Punjab & Sind Bank's second-quarter profit grew by 40% to 412 crore rupees due to improved earnings

The consolidated net profit of Union Bank of India increased by 30.6% year-on-year, reaching 5,781 crore rupees in the quarter ending September 30, 2026. This figure was up from 4,425.95 crore rupees and was driven by an increase in net interest income and a sharp reduction in provisions.

Net interest income, calculated as interest earned minus interest paid, grew by 20.2% to 10,765.32 crore rupees, compared to 8,957.92 crore rupees. Meanwhile, interest income rose by 8.3% to 28,377.73 crore rupees, while interest expenses increased more slowly—by only 2.1%—to 17,612.41 crore rupees.

Sharp reduction in provisions by almost 50 percent

Operating profit before provisions and unexpected expenses rose by 19.1%, amounting to 8,150.96 crore rupees compared to 6,844.79 crore rupees. Provisions and unexpected expenses, excluding taxes, decreased by 49.6%, falling from 1,392.28 crore rupees to 702.19 crore rupees. However, provisions specifically set aside for non-performing assets increased by 15%, reaching 596.48 crore rupees.

Profit before tax increased by 36.6%, totaling 7,448.77 crore rupees. Tax expenses grew by 60.4% to 1,878.37 crore rupees. The bank's share of profit from affiliates increased by 45.6% to 210.60 crore rupees. Basic and diluted earnings per share rose to 7.57 rupees from 5.80 rupees.

Total income increased by 5.4% to 33,471.29 crore rupees, while other income decreased by 8.2% to 5,093.56 crore rupees. Total expenses, excluding provisions and unexpected expenses, rose by 1.6% to 25,320.33 crore rupees. Union Bank's operating margin improved to 24.35% from 21.55%, and net profit margin rose to 17.27% from 13.94%.

Credit growth outpaces deposit growth

Consolidated loans grew by 19.4% year-on-year to 1,136,280.44 crore rupees as of September 30, 2026, compared to 951,795.76 crore rupees. Deposits increased by 6.9%, reaching 1,322,309.68 crore rupees from 1,237,049.70 crore rupees. The consolidated capital adequacy ratio improved by 91 basis points, standing at 18.61% compared to 17.70%. The Tier 1 capital ratio increased by 171 basis points to 16.72%. Net capital grew by 14.6% to 134,105.53 crore rupees from 117,044.78 crore rupees.

Corporate banking results nearly doubled

Income from corporate and wholesale banking services increased by 11.3%, reaching 12,451.29 crore rupees. The result of this segment grew by 98.2%, amounting to 2,849.34 crore rupees. Retail banking income rose by 9.7% to 12,532.78 crore rupees, and the segment's result increased by 56.2% to 2,514.73 crore rupees. Income from the trading division decreased by 9.7% to 6,886.53 crore rupees, and the segment's result fell by 20.4% to 1,299.55 crore rupees.

For the first half of the fiscal year 27, consolidated net profit increased by 29%, reaching 11,422.52 crore rupees compared to 8,853.90 crore rupees.

The State Bank of India reported on Saturday a rise in net profit of 21.1% year-on-year (Y-o-Y) to 1469 crore rupees in the second quarter of the financial year 27. This figure is higher than 1213 crore rupees the previous year, and the growth was driven by a strong increase in Net Interest Income (NII), despite higher reserves and lower treasury income.

In terms of sequential growth, net profit increased by 10.95% compared to 1324 crore rupees in the previous quarter. For the first half of the financial year 27, the bank recorded a net profit growth of 17.25%, reaching 2793 crore rupees compared to 2382 crore rupees the previous year.

The bank's Net Interest Income (NII) grew by 26.3% year-on-year, amounting to 4146 crore rupees compared to 3283 crore rupees in the same quarter last year. Sequentially, NII increased by 5.9% compared to 3914 crore rupees in the first quarter of financial year 27.

Interest income increased by 18.45% year-on-year, reaching 10357 crore rupees, supported by a 27.6% growth in interest income on issued loans to 7231 crore rupees. Meanwhile, interest expenses rose by 13.7% to 6211 crore rupees.

Net Interest Margin (NIM) improved to 3.01% from 2.89% the previous year. Deposit costs decreased by 28 basis points (bps) to 4.60%, which offset a 49 bps drop in loan yield to 7.87%.

Operating profit increased by 26.99% year-on-year, reaching 2268 crore rupees compared to 1786 crore rupees, as higher NII compensated for a decline in non-interest income. Sequentially, operating profit grew by 3.75% from 2186 crore rupees.

