Archive · 20 Jul 2026
IOB Q1 net profit jumps 49%
Indian Overseas Bank (IOB) made a lot more money in the first three months of this year compared to last year.
They earned ₹1,659 crore, which is almost half more than what they earned last year.
This happened because they made more money from loans and other services, and they spent less on bad loans.
Their total loans grew by 24%, and they are planning to get more deposits to keep up.
The bank is also feeling good about their loan quality, which has improved.
They don't see any big problems with their loans, even with the situation in West Asia.
The bank's stock price also went up by 4%.
IOB's net profit rose 49% year-on-year to ₹1,659 crore in Q1FY27.
Net interest income increased by 34% to ₹3,688 crore, with interest income rising 14% and interest expenditure up 5%.
Non-interest income surged 67% to ₹2,160 crore, including commission income and recoveries.
Total advances grew 24% year-on-year to ₹3.22 lakh crore, while deposits increased 14% to ₹3.76 lakh crore.
Asset quality improved with GNPAs declining to 1.33% and net NPAs falling to 0.21%.
- Who
- Indian Overseas Bank (IOB)
- What
- Reported a 49% year-on-year increase in net profit for Q1FY27
- When
- First quarter of FY27 (June 2026)
- Where
- India
- Why
- Due to higher net interest income, growth in fee income, lower bad loan provisions, and tax expenses
Optimistic View
Cautious View
Credit Growth
Optimistic View
The bank expects credit growth of 12-13% in FY27, indicating a positive outlook.
Cautious View
The credit growth is expected to be conservative, which may not be as high as some investors might hope.
Asset Quality
Optimistic View
Asset quality improved with GNPAs declining to 1.33% and net NPAs falling to 0.21%.
Cautious View
While asset quality has improved, the recovery pool is shrinking, which could be a concern in the long term.
- Net Profit
- ₹1,659 crore
- Net Interest Income (NII)
- ₹3,688 crore
- Non-Interest Income
- ₹2,160 crore
- Total Advances
- ₹3.22 lakh crore
- Total Deposits
- ₹3.76 lakh crore
- Gross Non-Performing Assets (GNPAs)
- 1.33%
- Net Non-Performing Assets (Net NPAs)
- 0.21%
- Credit Growth Expectation
- 12-13%