RBL Bank profit jumps 170% as income expands and bad loans ease

what happened

CNBC TV18 reported that RBL Bank’s net profit for the second quarter of FY27 rose to ₹481.7 crore from ₹179 crore a year earlier. Net interest income for the September quarter was ₹2,131 crore, up 37.4% year on year from ₹1,551 crore.

Asset-quality indicators also improved. Gross NPAs represented 1.02% of assets, compared with 1.3% in the preceding quarter, while net NPAs came in at 0.29% versus 0.37%. Provisions, however, climbed to ₹766.5 crore, against ₹599.2 crore in the previous quarter and ₹499.7 crore in the year-earlier period.

Net advances expanded 42% from a year earlier to ₹1,42,314 crore. Retail lending increased 32% to ₹79,465 crore, and wholesale advances rose 56% to ₹62,849 crore. Within retail, secured advances grew 52%, while unsecured lending rose 6%. Deposits advanced 34% to ₹1,56,272 crore, with the CASA ratio at 27.2%. Deposits below ₹3 crore grew 16% to ₹68,877 crore and represented 44% of the total.

The bank’s total capital adequacy ratio was 30.1% on September 30, down from 33.3% at the end of June. CET1 stood at 29%, compared with 32.2% in the prior quarter, while average Q2 FY27 LCR was 148%. R SUBRAMANIAKUMAR, RBL Bank’s MD and CEO, said the institution had reinforced its funding mix through substantial FCNR deposit mobilisation. The network comprised 1,954 touchpoints: 628 branches and 1,326 business correspondent branches, including 248 banking outlets; RBL Finserve had 1,076 business correspondent branches. Shares closed at ₹417.70 on the NSE, down 0.07% before the earnings announcement.

why it matters

The results pair faster loan and income growth with better asset-quality ratios. Higher provisions and lower capital ratios provide additional indicators for markets assessing the bank’s quarterly performance.

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