore; asset quality improves
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Punjab National Bank (PNB) has reported a net profit of ₹4,904 crore for the quarter ended September 30, 2025, marking a 14% increase compared to the corresponding period last year. The state-owned bank’s operating profit rose to ₹7,227 crore, up 5.5% YoY, while half-yearly operating profit reached ₹14,308 crore, reflecting a 6.5% growth.
Total income for the July-September quarter stood at ₹36,214 crore, up 5.1% YoY, while for the first half of FY26, it touched ₹73,445 crore, a growth of 10.3%.
Net interest income (NII) for H1FY26 was ₹21,047 crore, showing marginal growth of 0.26% YoY. Interest income increased 6.7% YoY to ₹31,872 crore, while interest expenses rose 10.6% YoY to ₹21,403 crore, reflecting higher funding costs.
On the asset quality front, gross non-performing assets (NPAs) declined by ₹7,239 crore to ₹40,343 crore, while net NPAs fell to ₹4,026 crore, down ₹648 crore YoY. The capital adequacy ratio improved to 17.19%, with Tier-I capital rising to 14.41% (common equity tier-1 at 12.75% and additional tier-1 at 1.66%), and Tier-II capital at 2.78%.
October 2025
As India’s growth story gains momentum and the number of billionaires rises, the country’s luxury market is seeing a boom like never before, with the taste for luxury moving beyond the metros. From high-end watches and jewellery to lavish residences and luxurious holidays, Indians are splurging like never before. Storied luxury brands are rushing in to satiate this demand, often roping in Indian celebs as ambassadors.
Deposits showed healthy growth, with savings deposits increasing 4.2% YoY to ₹5,08,964 crore and current deposits rising 9% YoY to ₹74,215 crore. CASA deposits grew to ₹5,83,178 crore, lifting the CASA ratio to 37.29%, up 30 basis points from June 2025. Total term deposits climbed 14.7% YoY to ₹10,33,902 crore.
PNB’s retail advances also saw strong momentum, rising 8.8% YoY to ₹2,72,210 crore. Excluding IBPC, retail advances grew 18.1% YoY, underlining the bank’s focus on high-quality retail lending.
As on September 30, 2025, the bank has 10,228 domestic branches and 2 international branches. Out of total number of branches, the lender has 63.3% branches in rural and semi-urban areas. The bank also has 11,187 ATMs and 32,278 BCs as part of its distribution network, making the total number of 53,693 touch points.
During the quarter under review, the number of digital transactions increased to 313 crore in Q2FY26 from 239 crore in Q2FY25, registering a growth of 31% on YoY basis.
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