Punjab & Sind Bank delivered robust financial performance in Q1 FY2026, with net profit rising 23.16% year-on-year to ₹331.51 crore compared to ₹269.16 crore in the same quarter last year. According to the latest financial results reported by Business Standard, the bank's Total Operating Income grew 4.92% to ₹3,545.72 crore during the April-June quarter, up from ₹3,379 crore in the previous year. The Net Interest Income increased to ₹1,038 crore during the quarter, registering a growth of over 15% as reported by The Hindu BusinessLine. Profit before tax (PBT) stood at ₹451.49 crore in Q1 FY27, registering growth of 39.77% YoY, demonstrating strong operational performance across all metrics.
The bank significantly expanded its focus on Retail, Agriculture and MSME (RAM) segments, with RAM advances as a percentage of total advances increasing by 602 basis points to 60.02% from 54.00% a year earlier. As reported by CNBC TV18, The Hindu BusinessLine, Business Standard, and NDTV Profit, within this segment, Retail advances grew 36.44%, Agriculture advances increased 25.85%, and MSME advances rose 32.71%, reflecting the bank's strategic shift toward higher-yielding retail lending. The share of RAM in total advances increased by over 6 per cent to over 60 per cent during the quarter, as reported by The Hindu BusinessLine. Gross advances increased 19% to ₹1,19,290 crore from ₹99,950 crore at the end of June 2025, indicating successful business expansion across key segments.
On a year-on-year basis, Total Business grew 15.27% to ₹2,66,420 crore from ₹2,31,132 crore at the end of June 2025, while Total Deposits rose 12.16% and Retail Term Deposits grew 14.94%. According to the bank's results reported by CNBC TV18, The Hindu BusinessLine, Business Standard, and NDTV Profit, Total Advances increased 19.35%, with RAM advances registering stronger growth of 32.66%, indicating successful business expansion across key segments. Total deposits rose 12.16% to ₹1,47,130 crore as against ₹1,31,182 crore recorded in the corresponding quarter last year. CASA deposits stood at ₹44,225 crore in Q1 FY27 as compared to ₹40,133 crore posted in Q1 FY26, registering a growth of 10.20%, while the CASA ratio was 30.31% as of 30 June 2026, as against 30.43% as of 30 June 2025.
The bank demonstrated significant improvement in asset quality during the quarter. As reported by CNBC TV18, The Hindu BusinessLine, Business Standard, and NDTV Profit, Gross NPA declined by 21.02% to ₹2,637 crore as of 30 June 2026, as against ₹3,339 crore as of 30 June 2025, while Gross NPA ratio reduced to 2.21% in Q1 FY27 as against 3.34% recorded in Q1 FY26. The Net NPA ratio fell to 0.65% in Q1 FY27 as against 0.91% in Q1 FY26. The Provision Coverage Ratio improved by 56 basis points to 92.33%, indicating stronger risk management and provisioning practices. Provisions and contingencies dropped significantly to ₹94 crore during the first quarter compared to ₹217 crore a year ago, reflecting the improved asset quality. This improvement in asset quality contributed significantly to the bank's overall financial performance during the quarter.
Punjab & Sind Bank showed improved operational metrics with Return on Assets improving by 6 basis points to 0.73% from 0.67%, while Return on Equity improved by 118 basis points to 10.85% from 9.67%. According to the bank's results reported by CNBC TV18, The Hindu BusinessLine, Business Standard, and NDTV Profit, the Cost to Income ratio reduced by 34 basis points to 60.21% from 60.55%, and the Capital Adequacy Ratio (CRAR) stood at 17.61%, reflecting strong financial health and operational efficiency. The Tier I (including CCB) capital ratio improved to 16.56% in Q1 FY27 as against 16.02% registered in Q1 FY26. The Capital Adequacy Ratio stood at 17.61%, while the CD ratio improved by 489 basis points to 81.08% in Q1 FY27 as against 76.19% in Q1 FY26, indicating improved capital management and operational efficiency.
