Indian Bank Q1 Standalone net profit rises 10% YoY

For the April–June quarter of FY27, Indian Bank declared a standalone net profit of Rs 3,273 crore on Friday. This represents a more than 10% year-over-year (YoY) increase from Rs 2,973 crore recorded in the same quarter of the previous fiscal year.

The PSU lender’s net interest income (NII), meanwhile, rose nearly 17% to around Rs 7,435 crore in Q1 FY27 from Rs 6,359 crore in Q1 FY26. The company’s shares surged around 10% following the release of the results.

Indian Bank’s rise in net profit and NII was accompanied by a sharp improvement in asset quality. Gross non-performing assets (GNPA) fell nearly 30% YoY to Rs 12,710 crore, while the gross NPA ratio declined to 1.86% from 3.01% in Q1 FY26. Net NPA, meanwhile, fell over 4% YoY to Rs 990 crore, with the net NPA ratio improving to 0.15% from 0.23% a year earlier.

The PSU bank’s net worth rose nearly 14% YoY to Rs 68,793 crore in the first quarter of FY27, from Rs 60,383 crore in the same period of FY26. Its operating profit margin rose to 26.82% from 25.48% a year earlier, while net profit margin edged down to 15.79% from 15.88% in Q1 FY26.

Indian Bank’s return on assets rose to 1.34%, while earnings per share (EPS) increased to Rs 24.92. Its capital adequacy ratio stood at 17.80%, while total advances grew around 14% to Rs 6.84 lakh crore.

The bank said its slippage ratio declined to 0.77% in June 2026 from 0.94% in June 2025. Yield on investments (YoI), meanwhile, stood at 6.96%, while domestic net interest margin (NIM) improved to 3.41% from 3.35% a year earlier.