RBL Bank has reported a 20% year-on-year decline in its net profit for the quarter ended September 2025, with a net profit of ₹178.5 crore, missing the estimated ₹209 crore. This decline is despite a 4% increase in the bank’s net interest income (NII) to ₹1,550.7 crore, which marginally exceeded expectations. The bank’s core banking operations are still generating more income than before, but its profitability has taken a hit over the past year.
The bank’s asset quality has improved sequentially, with the gross non-performing assets (GNPA) ratio falling to 2.32% from 2.78% in the previous quarter. The net NPAs, however, rose marginally to 0.57% from 0.45%. In absolute terms, the gross NPAs declined to ₹2,377.6 crore from ₹2,685.9 crore, while the net NPAs increased to ₹572.4 crore from ₹428.8 crore.
The provisions for the quarter stood at ₹499.7 crore, which is higher than the previous quarter’s ₹442.3 crore but lower than the ₹618.3 crore recorded a year ago. The bank’s net profit for the same quarter last year was ₹223 crore, indicating a significant decline in profitability.
Despite the decline in net profit, the bank’s NII growth is a positive sign, indicating that its core banking operations are still generating income. However, the bank needs to focus on improving its asset quality and reducing its provisions to improve its profitability. The decline in net profit is a concern, and the bank will need to take steps to address this decline and improve its overall performance. Overall, RBL Bank’s results are a mixed bag, with some positive signs, but also areas that need improvement.