Karur Vysya Bank Reports 45 Percent Rise in Q1 Net Profit to Rs 756 Crore

Private sector lender Karur Vysya Bank (KVB) announced on Monday in Chennai that its net profit increased by 45 percent to Rs 756 crore for the first quarter ended June 30, 2026. This is up from the Rs 521 crore net profit recorded during the corresponding quarter of the previous financial year.

During the quarter, the bank's total advances crossed the Rs 1 trillion milestone. Advances stood at Rs 1,04,680 crore, representing a 17 percent year-on-year growth.

Deposits also saw a steady growth of 15 percent, reaching Rs 1,22,587 crore in the first quarter of FY27, compared to Rs 1,06,650 crore during the same quarter last year. The total business of the bank reached Rs 2,27,267 crore as of June 30, 2026.

Financially, the bank's net interest income grew by 31.8 percent to Rs 1,423 crore, up from Rs 1,080 crore in the year-ago period. The net interest margin improved to 4.34 percent from 3.86 percent in the first quarter of FY26.

In terms of asset quality, gross non-performing assets (GNPA) increased by 8 basis points to 0.74 percent of gross advances (Rs 772 crore) as of June 30, 2026, compared to 0.66 percent (Rs 593 crore) in the previous year's first quarter. Net non-performing assets (NNPA) remained flat at 0.19 percent of net advances, amounting to Rs 196 crore.

The bank's current account savings account (CASA) ratio remained nearly flat at 27.55 percent for the quarter ended June 30, 2026.

Commenting on the financial results, KVB Managing Director and Chief Executive Officer Ramesh Babu B stated that the bank's performance indicators aligned with their previously issued guidance. He noted that sustained and inclusive results across growth, profitability, and asset quality demonstrate the ongoing strength of the bank's performance since the beginning of the year.