What was RBL Bank's net profit in Q3FY26?

RBL Bank reported a net profit of Rs 214 crore in Q3FY26, a 555% increase from the previous year.

How did RBL Bank's asset quality perform in Q3FY26?

The bank's asset quality improved, with its gross NPA ratio declining to 1.88% as of December 31, 2025.

What are analyst expectations for RBL Bank?

Analysts maintain positive ratings, expecting strong business growth and improving asset quality for RBL Bank.

Home / Business and Economy / RBL Bank Profit Soars 555% on Strong Other Income

RBL Bank Profit Soars 555% on Strong Other Income

19 Jan

•

Summary

RBL Bank's Q3FY26 net profit surged 555% to Rs 214 crore.
Asset quality improved with gross NPA falling to 1.88% by December 31, 2025.
Analysts maintain Buy ratings, anticipating robust business growth ahead.

RBL Bank Profit Soars 555% on Strong Other Income

RBL Bank has announced a substantial 555% year-on-year surge in its net profit for the third quarter of FY26, reaching Rs 214 crore. This significant increase, compared to Rs 33 crore in the same period last year, was largely driven by strong performance in other income, despite a rise in provisions. The bank’s net interest margin stood at 4.63% for the quarter.

Furthermore, RBL Bank demonstrated improved asset quality. As of December 31, 2025, its gross Non-Performing Asset (NPA) ratio decreased to 1.88% from 2.32% at the end of September 2025. The net NPA ratio also saw a marginal reduction, settling at 0.55%. The provision coverage ratio remained healthy at 93.2%.

Analysts largely maintain a positive outlook, with Motilal Oswal reiterating a 'Buy' rating and a target price of Rs 370. They cite expected healthy business expansion, with wholesale and retail advances projected to grow significantly. Elara Capital also retained an 'Accumulate' rating, acknowledging early signs of stability despite mixed asset quality outcomes, particularly from the credit card portfolio.