Asset quality remained resilient during the quarter. Gross non-performing assets (GNPA) improved marginally to 0.74% from 0.75% in the preceding quarter, while net NPA (NNPA) remained unchanged at 0.19%, underlining the lender’s continued focus on maintaining a healthy loan book.
Despite the better-than-year-ago performance, investors remained cautious. Following the earnings announcement, shares of Karur Vysya Bank Ltd. fell as much as 4% to an intraday low of ₹296.14 on the NSE.The earnings build on the strong business momentum reported by the lender earlier this month. According to its provisional business update, total business rose 15.94% year-on-year to ₹2.27 lakh crore as of June 30, 2026, while gross advances increased 17.12% to ₹1.05 lakh crore, driven by continued credit demand. Total deposits grew 14.94% year-on-year to ₹1.23 lakh crore, reflecting a healthy liability franchise.
The bank also reported steady improvement in its low-cost deposit base. CASA deposits rose 15.26% year-on-year to ₹33,777 crore, with the growth continuing on a sequential basis as well.
The sustained expansion in advances, deposits and CASA, coupled with stable asset quality, highlights Karur Vysya Bank’s consistent operating performance as it continues to strengthen its balance sheet and grow its core banking business.
