https://indianmasterminds.com

ADVERTISEMENT
ADVERTISEMENT

Public Sector Banks Post Record Rs44,218 Crore Profit in Q1 FY26, Driven by SBI’s Strong Show- Check Details

India’s public sector banks post record ₹44,218 crore profit in Q1 FY26, led by SBI. Mid-tier banks shine; PNB sees decline. Full breakdown inside.
Indian Masterminds Stories

New Delhi: India’s 12 public sector banks (PSBs) have kicked off the financial year 2025–26 on a strong note, reporting a combined net profit of ₹44,218 crore in the April–June quarter — the highest ever quarterly earnings for the group. This marks an 11% increase over the same period last year.

SBI Leads the Pack

The lion’s share of the profit came from State Bank of India (SBI), which alone accounted for ₹19,160 crore, nearly 43% of the total. This is a 12% jump from SBI’s profit in Q1 of the previous fiscal year.

SBI’s performance reinforces its position as the market leader among PSBs, with strong growth in both retail and corporate lending segments.

read also: Executive Leadership in PSBs: FSIB Recommends 11 Candidates for Executive Director Posts in Public Sector Banks

Strong Growth in Mid-Tier Banks

Several mid-sized public sector banks also reported impressive profit growth:

  • Indian Overseas Bank (IOB) stood out with a 76% year-on-year surge in net profit to ₹1,111 crore — the highest percentage gain among PSBs.
  • Punjab & Sind Bank saw a 48% rise, reaching ₹269 crore.
  • Central Bank of India recorded a 32.8% increase to ₹1,169 crore.
  • Indian Bank posted a solid 23.7% growth, reporting ₹2,973 crore.
  • Bank of Maharashtra improved profits by 23.2% to ₹1,593 crore.

These gains reflect ongoing improvements in asset quality, operational efficiency, and credit growth across smaller PSBs.

One Bank Bucks the Trend

Not all banks had a positive quarter. Punjab National Bank (PNB) reported a sharp 48% decline in net profit, down to ₹1,675 crore from ₹3,252 crore in the same quarter last year. This drop stands in contrast to the overall upward trend in the sector and may raise concerns about asset quality or provisioning pressures at PNB.

Breakdown at a Glance:

  • Total PSB profit (Q1 FY26): ₹44,218 crore
  • Growth over last year: +₹4,244 crore
  • Top contributor: SBI (₹19,160 crore)
  • Fastest growth (%): Indian Overseas Bank (+76%)
  • Only decline: PNB (-48%)

read also: From Cloud to Credit: EASE 7.0 Reforms Reinforce Public Sector Banks as Pillars of Viksit Bharat Vision

Sector Outlook

The strong performance by most public sector banks in the first quarter highlights a robust start to the fiscal year, backed by improved credit demand, cleaner balance sheets, and better cost controls. While challenges such as competition and interest rate volatility remain, the sector’s fundamentals appear solid.


Indian Masterminds Stories
ADVERTISEMENT
ADVERTISEMENT
Related Stories
ADVERTISEMENT
ADVERTISEMENT
NEWS
Rail News
Northern Railways Achieves Historic Feat: Simultaneous Unloading of Two Goods Rakes in Jammu & Kashmir
bureaucracy news
Govt Appoints IAS Preeti Maithil as Deputy GM of TRIFED; IRS Officer Mashhood Ur Rehman Farooqui Named Director at NHA
IAS Officers Indian Administrative Services IAS logo
29 IAS Officers Transferred in Major AP Bureaucratic Reshuffle; Pattanshetti Ravi Subash Appointed APPSC Secretary
PM Modi Global Fintech Fest
PM Narendra Modi Invites Global Investors to Join India’s Rapid Economic Growth at Global Fintech Fest 2025
PM Modi Global Fintech Fest 2025
Prime Minister Narendra Modi Highlights India’s Digital Inclusion and Ethical AI Leadership at Global Fintech Fest 2025
Yogi Adityanath sports
Jhansi Sports Festival 2025: CM Yogi Applauds Rising Talent, Boosts Sports Ecosystem
CM Dhami 5 Crore Infra
Big Leap for Uttarakhand: CM Dhami Approves Road, SDRF Upgrade, Office in Pithoragarh and Hydropower Projects
Karnataka
Karnataka Appoints Retired IAS G V Krishna Rao as Recovery Commissioner to Seize Illegal Mining Assets Under 2025 Law
ADVERTISEMENT
ADVERTISEMENT
Videos
IDES Saquib Alam
UPSC Strategy & Mindset Tips from IDES Officer Saquib Alam | Video Interview 
Dr G K Goswami IPS
Everything you ever wanted to know about e-murder, e-dacoity and data safety
IFS Ravikant Meena UPSC IFS
Ravikant Meena on IFS Preparation, Optionals, and Life in Forest Service
ADVERTISEMENT
UPSC Stories
IAS Officer C
"She Believed She Could, So She Did" - The Inspiring Journey of IAS Officer C. Vanmathi
From herding buffaloes and facing early marriage pressure to becoming an IAS officer, C. Vanmathi’s journey...
Jitendra Baghel MPPSC
7 Years, 4 Interviews, Now Dy.SP: How Jitendra Baghel Cracked MPPSC Through Relentless Struggle
Jitendra Baghel’s inspiring journey from a humble farming background to MPPSC Dy.SP showcases relentless...
IDES Saquib Alam
UPSC Strategy & Mindset Tips from IDES Officer Saquib Alam | Video Interview 
Discover how IDES officer Saquib Alam left his corporate job at Mahindra, overcame six UPSC attempts,...
Social Media
Ashwini Bhide IAS and Anand Mahindra
Who Is IAS Ashwini Bhide, Hailed as a Role Model for Mumbai Metro Transformation by Anand Mahindra?
From heritage to high-tech: Bhide’s leadership in Metro Line 3 earns public praise and admiration
World Rhino Day India
On World Rhino Day, IFS Officer Parveen Kaswan Shares Rare Insights - India Now Hosts 80% of the World’s One-Horned Rhinos
September 22 Marks Global Call for Rhino Conservation; India Holds 80% of World’s Greater One-Horned...
Parag Madhukar Dhakate
Relentless Rains Wreak Havoc in Dehradun: IFS officer PM Dhakate Warns Citizens Amid Flash Floods
Cloudbursts in Dehradun triggered flash floods. IFS officer Dr. PM Dhakate warned citizens to stay indoors...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
Rail News
Northern Railways Achieves Historic Feat: Simultaneous Unloading of Two Goods Rakes in Jammu & Kashmir
bureaucracy news
Govt Appoints IAS Preeti Maithil as Deputy GM of TRIFED; IRS Officer Mashhood Ur Rehman Farooqui Named Director at NHA
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
IDES Saquib Alam
Dr G K Goswami IPS
IFS Ravikant Meena UPSC IFS
ADVERTISEMENT
ADVERTISEMENT