Indian Bank Q1FY27 profit up 10% at ₹3,273 crore
2 min read
Net Interest Income rose 16.9% YoY to ₹7,435 crore in the quarter ended June 2026
Public sector lender Indian Bank announced on Friday that its net profit climbed 10% to ₹3,273 crore in Q1 FY2027, driven by business growth. The Chennai-based bank also reported an improvement in asset quality.
The bank’s total income for the quarter reached ₹20,724 crore, up from ₹18,721 crore in the same period last fiscal year. Net interest income grew 16.9% YoY to ₹7,435 crore for the quarter ended June 2026. Domestic net interest margin (NIM) rose to 3.41% in June 2026 from 3.35% a year earlier.
Overall business expanded by 13.7%, indicating broad momentum across its operations.
Total RAM (Retail, Agriculture & MSME) advances increased 14.8% YoY to ₹4,16,992 crore, propelled by 18.7% growth in retail loans and 17% growth in MSME loans. Deposits rose 13.5% YoY to ₹8,44,578 crore as of June 2026, with CASA up 15.3% YoY.
We have surpassed our internal guidance on all fronts, said Binod Kumar, MD & CEO of Indian Bank, speaking to reporters. He highlighted CASA growth and RAM advances as the main profit drivers.
CASA growth, in particular, stems from several initiatives the bank has rolled out recently, including launching a next‑generation call centre. He noted that about 1.7 million dormant accounts were activated this quarter, adding roughly ₹1,469 crore in balances.
Power, infrastructure and data‑center sectors are supporting the rise in corporate credit for Indian Bank, which recorded growth in Q1 FY27. Retail lending was led by home and auto loans, while the agriculture segment slowed as jewel‑loan demand tapered.
Asset quality improved, with gross non‑performing assets (NPAs) falling to 1.86% of gross advances at June‑quarter end, down from 3% a year earlier. Net NPAs, or bad loans, declined to 0.15% from 0.18% in the comparable period.
The bank said that around ₹67,327 crore of business was generated via digital channels during Q1 FY27. Mobile banking users grew 22% YoY, reaching 2.48 crore.
Published on July 10, 2026
