Canara Bank Share Price Rises Over 3% After Strong Q1 Results

Market Performance

Canara Bank share price witnessed an upward movement following the announcement of its Q1FY26 financial results.

As of 1:35 PM on Thursday, the stock was trading at ₹111.30 per share on the BSE, reflecting a 3.25% gain from the previous session.

Q1FY26 Highlights: Solid Growth in Net Profit

Canara Bank reported a net profit of ₹4,752 crore for the quarter ended June 2025, reflecting a 21.7% rise from ₹3,905 crore in the same quarter last year, supported by a strong increase in other income.

Revenue and Income Performance

• Net Interest Income (NII) stood at ₹9,009 crore in Q1FY26
  ⮞ Down 1.7% YoY from ₹9,166 crore
• Other Income surged 32.7% YoY to ₹7,060.48 crore
  ⮞ Up from ₹5,318.88 crore
• Pre-Provision Operating Profit (PPOP) rose 12.32% YoY
  ⮞ Reached ₹8,553.59 crore compared to ₹7,616.14 crore in the previous year

EBITDA and Provisions

• Provisions for contingencies increased to ₹2,351.56 crore
  ⮞ Up from ₹1,831.71 crore QoQ
• Provisions for NPAs dropped to ₹1,845.26 crore
  ⮞ Down from ₹2,847.09 crore in the previous quarter

Asset Quality Shows Improvement

The asset quality of Canara Bank improved sequentially during Q1FY26:

• Gross NPA declined to ₹29,518.43 crore
  ⮞ Lower than ₹31,530.03 crore in Q4FY25
• Net NPA decreased to ₹6,765.24 crore
  ⮞ Down from ₹7,353.31 crore in the March quarter
• Gross NPA Ratio improved to 2.69%
  ⮞ From 2.94% QoQ
• Net NPA Ratio stood at 0.63%
  ⮞ Improved from 0.70%

Fresh Slippages also reduced:

• Slippages declined to ₹2,129 crore
  ⮞ From ₹2,655 crore in Q4FY25
• Slippage Ratio improved by 52 basis points to 0.80%
• Recoveries from written-off accounts stood at ₹1,414 crore

Deposits and Advances

Canara Bank recorded strong growth in both deposits and advances during the June quarter:

Global Performance:

• Global Advances: ₹10,96,329 crore
  ⮞ Up 12.42% YoY
• Global Deposits: ₹14,67,655 crore
  ⮞ Increased by 9.92% YoY

Domestic Operations:

• Domestic Deposits: ₹13,38,742 crore
  ⮞ Growth of 8.74% YoY
• Domestic Advances: ₹10,32,142 crore
  ⮞ Up 12.15% YoY

Retail and RAM Credit:

• RAM Credit Growth: 14.90%
• Retail Credit: Rose by 33.92%
  ⮞ Housing Loans up 13.92%
  ⮞ Vehicle Loans surged 22.09%

As of June 30, 2025, the bank operated with a network of 9,861 branches across the country.

Company Overview

Canara Bank, one of India's leading public sector banks, continues to show resilience with improving asset quality and robust retail credit growth.

Despite a slight fall in Net Interest Income, the overall performance in Q1FY26 reflects financial stability and operational efficiency.

Summary

• Canara Bank share price climbed 3.25% post Q1 results
• Net profit rose by 22% YoY to ₹4,752 crore
• Other income grew by 32.7% YoY
• Asset quality showed visible improvement
• Retail and RAM credit posted strong double-digit growth
• The bank maintained a solid deposit base with improving advances

With continued focus on retail lending and efficient recovery, Canara Bank seems poised for steady growth, as reflected in its latest quarterly performance.