Canara Bank delivered robust financial performance in Q3 2026, with net income rising 24.67% year-on-year to ₹5,253.67 crore compared to ₹4,214.16 crore in the same quarter last year. On a sequential basis, the bank's net income increased 8.32% from ₹4,187.76 crore in the previous quarter. The bank's diluted normalized earnings per share improved to ₹5.79 from ₹4.65 in the corresponding quarter of the previous fiscal year, representing a 24.52% year-on-year growth. This strong quarterly performance has contributed to the bank's record annual results for FY26.
For the financial year 2025-26, Canara Bank achieved a record net profit of ₹19,187 crore, representing a 12.69% increase from ₹17,027 crore in the previous year. The bank also declared a dividend of ₹4.2 per share for FY26, with the dividend cheque of ₹2,397 crore presented to the Government of India on Monday by Brajesh Kumar Singh, MD & CEO. This dividend declaration reflects the bank's strong financial position and commitment to shareholder returns.
The bank's net interest income declined 14.81% quarter-on-quarter to ₹8,228.92 crore from ₹9,754.66 crore in Q2, while showing a 14.17% year-on-year decrease from ₹9,587.33 crore in Q3 FY25. However, non-interest income bank surged 67.79% sequentially to ₹2,151.65 crore from ₹7,824.20 crore in the previous quarter, though it remained lower than ₹6,679.17 crore recorded in Q3 FY25. Net interest expense bank decreased significantly by 81.03% quarter-on-quarter to ₹1,584.48 crore from ₹9,814.35 crore in Q2, while showing a 85.46% year-on-year decline from ₹8,353.15 crore in the corresponding quarter last year.
The bank's loan loss provision increased 2.69% quarter-on-quarter to ₹2,417.28 crore from ₹2,398.80 crore in the previous quarter, while showing a 0.77% year-on-year increase from ₹2,398.80 crore in Q3 FY25. Net income before taxes rose 15.67% year-on-year to ₹6,378.81 crore compared to ₹5,514.55 crore in the corresponding quarter of the previous fiscal year, though it remained relatively flat on a sequential basis with a marginal 0.45% increase from ₹5,512.51 crore in Q2.
The strong quarterly results come amid a positive market backdrop, with Sensex advancing 791 points, or 1.04%, to close at 76,991.22 and Nifty 50 rising 198 points, or 0.83%, to settle at 24,021.65 on Wednesday, June 24. The rally was driven by short-covering in select heavyweight stocks, particularly across banking, financial services, and IT sectors, with the Nifty IT index surging more than 2% and Bank Nifty, Nifty Private Bank, and Nifty Financial Services indices each climbing over 1.5%. Key contributors included ICICI Bank, HDFC Bank, Infosys, Bajaj Finance, and SBI.
