Axis Bank gains as Q3 PAT jumps 3% YoY to Rs 6,490 cr

Axis Bank jumped 5.38% to Rs 1,327.85 after the bank reported a 2.94% increase in standalone net profit to Rs 6,489.57 crore in Q3 FY26 compared with Rs 6,303.77 crore in Q3 FY25.

Total income increased 4.26% year on year (YoY) to Rs 38,500.06 crore in Q3 FY26.

Operating profit fell 3.24% to Rs 10,875.70 crore during the quarter ended 31 December 2025 compared with Rs 10,533.85 crore posted in corresponding quarter last year.

The banks net interest income (NII) stood at Rs 14,287 crore in Q3 FY26, down 5% YoY. Net Interest Margin (NIM) for Q3 FY26 stood at 3.64%.

Provision and contingencies for Q3 FY26 stood at Rs 2,246 crore. Specific loan loss provisions for Q3 FY26 stood at Rs 2,307 crore.

Total deposits climbed 15% to 12,60,786 crore as on 31 December 2025 compared with Rs 10,95,883 crore as on 31 December 2024. CASA deposits increased 14% to Rs 4,93,073 crore as of 31 December 2025 as against Rs 4,32,855 crore as of 31 December 2024. CASA deposits constitute 39% of the total deposits as of 31 December 2025.

The banks advances grew 14% YoY to Rs 11,59,052 crore as on 31 December 2025. Retail loans grew 6% YoY to Rs 6,44,575 crore, accounting for 56% of the banks net advances.

As on 30th September 2025 the banks reported Gross NPA and Net NPA levels were 1.46% and 0.44% respectively, as against 1.57% and 0.45% as on 30th June 2025.

The shareholders funds of the bank grew 15% YoY, reaching Rs 1,96,709 crore as of 31 December 2025. The Capital Adequacy Ratio (CAR) and CET1 ratio stood at 16.55% and 14.50%, respectively.

Additionally, Rs 5,012 crore of other provisions and Rs 1,231 crore of one-time additional standard asset provisions are not considered in the CAR calculation, providing a cushion of approximately 43 bps over the reported CAR. The book value per equity share increased from Rs 553 on 31 December 2024 to Rs 634 on 31 December 2025.

As of 31 December 2025, the banks Gross NPA and Net NPA stood at 1.40% and 0.42%, respectively, compared with 1.46% and 0.44% as of 30 September 2025. Recoveries from written-off accounts during the quarter amounted to Rs 799 crore. Reported net slippages, adjusted for recoveries from the written-off pool, were Rs 2,335 crore, comprising retail: Rs 2,506 crore, Corporate & Business Group (CBG) Rs 109 crore, and wholesale Rs 280 crore.

As of 31 December 2025, the banks provision coverage ratio stood at 70% of Gross NPAs, down from 76% YoY as of 31 December 2024.

As of 31 December 2025, the banks distribution network comprised 6,110 domestic branches and extension counters and 281 business correspondent banking outlets (BCBOs) across 3,315 centers, up from 5,706 branches and 202 BCBOs in 3,122 centers YoY. The bank also had 12,838 ATMs and cash recyclers nationwide. Its Axis virtual centre operated across eight centers with 1,582 virtual relationship managers as of 31 December 2025.

Amitabh Chaudhry, MD & CEO, Axis Bank said: Our progress this quarter reflects our focus on creating solutions that matter - simplifying access to credit, reimagining digital banking, and investing in talent and ideas that will shape the future. We will keep strengthening our competitive edge by modernising our platforms, empowering our teams, and staying ahead of shifts in customer behavior through smart and revolutionary solutions.

Axis Bank is a private sector bank. It has the third-largest network of branches among private sector banks and an international presence through branches in DIFC (Dubai) and Singapore along with representative offices in Abu Dhabi, Sharjah, Dhaka and Dubai and an offshore banking unit in GIFT City.

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