Central Bank of India Q1 Profit Inches Up 3.2 Pc to ₹1,323 Cr

 State-run Central Bank of India on Friday reported a 3.2₹ year-on-year rise in its consolidated net profit to ₹1,323.13 crore in the first quarter of financial year 2026-27.

During the quarter, the core net interest income of the bank increased by 15.70₹ year-on-year to ₹3,914 crore. However, on a sequential basis, net interest income has reduced by 2.20₹ when compared with the March quarter despite a 28₹ jump in advances.

The net interest margin contracted by 0.10₹ year-on-year to 3.06₹ in the reporting quarter, and the lender guided to maintaining the gap at over 3₹ for FY27.

Under the special FCNR-B window introduced by the Reserve Bank of India (RBI), the bank has garnered $8.40 million till date, and is expecting to accumulate a total of $400 million by September, Kalyan Kumar, managing director and chief executive officer (MD&CEO) of the bank, said during the post-earnings press conference.

The senior executive of the bank told PTI that the deposits so far mobilised under the FCNR-B window were from Australia, the UAE and West Asia. "We expect more inflows from West Asia in the coming months as some customers have raised an inquiry with us." The bank is currently offering 6.50₹ on three-year deposits and 6.60₹ on the five-year deposit, the CEO said.

The RBI had introduced the special FCNR-B window during the June monetary policy committee (MPC) meeting, including bearing the cost of currency hedging, to increase foreign capital inflows and bolster India's external position.

In the quarter under review, the total deposit of the bank increased by 11.68₹ YoY to ₹4.79 lakh crore, from ₹4.29 lakh crore in the year-ago period. This was on the back of higher growth in the savings account deposit, which grew by 11.66₹ to ₹2.02 lakh crore.

The current account deposit of the bank rose 6.60₹ YoY to ₹21,201 crore in the June quarter.

Kumar said that the bank is likely to continue with a deposit growth of around 12₹ in the current financial year.

Domestic advances of the bank grew by 28.4₹ to ₹3.54 lakh crore in Q1FY27, from ₹2.76 lakh crore in Q1FY26. Retail advances increased by 23.92₹ during the quarter, agriculture by 21.14₹ and MSME by 18.03₹.

The corporate loan book of the bank has seen a sharp growth of 46.52₹ in the June quarter to ₹1.13 lakh crore.

The bank's asset quality witnessed improvement with gross non-performing assets (NPAs) moderating to 2.60₹ at the end of the June quarter, from 3.13₹ a year ago.

Kumar said the bank is expecting around ₹2500 crore to ₹2,700 crore recovery from written-off accounts in FY 2026-27. "We also expect some recovery in Go First, formerly known as Go Air, in the current financial year," he added.

Further, he said that the IFSC Banking Unit (IBU) at the Gujarat International Finance Tec-City (GIFT City) will do a business of $500 million in the current financial year.