Indian Overseas Bank (IOB), a government-owned bank, has reported a strong performance for the April to June 2025 quarter (Q1 of FY26).
The bank’s net profit increased by 76% compared to the same period last year, reaching ₹1,111 crore, up from ₹633 crore in Q1 of FY25. This growth was mainly due to higher income and better asset quality.
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Key Highlights:
- Total income rose to ₹8,866 crore, compared to ₹7,568 crore last year.
- Interest income increased to ₹7,386 crore, up from ₹6,535 crore.
- Operating profit stood at ₹2,358 crore, up from ₹1,676 crore a year ago.
Improved Asset Quality:
The bank showed a strong improvement in asset quality, meaning fewer bad loans:
- Gross NPAs (bad loans) reduced to 1.97% from 2.89% last year.
- Net NPAs dropped to 0.32% from 0.51%.
Strong Financial Position:
IOB’s capital adequacy ratio, which shows the bank’s financial strength, improved to 18.28%, compared to 17.82% last year.
Indian Overseas Bank has had an excellent first quarter with higher profits, more income, fewer bad loans, and a stronger balance sheet.
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