This private sector lender's share is buzzing in trade today; here's why

RBL Bank share price gained in trade today after foreign brokerage Citi reportedly placed the stock on a 90-day positive catalyst watch, citing expectations of a sharper improvement in RoAs.

RBL Bank share price today: Private lender RBL Bank share price rose as much as 4.27 per cent to hit an intraday high of ₹249.80 per share on Monday, June 30, 2025.

 

At 10:50 AM, RBL Bank’s share price continued to trade higher, up 3.19 per cent at ₹247.20. In comparison, BSE Sensex was trading 0.40 per cent lower at 83,722.65 levels.  FOLLOW STOCK MARKET LATEST UPDATES LIVE 

Why did RBL Bank share price rise in trade today?

 

RBL Bank share price gained in trade today after foreign brokerage Citi reportedly placed the stock on a 90-day positive catalyst watch, citing expectations of a sharper improvement in return on assets (RoA).

 

 

Citi anticipates the RoA to improve by 45–50 basis points, supported by the long-awaited normalisation in credit costs. Thus, the brokerage maintained its ‘Buy’ rating on the stock, and raised the target price to  ₹285 from ₹230.

 

According to reports, Citi also expects asset quality pressures to ease, projecting a moderation in slippages to 4.5 per cent in Q1FY26 from 4.7 per cent in Q4FY25, with stress in the joint liability group (JLG) and credit card portfolios likely to subside further.  ALSO READ | SBI, Indian, Union Bank gain up to 4%; what's driving PSU Banks today 

RBL Bank Q4 results

 

RBL Bank reported an 81 per cent year-on-year (Y-o-Y) drop in net profit to ₹69 crore for the fourth quarter ended March 2025 (Q4FY25), hit by shrinking net interest margins (NIMs) and higher provisions for bad loans.

 

For the full financial year, net profit declined 40 per cent to ₹695 crore in FY25, compared to ₹1,168 crore in FY24.

 

Net interest income (NII) slipped 2 per cent Y-o-Y to ₹1,563 crore in Q4FY25 from ₹1,600 crore in the same quarter last year. NIM fell to 4.89 per cent from 5.45 per cent a year ago.

 

Provisions and contingencies surged to ₹785.14 crore from ₹413.79 crore a year earlier. The bank made full provisioning on its Joint Liability Group (JLG) or microfinance loan portfolio, taking NPA coverage on this segment to 100 per cent.

 

Advances grew 10 per cent Y-o-Y to ₹92,618 crore, while total deposits rose 7 per cent to ₹1.10 trillion as of March 2025.

 

Asset quality improved slightly, with gross NPAs declining to 2.6 per cent from 2.65 per cent Y-o-Y and net NPAs to 0.29 per cent from 0.74 per cent. The provision coverage ratio (including write-offs) improved to 96.4 per cent from 89.8 per cent.  ALSO READ | RVNL shares rise 2% on ₹213 crore South Central Railway project

 

RBL Bank dividend 

 

The Board had recommended a dividend of ₹1 per equity share of ₹10 each (i.e., 10 per cent), subject to approval by the shareholders at the upcoming Annual General Meeting (AGM).

 

About RBL Bank

 

RBL Bank is a private sector lender with a growing national footprint. The bank provides specialised financial services across five key verticals, which include Corporate Banking, Commercial Banking, Branch & Business Banking, Retail Assets, and Treasury & Financial Markets Operations.

 

It serves over 15.48 million customers through a wide network of 561 branches, 1,472 business correspondent outlets (including 296 banking outlets), and 412 ATMs across 28 states and Union Territories.