Central Bank of India's Q2 profit rises 21% as lending income climbs 26%

what happened

According to CNBC-TV18, the lender's standalone net profit for the July-September quarter of FY2026-27 climbed 21% year on year to ₹1,469 crore. Lending income did most of the work: net interest income jumped 26.3% to ₹4,145 crore from ₹3,283 crore a year earlier.

Asset quality got better compared with the previous quarter. Gross NPAs dropped to 1.61% as of September 30, 2026, down from 1.86% in June and 2.60% a year before, while the net ratio slipped to 0.14%. Provisions, however, climbed to ₹562.7 crore.

Other income reached ₹3,952.8 crore, helped by ₹1,386.67 crore linked to the NSE listing, made up of a ₹252.5 crore realised gain from the offer for sale and a ₹1,134.17 crore revaluation gain. Standalone profit for the first half totalled ₹6,735.3 crore, versus ₹5,991 crore a year earlier. The board also signed off on raising up to ₹5,000 crore via long-term infrastructure debt and up to ₹2,000 crore via Basel III-compliant AT1 and Tier 2 instruments, issued in several batches depending on funding needs over the current or next fiscal years.

why it matters

A large part of the profit jump came from a one-time revaluation tied to the NSE stake, so investors are likely to focus on core lending income and provision trends. Rising provisions and the stock's roughly 18% decline so far in 2026 offset some of the upbeat numbers. Shares closed 0.7% higher at ₹30.99 on Friday.

market impact

Indian bank stocks: stronger core income and lower bad loans support sentiment toward Central Bank of India shares

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