Chennai, July 20, 2025 — Indian Overseas Bank (IOB) has announced its highest-ever quarterly net profit of ₹1,111 crore for Q1FY26, registering a remarkable 75.57% year-on-year (YoY) growth. The public sector lender continues to show strong operational and asset quality performance, driven by growing business volumes and digital initiatives.
🔍 Key Financial Highlights (YoY Comparison):
Net Profit: ₹1,111 Cr (↑ 75.57%)
Operating Profit: ₹2,358 Cr (↑ 40.70%)
Net Interest Income (NII): ₹2,746 Cr (↑ 12.50%)
Net Interest Margin (NIM): 3.04%
Cost-to-Income Ratio: Improved to 44.22% (↓ 754 bps)
Return on Assets (RoA): 1.14% (↑ 44 bps)
Return on Equity (RoE): 19.00% (↑ 490 bps)
💰 Business Performance:
Total Business: ₹5.93 lakh crore (↑ 12.19%)
Total Deposits: ₹3.31 lakh crore (↑ 10.75%)
Gross Advances: ₹2.62 lakh crore (↑ 14.05%)
CASA Deposits: ₹1.44 lakh crore (↑ 15.00%)
CASA Ratio: 43.78%
Credit-to-Deposit (CD) Ratio: 79.33%
📉 Asset Quality Improvement:
Gross NPA: 1.97% (↓ 92 bps YoY)
Net NPA: 0.32% (↓ 19 bps YoY)
Provision Coverage Ratio (PCR): 97.47%
Slippage Ratio: 0.10%
Credit Cost: 0.29%
Total Recovery: ₹851 Cr (↑ 46.13%)
🏦 Capital Strength:
CRAR (Basel III): 18.28%
CET1: 15.78%
Tier-II: 2.50%
🏆 Awards & Initiatives:
Ranked No.1 among PSBs in June 2025 for customer service (CPGRAM)
Launched digital innovations including WhatsApp Banking, Re-KYC through BCs, QR feedback systems, and AI PIN generation.
EASE 7.0 Special Initiative Citation awardee
Hosted FPO Conclave on organic farming with support from AMUL and RICHPLUS
Signed MoU with IIBF for customized MSME courses
🌐 Expanding Reach:
Domestic Branches: 3,345 (↑ 95 YoY)
Business Correspondents (BCs): 10,872 (↑ 3,794 YoY)
Total Customer Touchpoints: 17,678
Rural & Semi-Urban Branch Share: 58%
📌 Summary:
IOB’s stellar Q1FY26 results reflect strong profitability, expanding market presence, and disciplined asset management. With enhanced customer service, digital initiatives, and robust credit performance, the bank continues its steady march toward long-term growth.
