Punjab National Bank (PNB) announced a strong Q2 FY’26, with net profit increasing by 14% to ₹4,904 Crore. Operating profit rose to ₹7,227 Crore for the quarter and ₹14,308 Crore for the half-year. The bank also saw improvements in asset quality, with GNPA and NNPA ratios declining. Global business grew by 10.6% to ₹27.86 Lakh Crore.
Financial Performance
Punjab National Bank (PNB) reported a net profit increase of 14.0% Y-o-Y, reaching ₹4,904 Crore in Q2 FY’26, compared to ₹4,303 Crore in Q2 FY’25. Operating profit for Q2 FY’26 increased to ₹7,227 Crore, and for HY1 FY’26, it reached ₹14,308 Crore, reflecting growth of 5.5% and 6.5%, respectively, on a YoY basis. Return on Assets (RoA) improved to 1.05% in Q2 FY’26 from 1.02% in Q2 FY’25.
Key Financial Metrics
Net Interest Income (NII) increased to ₹21,047 Crore in HY1 FY’26 from ₹20,993 Crore in HY1 FY’25, an improvement of 0.26% on a Y-o-Y basis. The Global Net Interest Margin (NIM) stands at 2.65% in HY1 FY’26 and 2.60% in Q2 FY’26.
Asset Quality Improvement
The GNPA ratio improved by 103 bps on a Y-o-Y basis to 3.45% as of September 2025, from 4.48% as of September 2024. The NNPA ratio improved by 10 bps on a Y-o-Y basis to 0.36% as of September 2025, from 0.46% as of September 2024. The Provision Coverage Ratio (including TWO) improved by 24 bps on a Y-o-Y basis to 96.91% as of September 2025, from 96.67% as of September 2024.
Business Growth
Global Business grew by 10.6% on a Y-o-Y basis to ₹27,86,673 Crore as of September 2025, from ₹25,20,246 Crore as of September 2024. Global Deposits registered a growth of 10.9% on a Y-o-Y basis to ₹16,17,080 Crore as of September 2025, from ₹14,58,342 Crore as of September 2024. Global Advances increased by 10.1% on a Y-o-Y basis to ₹11,69,592 Crore as of September 2025, from ₹10,61,904 Crore as of September 2024. RAM Advances grew by 12.7% on a Y-o-Y basis to ₹6,35,417 Crore as of September 2025, from ₹5,64,049 Crore as of September 2024.
Key Ratios
The CD Ratio improved by 124 bps to reach 72.33% in Q2 FY’26, compared to 71.09% in Q1 FY’26. The CRAR increased to 17.19% as of September 2025, from 16.36% as of September 2024, an improvement of 83 bps.
Deposit and Advances Growth
Savings Deposits increased to ₹5,08,964 Crore, registering a Y-o-Y growth of 4.2%. Current Deposits increased to ₹74,215 Crore, a Y-o-Y growth of 9.0%. CASA Deposits increased to ₹5,83,178 Crore, recording a Y-o-Y growth of 4.7%. Total Term Deposit witnessed a growth of 14.7% on a Y-o-Y basis to ₹10,33,902 Crore as of September 2025. Total Retail credit increased by 8.8% Y-o-Y to ₹2,72,210 Crore as of September 2025.
Asset Quality Details
Gross Non-Performing Assets (GNPA) declined by ₹7,239 Crore to ₹40,343 Crore as of September 2025, from ₹47,582 Crore as of September 2024. Net Non-Performing Assets (NNPA) declined by ₹648 Crore to ₹4,026 Crore as of September 2025, from ₹4,674 Crore as of September 2024.
Capital Adequacy
The CRAR increased to 17.19% as of September 2025, from 16.36% as of September 2024. Tier-I Capital improved to 14.41% as of September 2025, from 13.63% as of September 2024.
Branch Network
As of September 2025, the Bank has 10,228 domestic branches. 63.3% of the branches are in Rural & Semi-Urban areas.
Source: BSE
