The Gross NPA % for FY26 was reduced to 1.91 per cent from 3.09 per cent in the last financial year. Net NPA % decreased to 0.68 per cent in the current quarter from 1.25 per cent in FY25.
Private sector lender City Union Bank on Monday reported net profit of ₹360 crore for the quarter ended March 2026 (Q4FY26), a 25 per cent growth compared to ₹288 crore in Q4FY25. Net interest income came in at ₹786 crore, a 31 per cent jump YoY. This is the highest net profit achieved by CUB in a single quarter, the bank said.
Net profit for the fiscal year 2026 (FY26) was ₹1326 crore, an 18 per cent jump compared to ₹1124 crore in FY25. At ₹2,830 crore, net interest income registered a 22 per cent jump.
The profitability was driven by robust increases in core business -both deposits and advances. Total deposits of the bank increased by 23 per cent YoY to ₹78,308 Cr. Cost of deposits decreased to 5.70 per cent in FY26 from 5.85 per cent in FY25.
At ₹66,699 cr, advances grew 26 per cent YoY. The yield on advances for Q4FY 26 marginally improved to 9.80 per cent compared to 9.73 per cent in Q3 FY26.
The Gross NPA % for FY26 was reduced to 1.91 per cent from 3.09 per cent in the last financial year. Net NPA % decreased to 0.68 per cent in the current quarter from 1.25 per cent in FY25. Both GNPA and NNPA has shown sequential decrease for the past eight quarters.
Net Interest Margin
Net Interest Margin at 3.74 per cent for FY26 was broadly in line with CUB’s guidance levels given earlier.
The bank recommended a dividend of ₹2 per equity share of face value of ₹1 each (200 per cent) for FY26, the payment of which will be subject to approval by the shareholders at the ensuing Annual General Meeting.
The Board also approved the issue of bonus shares in the ratio of 1 : 3 i.e. 1 equity share for every 3 fully paid up equity shares held as on record date, which will be subject to approval by the shareholders.
The Kumbakonam-headquartered bank has opened 13 new Branches on Monday at the following locations and as on date the bank has touched a network of 1000 branches in total.
Published on April 27, 2026
