City Union Bank’s second-quarter profit rises to ₹416 crore

City Union Bank’s profit rose 27% to ₹416 crore in the quarter ended September 30, 2026, compared with the same quarter a year earlier.

The Chennai-based private bank also reported that net interest income increased 31% to ₹873 crore.

Its advances, or loans, grew 26% to ₹72,442 crore, while deposits rose 21% to ₹83,893 crore.

The share of loans classed as net bad debts fell to 0.48%, from 0.90% a year earlier; gross bad debts also declined, to 1.44% from 2.42%.

These figures indicate that the bank expanded lending and earnings while reporting fewer problem loans.

Management expects deposit growth to track loan growth, but said sustaining growth above 20% in the 2028 financial year could be difficult.

It also expects its net interest margin to be between 3.85% and 3.95% in the next two quarters of the 2027 financial year.