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Axis Bank Q3 Results: PAT Rises 3% YoY to Rs 6,490 Crore, NII Grows 5%
Axis Bank has delivered solid Q3 results, showcasing a year-over-year (YoY) increase in profitability and robust net interest income (NII). Here are the key highlights from the Q3FY26 performance:
Financial Highlights
– Profit After Tax (PAT): Increased by 3% YoY to Rs 6,490 crore, up from Rs 6,304 crore in Q3FY25.
– NII Growth: The bank’s NII stands at Rs 14,287 crore, reflecting a 5% YoY and 4% quarter-over-quarter (QoQ) increase.
– Interest Income: Total interest income reached Rs 32,274 crore, marking a 4.3% rise from Rs 30,954 crore in the previous year.
Interest and Deposits
– Interest Paid on Deposits: The bank paid Rs 17,988 crore in interest on deposits, up nearly 4% from Rs 17,348 crore in Q3FY25.
– Current Account Deposits: Grew by 7% QoQ and 20% YoY, while savings account deposits rose 1% QoQ and 11% YoY.
Operating Profit and Costs
– Operating Profit: Reported at Rs 10,876 crore, reflecting a 3% YoY increase, with core operating profit seeing a 7% YoY rise to Rs 10,815 crore.
– Operating Costs: Increased by 7% YoY in Q3FY26.
Provisions and Contingencies
– Provisions for Q3FY26: Amounted to Rs 2,246 crore, with specific loan loss provisions at Rs 2,307 crore.
– Cumulative Provisions: Stand at Rs 13,111 crore, which translates to a standard asset coverage of 1.14% as of December 31, 2025.
Balance Sheet Growth
– Total Balance Sheet: Grew by 15% YoY to Rs 17,52,171 crore as of December 31, 2025.
– Deposits and Advances: Total deposits increased by 5% QoQ and 15% YoY. Advances grew 14% YoY and 4% QoQ to Rs 11,59,052 crore.
Retail Banking Performance
– Retail Loans: Up by 6% YoY to Rs 6,44,575 crore, making up 56% of net advances, with 73% being secured loans.
– Small Business Banking: Rose 2% QoQ and 14% YoY, while personal loans surged 2% QoQ and 5% YoY.
Distribution Network
– Branch Expansion: The bank now operates 6,110 domestic branches and extension counters, an increase from 5,706 the previous year.
Conclusion
Axis Bank’s Q3 results reflect strong financial health, with significant increases in both PAT and NII, underscoring the bank’s successful operational strategies and growth initiatives. The year-on-year improvements across various metrics showcase the bank’s resilience in a competitive market. Investors and stakeholders can look forward to Axis Bank sustaining this positive trajectory moving forward.