Central Bank of India Q1 results: PAT jumps 33% to ₹1,169 cr on lower NPAs

The total income rose to Rs 10,374 crore during the June quarter of 2025-26, from Rs 9,500 crore in the same quarter of FY25, Central Bank of India said in a regulatory filing

State-run Central Bank of India reported 33 per cent year-on-year rise (Y-o-Y) in its net profit to Rs 1,169 crore for the April-June period, mainly due to gains from treasury operations.

 

The Mumbai-based lender’s net interest income (NII) fell 4.6 percent to Rs 3,383 crore in the same quarter a year ago.

 

The net interest margin fell to 3.16 per cent in Q1FY26 from 3.58 per cent in Q1FY25. Non-interest income, comprising income from fees, treasury income, service charges, and miscellaneous income, recorded a robust growth of 53.3 percent Y-o-y to Rs 1,786 crore.

 

Of total non-interest income, treasury income rose by 65 per cent Y-o-Y to Rs 664 crore. The state-owned lender’s business expanded 11 per cent to Rs 7.04 trillion in Q1FY26. Its total deposits grew 11.4 percent Y-o-Y to Rs 4.28 trillion and its advances grew by 9.97 per cent Y-o-Y to Rs 2.8 trillion in Q1FY26. 

 

 

“Loan growth declined sharply from 20.16 per cent to 11.03 per cent during 2024-25 primarily due to moderation in lending to agri, retail and services sector. Growth in housing loans moderated from 36.54 per cent to 10.73 per cent during 2024-25,” the bank said.

 

The bank's asset quality showed improvement as gross non-performing assets (NPAs) declined to 3.13 per cent of gross advances at the end of the June quarter, from 4.54 per cent a year ago.

 

Similarly, net NPAs, or bad loans, declined to 0.49 per cent, as against 0.73 per cent in the year-ago period. As a result, provisions and contingencies halved to Rs 521 crore during the first quarter as compared to Rs 1,191 crore in the same period a year ago.

 

Slippages during the quarter moderated to Rs 839 crore from Rs 1,366 crore during the previous quarter. 

 

Provision Coverage Ratio (PCR) improved to 97.02 per cent, from 96.17 per cent, an improvement of 85 basis points. At the same time, return on Assets (ROA) improved to 1.02 per cent for June 2025, from 0.82 per cent at June 2024, registering an improvement of 20 bps, it said.  Capital adequacy ratio of the bank rose to 17.6 per cent, from 15.6 per cent in the same quarter of FY25. Its current account and savings account (CASA) ratio stood at 6.2 per cent in Q1FY26.

Central Bank of India had recently raised Rs 1,500 crore through a Qualified Institutional Placement (QIP), where Life Insurance Corporation (LIC) invested a sum of Rs 238 crore. Government shareholding in the lender still remains at 89 per cent at the end of the most recent quarter.