IDBI Bank Q3 Profit Flat at ₹1,935 Crore Amid Slower Income
IDBI Bank Q3 Profit Flat at ₹1,935 Crore Amid Slower Income
IDBI Bank posts near-flat Q3 profit of ₹1,935 crore as income dips; NPAs improve and capital adequacy rises, with LIC and government stake in play.
IDBI Bank on Saturday reported a near-flat net profit of ₹1,935 crore for the quarter ended December 2025, up slightly from ₹1,908 crore a year earlier. The quarterly numbers come as the bank’s total income declined to ₹8,282 crore from ₹8,565 crore in the same period last year, with interest income easing to ₹7,074 crore from ₹7,816 crore. The bank’s efforts to manage asset quality appear to be paying off, as the gross non-performing asset (NPA) ratio improved to 2.57% as of December 31, 2025, from 3.57% a year ago, while the net NPA remained subdued at 0.18% at the end of December 2025. On the capitalization front, the bank’s capital adequacy ratio rose to 24.63% by end-December 2025 from 21.98% a year earlier, indicating a stronger buffer for risk-weighted assets. Return on assets (ROA) moderated to 1.83% in Q3 FY26, down from 1.99% in the year-ago period, reflecting the softer income trajectory even as credit quality improved. The government, which holds more than 45% stake in IDBI Bank, is exploring options for selling its stake, with the process already underway. Separately, LIC, which owns about 49.24% of the bank, has signaled interest in keeping a strategic stake to leverage the bancassurance channel that the partnership enables. These moves highlight ongoing reshaping in the state-backed lender’s ownership and business model as it seeks to balance stability with growth.
