Punjab & Sind Bank Reports 39.66% Year-on-Year Growth in Q2 Net Profit

The public sector bank’s net profit rose to ₹412 crore for the quarter ended September 30, 2026, while total business increased 15.73% to ₹2,79,231 crore.

Punjab & Sind Bank reported a 39.66% year-on-year increase in net profit to ₹412 crore for the quarter ended September 30, 2026, compared with ₹295 crore in the corresponding quarter of the previous financial year. Operating profit rose 22.38% to ₹618 crore from ₹505 crore.

On a quarter-on-quarter basis, net profit increased 24.47% from ₹331 crore, while operating profit grew 13.39% from ₹545 crore.

The bank also reported improvements in asset quality, profitability ratios and advances across key lending segments during the second quarter of FY2026-27.

Business and Advances Register Growth

Punjab & Sind Bank's total business increased 15.73% year-on-year to ₹2,79,231 crore in Q2 FY2026-27, compared with ₹2,41,272 crore in Q2 FY2025-26.

Total deposits rose 12.97% to ₹1,53,312 crore from ₹1,35,706 crore, while retail term deposits increased 9.64% to ₹67,354 crore from ₹61,432 crore.

Total advances grew 19.28% to ₹1,25,919 crore, compared with ₹1,05,566 crore a year earlier. Retail, Agriculture and MSME advances recorded growth of 42.71%, 16.01% and 28.69%, respectively.

RAM advances, covering retail, agriculture and MSME lending, increased 31.08% to ₹77,276 crore from ₹58,953 crore. Their share of total advances rose by 553 basis points, from 55.84% to 61.37%.

Business per branch improved to ₹164.20 crore from ₹148.77 crore on a year-on-year basis.

Asset Quality Improves

The bank reported a decline in both gross and net non-performing assets (NPAs).

Gross NPA stood at ₹2,636 crore, down 14.47% from ₹3,082 crore in the corresponding quarter last year. The gross NPA ratio declined by 83 basis points, from 2.92% to 2.09%.

Net NPA decreased 12.06% to ₹751 crore from ₹854 crore, while the net NPA ratio fell by 22 basis points, from 0.83% to 0.61%.

The provision coverage ratio increased by 60 basis points, from 91.88% to 92.48%.

Income and Profitability Ratios

Total income increased 11.06% to ₹3,747 crore, while net interest income rose 22.32% to ₹1,162 crore during Q2 FY2026-27.

Core fee income grew 23.62% to ₹246 crore. Net interest margin improved by 17 basis points, from 2.60% to 2.77%.

Return on assets increased by 16 basis points, from 0.72% to 0.88%, while return on equity rose by 280 basis points, from 10.41% to 13.21%.

The cost-to-income ratio improved, declining by 268 basis points from 61.87% to 59.19%. The capital-to-risk-weighted assets ratio (CRAR), however, decreased by 64 basis points, from 17.19% to 16.55%.

Half-Year Performance Through September 2026

For the half year ended September 30, 2026, Punjab & Sind Bank reported an operating profit of ₹1,163 crore, an increase of 11.29% from ₹1,045 crore in the corresponding period of the previous financial year.

Net profit rose 31.74% to ₹743 crore from ₹564 crore. Net interest income increased 18.85% to ₹2,200 crore from ₹1,851 crore, while core fee income grew 19.53% to ₹410 crore from ₹343 crore.

The half-year cost-to-income ratio declined by 152 basis points, from 61.20% to 59.68%. Return on assets improved from 0.70% to 0.81%, net interest margin increased from 2.56% to 2.65%, and return on equity rose from 10.13% to 12.19%.

These results cover the quarter and half year ended September 30, 2026, corresponding to Q2 and the first half of FY2026-27.