City Union Bank Reports ₹329 Crore Net Profit in Q2 FY26; NII Up 14.4%

City Union Bank announced its financial results for the quarter ended September 30, 2025. It reported profit growth supported by higher interest income and improved asset quality.

Key Financial Highlights

• Net Profit: ₹329 crore, up 15.1% YoY from ₹285 crore
• Net Interest Income (NII): ₹666.5 crore, up 14.4% YoY from ₹582.5 crore
• Asset Quality:
  • Gross NPA:42%, improved from 2.99% in the previous quarter
  • Net NPA:9%, down from 1.2%

The improvement in asset quality reflects effective credit risk management and a stable lending environment.

Operational Performance

The bank’s loan book and deposits recorded steady growth, driven by healthy demand from retail and small business segments. A stable credit environment supported expansion across core banking operations.

Strategic Focus

City Union Bank continues to strengthen its balance sheet through prudent lending practices and digital initiatives aimed at enhancing customer experience. The focus remains on maintaining profitability while improving operational efficiency.

Read More: New Banking Rules by RBI to Take Effect from November 1.

Conclusion

City Union Bank delivered robust Q2 FY26 results with double-digit growth in net profit and NII, alongside improved asset quality. The bank’s strong fundamentals and strategic initiatives position it for sustained growth in India’s private banking sector.

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