Indian Bank reports 14% jump in net profit alongside strong growth at Axis Bank

Indian Bank posted a 14.71 percent year-on-year increase in net profit to 3,462 crore rupees for the second quarter of the 2027 financial year, compared with 3,018 crore rupees in the same period last year.

Financial Growth

The bank reported that operating profit rose 46.58 percent to 7,090 crore rupees, while net interest income grew 17.83 percent to 7,719 crore rupees. Non-interest income jumped 59 percent to 3,953 crore rupees for the quarter ending September 30, 2026. For the first half of the financial year, net profit reached 6,735 crore rupees.

Business and Asset Quality

Total business, which covers deposits and loans, grew 14.22 percent to 15.96 lakh crore rupees. Loans extended by the bank rose 16.39 percent to 7.22 lakh crore rupees, with retail, farmer, and MSME loans up 17.74 percent to 4.42 lakh crore rupees. Deposits increased 12.50 percent to 8.74 lakh crore rupees. Asset quality also improved as gross non-performing assets dropped to 1.61 percent from 2.60 percent, and net bad loans fell to 0.14 percent.

Axis Bank Results

In related banking sector updates, Axis Bank also posted strong results with a 38 percent surge in net profit for the September quarter, driven by solid loan demand and better asset quality. Its net interest income rose 11.8 percent to 15,371 crore rupees, and overall advances grew 23 percent year-on-year.

Context

Commercial banks track net interest income and non-interest earnings as key metrics to measure core lending health and fee-based revenue. Lower bad loan ratios show that lenders are successfully recovering money and managing credit risks across retail and corporate portfolios.