Karur Vysya Bank shares hit record high, soars 10% as Q3 profit jumps

Antique Stock Broking said Karur Vysya Bank has reiterated its FY26 loan growth guidance of around 2 per cent above industry growth

Shares of Karur Vysya Bank Ltd. (KVB) rose over 10 per cent on Tuesday to hit a record high after the lender reported a 39 per cent jump in net profit to ₹690 crore for the third quarter ended December 2025 (Q3-FY26).

 

The lender's stock rose as much as 9.8 per cent during the day to a life high of ₹272 per share, the biggest intraday gain since June 5, 2024. The stock pared gains to trade 9 per cent higher at ₹290 apiece, compared to a 0.19  per cent decline in Nifty 50 as of 11:03 AM. 

 

Shares of the company rose for the third straight session and currently trade at 27 times the average 30-day trading volume, according to Bloomberg. The counter has risen 10 per cent this year, compared to a 3.8 per cent decline in the benchmark Nifty 50. Karur Vysya Bank has a total market capitalisation of ₹27,932.33 crore. 

 

Karur Vysya Bank Q3 results 

The Karur-based lender reported a 39 per cent jump in net profit to ₹690 crore for the third quarter ended December 2025. Its core net interest income increased 14.62 per cent to ₹1,239 crore against ₹1,081 crore in the corresponding quarter of the previous year on the back of a 17 per cent jump in loans.

 

The gross non-performing assets ratio improved 0.12 per cent year-on-year to 0.71 per cent of the overall advances. The bank's overall capital adequacy stood at 16.05 per cent as of December 31, with the core buffer at 15.06 per cent.

Analysts on Karur Vysya Bank earnings 

Antique Stock Broking said the bank has reiterated its FY26 loan growth guidance of around 2 per cent above industry growth. The slippage ratio declined to 0.8 per cent quarter-on-quarter (Q-o-Q) from 1.8 per cent, as the previous quarter saw corporate slippages, and is expected to remain below 1 per cent going ahead.

 

The brokerage added that KVB continues to deliver industry-leading growth with an improving margin profile, better return ratios and stable asset quality. 

 

Following a strong third-quarter performance and better-than-expected net interest margins, the brokerage raised its earnings estimates for FY26, FY27 and FY28 by 17 per cent, 12 per cent and 12 per cent, respectively. Antique maintained its 'Buy' rating and revised the target price to ₹320 from ₹285 earlier.

 

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