Canara Bank Q2 results: Net profit jumps 18.9% YoY, asset quality stable; shares jump 4%

Shares of Canara Bank jumped 4% after the PSU Bank reported Q2FY26 earnings in mid-session. The bank posted an 18% YoY jump in the net profit for the quarter ended September 2025.

The Canara Bank share price hit new record high of ₹134.2 apiece on the NSE at 1:20 pm on the NSE after bank reported sharp jump in profits.

On the topline front, the bank’s net interest income for the quarter remained subdued with a 1.9% YoY decline at ₹9141 crore as compared to ₹9318 crore in the previous year’s same quarter. This was largely due to a sharp rise in interest expenses at 9.6% YoY vs a lesser increase in interest income at 6% YoY.

The provisions for the quarter grew at a modest pace of 4.6% YoY, which led to 18% YoY jump in the net profit at ₹4773 crore as against ₹4014 crore. In addition, the asset quality for the bank also improved substantially for the quarter, as GNPA and NNPA stood at 2.35% and 0.5% for the quarter vs 3% and 0.9% respectively for the same period last year.

On the balance sheet front, the deposits for the quarter were 4.8% YoY at ₹15.2 lakh crore and advances jumped 7.7% for the quarter at ₹11.3 lakh crore. The retail advances grew by 16.4% to ₹6.7 lakh crore. Retail Credit grew by 29.11% with Housing loan growth at 15.25% and Vehicle loan at 25.58%

The bank also looks well capitalised with a capital adequacy ratio of 16.2% for the quarter.

As on Q2FY26, the Bank has 9948 Number of Branches, out of which 3165 are Rural,2954 SemiUrban,1957 Urban & 1872 Metro, along with 7405 ATMs. Bank is also having 4 Overseas Branches in London, New York, Dubai & IBU Gift City.