Satyanarayana Raju, MD & CEO, Canara Bank
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HANDOUT E MAIL
Public sector lender Canara Bank reported a 21.7 per cent year-on-year (y-o-y) rise in net profit, to ₹4,752 crore, for the quarter that ended June, 2025 (Q1 FY26).
The increase in net profit was aided by a 33 per cent jump in non-interest income. However, net interest income (NII) declined 1.7 per cent y-o-y to ₹9,009 crore, compared to ₹9,166 crore in the corresponding quarter last year. Despite the dip in NII, operating profit rose 12.3 per cent y-o-y to ₹8,554 crore.
On the liabilities side, current deposits dropped 30 per cent quarter-on-quarter (q-o-q) to ₹54,045 crore. Managing Director and CEO K Satyanarayana Raju attributed this decline to withdrawals by four to five central public sector undertakings (PSUs) in a post-quarter press conference.
Retail credit grew 33.92 per cent y-o-y, while Housing loans were up 13.92 per cent, and vehicle loans up 22.09 per cent. The RAM (retail, agriculture, MSME) credit registered a 14.9 per cent growth y-o-y.
Global business stood at ₹25.64 lakh crore, up 10.98 per cent y-o-y. Global advances (gross loans) was at ₹10.96 lakh crore, up 12.42 per cent y-o-y higher growth than deposits, showing strong loan demand and a credit-led growth strategy.
The domestic deposits was at ₹13.39 lakh crore up 8.74 per cent y-o-y, slightly lower growth compared to global deposits which was at ₹14.68 lakh crore.
Commenting on the credit growth, Raju said the bank is already ahead of its full-year guidance. “The credit growth guidance we gave was 10 to 11 per cent. We’ve grown at 12.4 per cent in the first quarter. RAM is growing at 14.9 per cent, which is almost touching 15 per cent. Given this strong start, and with the festive season ahead, I’m confident that growth will exceed guidance, not less than 12 per cent y-o-y credit growth in the next three quarters,” he said.
The shares of the company closed at ₹113.50, up 5.29 per cent on the BSE.
Published on July 24, 2025
