Central Bank of India’s first quarter net profit increased

Business Business: State-owned Central Bank of India on Saturday reported a 33 per cent rise in net profit to Rs 1,169 crore in the first quarter of the current fiscal, made possible by improvement in core income and reduction in bad loans.
The Mumbai-based bank had posted a net profit of Rs 880 crore in the corresponding quarter of the previous fiscal. Total income rose to Rs 10,374 crore during the June quarter of 2025-26 from Rs 9,500 crore in the corresponding quarter of FY 2025, Central Bank of India said in a regulatory filing. Interest earned by the bank rose to Rs 8,589 crore as against Rs 8,335 crore in the June quarter of FY 2025. During the period under review, the operating profit of the bank rose to Rs 2,304 crore as against Rs 1,933 crore in the same quarter a year ago.

The bank’s asset quality improved as gross non-performing assets (NPAs) declined to 3.13 per cent of gross advances at the end of June quarter from 4.54 per cent in the same quarter a year ago. Gross advances grew by 9.97 per cent to Rs 2,75,595 crore from Rs 2,50,615 crore at the end of June 2024. Similarly, net NPAs, or bad loans, declined to 0.49 per cent from 0.73 per cent in the same period a year ago. As a result, provisions and contingencies halved to Rs 521 crore during the first quarter from Rs 1,191 crore in the same period a year ago. Provision coverage ratio (PCR) improved by 85 basis points to 97.02 per cent from 96.17 per cent. Also, the return on assets (RoA) for June 2025 improved to 1.02 per cent from 0.82 per cent in June 2024, showing an improvement of 20 basis points. The capital adequacy ratio of the bank improved to 17.6 per cent from 15.6 per cent in the corresponding quarter of FY25. Total business grew by 10.84 per cent to Rs 7,04,485 crore from Rs 6,35,564 crore at the end of June 2024.