Non-interest income fell by 6.06% year-on-year to 1380 crore rupees, with treasury income dropping by 31.2% to 128 crore rupees from 186 crore rupees the previous year. Profit from investment sales decreased by 30% to 133 crore rupees, while the bank recorded a loss of 87 crore rupees on investment revaluation, compared to a loss of 51 crore rupees the previous year.

Provisions for written-off accounts and other receipts decreased by 8.2% to 617 crore rupees, while fee-based income rose by 3.9% to 635 crore rupees.

Reserves and contingencies, including income tax, increased by 39.4% year-on-year, reaching 799 crore rupees compared to 573 crore rupees the previous year. However, they decreased sequentially by 7.3% from 862 crore rupees.

Non-Performing Assets (NPA) reserves rose to 490 crore rupees from 143 crore rupees the previous year, and standard asset reserves increased to 379 crore rupees from 30 crore rupees. This was partially offset by the recovery of 336 crore rupees on investments, including promissory notes. The tax reserve decreased to 236 crore rupees from 259 crore rupees.

Operating expenses increased by 9.8% year-on-year, reaching 3258 crore rupees, with personnel costs rising by 9.5% to 2072 crore rupees, and other operating expenses increasing by 10.5% to 1186 crore rupees. The cost-to-income ratio improved to 58.95% from 62.42% the previous year.

Regarding asset quality, the bank's gross NPA ratio improved to 2.39% as of September, compared to 2.60% in June and 3.01% the previous year. The net NPA ratio decreased to 0.31% from 0.49% in the previous quarter and 0.48% the previous year. Absolutely, gross NPAs amounted to 9109 crore rupees as of September 30, compared to 8827 crore rupees the previous year and 9225 crore rupees in June. Net NPAs decreased to 1146 crore rupees from 1364 crore rupees in the corresponding period last year.

The provisioning coverage ratio improved to 97.16% from 95.86% in June and 96.88% the previous year. New write-offs decreased to 734 crore rupees during the quarter compared to 939 crore rupees in the first quarter of financial year 27. The write-off ratio was 0.24% on an annual basis, which is 6 bps lower year-on-year. Nevertheless, the annual loan cost increased by 32 bps year-on-year to 0.53%.

In the business segment, global loans grew by 29.83% year-on-year to 3.81 trillion rupees, while global deposits increased by 14.41% to 5.09 trillion rupees. Total global business grew by 20.54% to 8.90 trillion rupees.

Corporate loans increased by 42.05% to 1.19 trillion rupees, and retail, agriculture, and MSME loans grew by 21.11% to 2.54 trillion rupees. Retail loans grew by 24.49%, with housing loans increasing by 13.07% and auto loans by 13.09%.

The Current Account Savings Account (CASA) ratio decreased by 218 bps to 44.65%, while the lending to deposit ratio increased to 75.02% from 66.20% the previous year.

The bank's capital adequacy ratio stood at 17.68% as of the end of September, compared to 17.34% the previous year and 18.28% in June. The Tier 1 capital ratio improved to 15.97% from 14.98% the previous year.

The major Fast-Moving Consumer Goods (FMCG) producer, Nestle India, presented its second-quarter results, noting a 36.32 percent growth in consolidated net profit to INR 1,026.77 crore for the September quarter of fiscal year 27. This figure was compared to INR 743.17 crore in the same period last year.

The company's revenue from product sales in July-September 2027 fiscal year increased by 20.45 percent, reaching INR 6,782.17 crore, compared to INR 5,630.23 crore the previous year.

Manish Tiwari, Chairman and Managing Director, stated that the quarter was marked by continued strong and broad growth across all product categories. Total sales volume reached INR 6,782.2 crore, demonstrating a 20.5 percent growth, driven by confident double-digit volume increases.

The company continued to focus on operational efficiency while significantly increasing investments in its brands, boosting advertising and marketing expenses by 46 percent. Tiwari also noted that the EBITDA margin remained healthy at 23.8 percent.

Nestle India's total expenses in the reporting quarter rose by 17 percent to INR 5,405.55 crore. The company's domestic sales grew by 20.4 percent, reaching INR 6,514.74 crore in the September quarter of fiscal year 2027, up from INR 5,411.02 crore in the corresponding period of the previous fiscal year.

Furthermore, Nestle India's export revenue increased by 22 percent, amounting to INR 267.43 crore. Total income in the second quarter of fiscal year 2027 reached INR 6,808.6 crore, which is 20.52 percent higher than INR 5,649.150 crore the previous year. At mid-day trading, Nestle India shares were trading at INR 1,332.70 on the BSE, down by 3.7 percent.