State-owned Canara Bank on Thursday reported 19 % increase in net profit at ₹4,774 crore for the second quarter ended September on the back of decline in bad loans.
The bank had earned a net profit of Rs 4,015 crore in the year-ago period.
Total income increased to ₹38,598 crore in the second quarter from ₹34,721 crore in the same period of the previous fiscal, Canara Bank said in a regulatory filing.
Interest income improved to ₹31,544 crore from ₹29,740 crore in the same quarter a year ago.
However, Net Interest Income witnessed moderation in the quarter to ₹9,141 crore as against Rs 9,315 crore a year ago.
Operating profit also increased to ₹8,588 crore as against ₹7,654 crore in the same quarter a year ago.
In terms of asset quality, gross non-performing assets (NPAs) of the bank moderated to 2.35 % of gross advances at the end of September 2025 as against 3.73 % by the year-ago period.
Similarly, net NPAs or bad loans came down to 0.54% at the end of September 2025 as compared to 0.98 % at the end of September 2024.
As a result, the provision for bad loans declined to ₹1,504 crore as against ₹2,587 crore in the second quarter of the last financial year.
During the quarter, the Provision Coverage Ratio (PCR) improved to 93.59% as on September 30, 2025 as against 90.89% at the end of second quarter of last fiscal.
With regard to capital adequacy, Capital to Risk-Weighted Assets Ratio (CRAR) moderated to 16.20% from 16.57%.
