RBL Bank Q3 Results: Net Profit Rockets 555% to Rs 214 Crore, Interest Income Up 5% YoY
RBL Bank has reported outstanding Q3 results, showcasing impressive growth in net profit and interest income. The substantial 555% increase in net profit to Rs 214 crore, up from Rs 33 crore in the same quarter last year, highlights the bank’s strong quarterly performance. This remarkable result underscores the bank’s successful lending strategies, rising deposits, and enhancements in asset quality.
Key Financial Highlights
– Net Profit Surge: RBL Bank’s net profit skyrocketed by 555% year-over-year, reaching Rs 214 crore.
– Quarterly Growth: Compared to the previous quarter, profitability rose by 20%.
– Interest Income Growth: The bank earned Rs 1,657 crore in interest income, reflecting a 5% year-over-year increase from Rs 1,585 crore.
– Net Interest Margin: RBL Bank’s net interest margin (NIM) dipped to 4.63%, down from 4.90% reported in the same quarter of the previous year.
Asset Quality Improvements
– NPAs Decline: The gross NPA ratio improved, reducing to 1.88% as of December 31, 2025, from 2.32% by the end of September 2025.
– Net NPA Ratio: The net NPA ratio also decreased slightly to 0.55%, down from 0.57%.
– Provision Coverage: The provision coverage ratio, including technical write-offs, stood robust at 93.2%.
Lending and Deposits Performance
– Advances Growth: Total advances grew 14% year-on-year and 3% quarter-on-quarter, totaling Rs 103,086 crore.
– Retail Advances: Increased by 10% YoY and 1% QoQ to Rs 60,611 crore.
– Wholesale Advances: Expanded significantly by 21% YoY and 5% QoQ, reaching Rs 42,475 crore. This increase was mainly driven by a 30% year-on-year growth in commercial banking.
– Deposits Increase: Overall deposits rose by 12% year-on-year and 3% quarter-on-quarter to Rs 119,721 crore.
– CASA Deposits: Grew by 6% YoY to Rs 36,972 crore, with a CASA ratio of 30.9%.
Efficiency Ratios
– Cost-to-Income Ratio: Rose to 66.30%, up from 62.51%.
– Return on Assets: Improved to 0.55% from 0.09%.
– Return on Equity: Increased significantly to 5.25% from 0.84%.
Conclusion
RBL Bank’s impressive Q3 results underscore the bank’s effective strategies in enhancing lending and deposit growth while simultaneously improving asset quality. The dramatic 555% increase in net profit to Rs 214 crore signals a robust recovery and sets a positive outlook for the bank’s future performance. These results are a testament to RBL Bank’s resilience and adaptive measures in the evolving financial landscape.