MUMBAI: IDBI Bank reported a standalone net profit of Rs 2,007.36 crore for the quarter ended June 30, 2026, up 3.3% from Rs 1,943.17 crore a year earlier, supported by lower provisions despite weaker operating profit. On a consolidated basis, net profit rose 6.9% to Rs 2,127.14 crore from Rs 1,987.44 crore a year ago.Net interest income (NII), calculated as interest earned minus interest expended, declined 0.6% to Rs 2,249.75 crore from Rs 2,262.97 crore a year ago. Interest earned increased 7.0% to Rs 7,541.44 crore from Rs 7,021.00 crore, reflecting growth in the loan book, while interest expended rose 9.7% to Rs 5,291.69 crore from Rs 4,758.03 crore, indicating higher funding costs and deposit growth. Interest expense therefore grew faster than interest income, weighing on NII.Non-interest income declined 28.2% to Rs 1,031.58 crore from Rs 1,437.02 crore. The financial statements do not provide a detailed break-up, but the decline reduced overall income growth.Deposits on the standalone balance sheet declined 6.0% sequentially to Rs 3,25,756.72 crore at June-end from Rs 3,47,162.68 crore at March-end. Advances increased 2.1% sequentially to Rs 2,58,962.52 crore from Rs 2,53,623.57 crore.Total income, comprising NII and non-interest income, fell 10.5% to Rs 3,281.33 crore from Rs 3,699.99 crore, reflecting lower treasury and other income despite a rise in interest income.Operating profit, calculated as total income minus operating expenses, declined 28.1% to Rs 1,230.98 crore from Rs 1,711.24 crore. Operating expenses increased 2.5% to Rs 2,349.93 crore from Rs 2,291.73 crore, adding pressure on profitability.Provisions and contingencies fell sharply to a write-back of Rs 179.46 crore from a charge of Rs 285.31 crore a year earlier, supporting earnings and offsetting the decline in operating profit.Asset quality remained stable. Gross NPAs declined to 2.30% of gross advances from 2.32% a year ago, while net NPAs improved to 0.16% from 0.15%. The bank’s capital adequacy ratio under Basel III stood at 35.50%, with CET-1 at 26.91%.
