New Delhi: Punjab National Bank (PNB) reported a strong financial performance for the fourth quarter of FY26, posting a standalone net profit of ₹2,157 crore, a sharp turnaround from a loss of ₹1,743 crore in the same quarter last year. The bank also announced a dividend of ₹3 per share for FY26, reflecting improved profitability and balance sheet strength.
Strong Q4 FY26 Financial Performance
PNB’s earnings saw a significant boost in the January–March quarter, supported by better operating performance and reduced stress on asset quality.
Key Highlights (Q4 FY26 – Standalone):
- Net Profit: ₹2,157 crore (vs loss of ₹1,743 crore in Q4 FY25)
- Total Income: ₹36,380 crore (up 1.5% YoY)
- Interest Earned: ₹32,157 crore
- Operating Profit: ₹6,998 crore (up 21% YoY)
- Profit Before Tax: ₹2,606 crore (vs loss last year)
- Earnings Per Share (EPS): ₹6.79
The bank also reported a sharp decline in provisions to ₹424 crore in Q4, compared to ₹1,150 crore in the previous quarter, aiding profitability.
Full-Year FY26 Performance Shows Strong Growth
For the full financial year FY26, PNB delivered robust growth across key metrics:
- Net Profit (PAT): ₹5,102 crore (up 144% YoY)
- Total Income: ₹1,41,390 crore (up 9%)
- Operating Profit: ₹23,767 crore (up 12%)
- EPS: ₹16.06 (vs ₹6.58 in FY25)
Dividend Announcement for Shareholders
The bank’s board has recommended a dividend of ₹3 per equity share (150%) for FY26, subject to shareholder approval at the upcoming Annual General Meeting.
- Face Value: ₹2 per share
- AGM Date: June 20, 2026
Asset Quality Improves Significantly
PNB reported notable improvement in its asset quality, indicating better risk management and recovery efforts.
- Gross NPA (GNPA): 3.19% (down from 3.95% YoY)
- Net NPA (NNPA): 0.32% (down from 0.70% YoY)
- Provision Coverage Ratio: 97.14%
On a sequential basis:
- GNPA improved further to 2.95% in Q4
- NNPA reduced to 0.29% QoQ
Strong Capital Position and Balance Sheet Growth
The bank maintained a solid capital base and healthy balance sheet expansion:
- Capital Adequacy Ratio (CRAR): 16.77%
- CET-1 Ratio: 12.52%
- Net Worth: ₹70,008 crore
Balance Sheet Highlights:
- Total Assets: ₹20.33 lakh crore
- Deposits: ₹17.16 lakh crore
- Advances: ₹12.35 lakh crore
- Investments: ₹5.23 lakh crore
Key Business Developments
Tax Regime Shift
PNB opted for a lower tax regime under Section 115BAA, resulting in a one-time charge of ₹3,324 crore due to deferred tax adjustment.
Bond Redemption
The bank exercised call options and redeemed:
- AT1 Bonds worth ₹495 crore
- Tier II Bonds worth ₹4,994 crore
RRB Amalgamation
Under the “One State-One RRB” policy, PNB invested in newly formed regional rural banks, including Bihar and West Bengal Gramin Banks.
Digital Expansion
PNB now operates 8 Digital Banking Units (DBUs), strengthening its digital banking footprint.
Subsidiaries and Strategic Presence
PNB operates through multiple subsidiaries and associates across banking, insurance, housing finance, and international markets, including:
- PNB Housing Finance Limited
- PNB MetLife India Insurance Company
- International operations in the UK, Bhutan, and Nepal
Annual General Meeting Details
The bank will hold its 25th AGM on June 20, 2026, via video conferencing, where the dividend proposal will be considered.
About Punjab National Bank
Punjab National Bank is one of India’s oldest and largest public sector banks, with a wide domestic and international presence. Established in 1894, the bank plays a key role in retail, corporate, and MSME lending, while also driving financial inclusion through rural banking initiatives. With improving asset quality, strong capital ratios, and growing digital infrastructure, PNB continues to strengthen its position in India’s banking sector.
