Written by Tanisha Cardozo || Team Allycaral
IDBI Bank Limited reported a steady financial performance for the third quarter ended December 31, 2025, with improved profitability, robust business growth, enhanced asset quality and a strengthened capital position, reflecting sustained momentum in Q3 FY2026.
The Bank posted a net profit of ₹1,935 crore for the quarter, compared to ₹1,908 crore in the corresponding period last year. Return on Assets stood at 1.83%, while Return on Equity was recorded at 14.49%, supported by a healthy Net Interest Margin of 3.52% and a Cost-to-Income Ratio of 56.61%.
Deposits grew by 9 per cent year-on-year to ₹3,07,858 crore as on December 31, 2025, driven by stable CASA deposits of ₹1,35,632 crore, with a CASA ratio of 44.06%. Net advances rose 15 per cent to ₹2,38,786 crore, reflecting strong credit growth across corporate and retail segments, with a diversified portfolio mix of 29:71.
Asset quality continued to improve, with the Gross NPA ratio declining to 2.57% from 3.57% a year earlier, and Net NPA remaining low at 0.18%. The Provision Coverage Ratio stood at a healthy 99.33%, underlining the Bank’s prudent risk management practices.
IDBI Bank further strengthened its capital position during the quarter, with Tier-I Capital rising to 23.53% and the Capital to Risk Weighted Assets Ratio improving to 24.63%. Risk Weighted Assets stood at ₹2,11,567 crore, reflecting the Bank’s expanding balance sheet and strong capital buffers.
The results underline IDBI Bank’s focus on sustainable growth, operational efficiency and financial resilience as it continues to build momentum in India’s evolving banking landscape.
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