Canara Bank announced on Wednesday, 14 October, that its net profit for the second quarter of the current financial year rose 8.4% year‑on‑year to ₹5,175 crore, up from ₹4,774 crore a year earlier. The state‑run lender recorded a third consecutive rise in quarterly net profit, while its asset quality improved for the 23rd quarter in a row continuously today.

Lower provisions for non‑performing assets contributed to the profit rise. The bank set aside ₹1,339 crore for NPAs at the end of September, compared with ₹1,504 crore provision made a year earlier. Net interest income increased 20% to ₹11,004.75 crore from ₹9,141 crore, reflecting stronger earnings from loans relative to deposit costs and maintaining a healthy margin through efficient management.

Asset quality improved for the 23rd consecutive quarter. Gross non‑performing assets as a percentage of total advances fell to 1.33% at quarter end, down from 1.57% in the previous quarter. Net NPA ratio slipped to 0.30% from 0.36% in June quarter. Since March 2021, the bank has consistently reduced its gross NPA ratio from 8.93% to 1.33% and net NPA ratio from 3.82% to 0.30%.

Operational highlights showed robust growth. Global business rose 15.8% to ₹30.72 lakh crore, while global advances increased 13.13% to ₹17 lakh crore and surged 19.5% to ₹13.75 lakh crore. Retail credit expanded 31.61%, with housing loans up 17.35% and vehicle loans up 25.50%. Domestic deposits reached ₹15.47 lakh crore as of September 2026, growing 10.97% in the latest reporting period.

At quarter end, Canara Bank operated 10,146 branches, including 3,215 rural, 3,040 semi‑urban, 1,994 urban and 1,897 metro outlets, plus 10,764 ATMs and four overseas branches in London, New York, Dubai and IBU Gift City. The bank’s provision coverage ratio stood at 95.34% as of September 2026, up from 94.76% in June 2026 and 93.59% in September 2025. Shares rose 5.15% to an intraday high of ₹126.40 following the earnings announcement.