Canara Bank reported a 2% YoY rise in net profit to ₹4,856 crore in the June quarter, while net interest income (NII) grew 13% to ₹10,216 crore.
The bank's gross NPA improved to 1.57% from 2.69% a year ago, while net NPA declined to 0.36%, reflecting stronger asset quality.
Global business grew 14.37% to ₹29 lakh crore, driven by healthy growth in deposits and advances.
State-owned Canara Bank on Monday reported a 2% year-on-year (YoY) increase in net profit to ₹4,856 crore for the first quarter of FY27, compared with ₹4,752 crore in the corresponding period last year.
The lender's net interest income (NII) rose 13% YoY to ₹10,216 crore from ₹9,008 crore, according to its regulatory filing.
4 July 2026
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The bank also reported an improvement in asset quality during the quarter, with lower non-performing assets and steady growth in its loan book.
Asset Quality Strengthens, Provisions Ease
Canara Bank's gross non-performing asset (GNPA) ratio improved to 1.57% as of June 30, 2026, from 2.69% a year earlier, according to its investor presentation.
The net NPA ratio also declined to 0.36%, compared with 0.63% in the year-ago period. Total NPAs fell nearly 24% YoY to ₹1,399 crore from ₹1,845 crore.
Total provisions eased marginally to ₹3,780 crore from ₹3,802 crore a year ago. Meanwhile, total expenses increased 5% YoY to ₹31,048 crore, while interest paid on deposits rose 2% to ₹20,241 crore.
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Business Growth Driven by Loans and Deposits
Canara Bank's global business expanded 14.37% YoY to ₹29 lakh crore as of June 2026. Global deposits grew 11.63% to ₹16.12 lakh crore, while global advances increased 17.97% to ₹12.93 lakh crore.
On the domestic front, deposits rose 10.06% YoY to ₹14.73 lakh crore, while domestic advances climbed 16.95% to ₹12.07 lakh crore. The bank's RAM (Retail, Agriculture and MSME) credit grew 21.20% to ₹7.65 lakh crore, while the retail loan portfolio surged 35.88% to ₹3.20 lakh crore. Housing loans also rose 17.85% to ₹1.29 lakh crore.
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FY27 Guidance Remains Steady
As of June 30, 2026, Canara Bank operated 10,131 branches across India and 11,047 ATMs and cash recyclers, besides four overseas branches in London, New York, Dubai and IBU GIFT City.
For FY27, the bank expects global business growth of 10-11%, while global deposits are projected to grow 9-10%.
The lender has guided for a global net interest margin (NIM) of 2.50-2.60%, while it expects global gross NPA to remain around 1.50% and global net NPA at 0.40% during the current financial year.
