IOB Sees Significant Profit Surge Amid Improved Asset Quality

Indian Overseas Bank reported a 56.2% increase in net profit, reaching Rs 1,365 crore for Q3 FY26, as core business improved and bad loans decreased. The bank's total income rose to Rs 9,672 crore, while gross NPAs fell to 1.54%. Capital adequacy stood at 16.3%.

Indian Overseas Bank witnessed a substantial growth in its third-quarter net profit, soaring 56.2% to reach Rs 1,365 crore by December 2025. This significant uptick was attributed to a decrease in bad loans and a strengthening in core business operations.

In comparison to the previous year's corresponding quarter, where the profit stood at Rs 874 crore, the bank's total income surged to Rs 9,672 crore, marking an increase from Rs 8,409 crore. Moreover, the bank's operating profit climbed to Rs 2,603 crore, with interest income seeing an upswing to Rs 8,172 crore from Rs 7,112 crore.

Notably, the bank's asset quality witnessed improvement, as gross Non-Performing Assets (NPAs) declined to 1.54% from 2.55% the previous year, showcasing robust financial performance and increased trust among stakeholders.

(With inputs from agencies.)