Canara Bank Reports Strong Q3 FY26 Results, Net Profit Rises to ₹5,155 Crore

BENGALURU, JANUARY 29, 2026: Canara Bank, a leading public sector bank, on Thursday reported a net profit of ₹5,155.11 crore for the third quarter (Q3) ended December 31, 2025. This marks a significant improvement from ₹4,104.20 crore in the same quarter of the previous financial year (Q3 FY25).

The bank's Board of Directors approved the unaudited (reviewed) standalone and consolidated financial results at its meeting held earlier today.

Key Financial Highlights (Standalone, Q3 FY26 vs Q3 FY25):

Net Profit: ₹5,155.11 crore (up from ₹4,104.20 crore)
Total Income: ₹39,880.96 crore (up from ₹36,113.77 crore)
Net Interest Income (NII): ₹9,252.32 crore (Interest Earned ₹31,981.60 crore minus Interest Expended ₹22,729.28 crore)
Operating Profit: ₹9,119.47 crore
Gross NPA Ratio: Improved to 2.08% (from 3.34%)
Net NPA Ratio: Improved to 0.45% (from 0.89%)
Provision Coverage Ratio (PCR): Stood strong at 94.19%
Capital Adequacy Ratio (Basel III): 16.50% (CET-1 at 12.37%)

Nine-Month Performance (Apr-Dec 2025):

For the nine-month period of FY26, the bank posted a standalone net profit of ₹14,681.10 crore, compared to ₹12,024.01 crore in the corresponding period last year. Total income for the period stood at ₹1,16,542.00 crore.

Segment-Wise Performance (Q3 FY26):

The Treasury segment was a major contributor, reporting a profit of ₹4,764.29 crore. Retail Banking also performed well with a profit of ₹2,591.43 crore, while the Wholesale Banking segment reported a loss of ₹650.61 crore.

Consolidated Results:

On a consolidated basis, which includes subsidiaries and associates, the net profit for Q3 FY26 was ₹5,253.67 crore. This includes the bank's share of profit from associates like Canfin Homes Ltd and Canara Robeco Asset Management, and accounts for minority interests.

Key Developments & Regulatory Disclosures:

Divestment: Following the divestment of shares via Offer for Sale (OFS), Canara Robeco Asset Management Company Ltd and Canara HSBC Life Insurance Company Ltd have been reclassified from subsidiaries to associates. The divestment resulted in a pre-tax gain of approximately ₹1,800 crore on a consolidated basis.
Asset Quality: The bank continues to show robust asset quality with declining NPA ratios and a high provision coverage. It reported no significant divergences in asset classification as per RBI's supervisory assessment for FY25.
Capital Raising: During the quarter, the bank raised ₹3,500 crore through Basel III compliant Additional Tier 1 (AT1) bonds via private placement.
Labour Codes: The bank noted that the new Labour Codes, effective from November 21, 2025, are yet to have detailed rules notified. Any consequential financial impact will be accounted for upon such notification.
No Defaults: The bank confirmed there were no defaults on any loans, debt securities, or interest payments during the quarter.

Analyst Commentary:

"The results reflect a steady improvement in core profitability driven by healthy net interest income and controlled operating expenses. The sharp reduction in Gross NPA ratio below 2.1% is a positive sign of sustained recovery and credit underwriting discipline," said a banking sector analyst.

The meeting of the Board of Directors commenced at 10:00 AM and concluded at 12:55 PM.

The financial results are also available on the bank's website: www.canarabank.bank.in.

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About Canara Bank: Canara Bank is a leading public sector bank in India, headquartered in Bengaluru. It offers a wide range of banking and financial services through its vast network of branches in India and overseas.