Karur Vysya Bank Q2 Results October 15, 2026: Profit Up 37% to ₹788 Crore, Gross NPA at 0.69%

The Karur Vysya Bank Q2 results October 15 filing had the private lender posting a record net profit of ₹788 crore for the quarter ended September 30, 2026, up 37.28% year-on-year. Lower provisions did a lot of the heavy lifting. Core interest income grew in the high teens and bad-loan ratios edged down. The stock closed higher on results day and kept going on October 16. For the wider market picture, see our Stock Market Today India hub.

Educational content only. Not investment advice. Figures are taken from Karur Vysya Bank’s exchange filings and the outlets linked below; check the latest disclosures before acting.

Karur Vysya Bank Q2 results October 15: profit, income and costs

Here is what the bank’s Q2 FY27 press release and investor presentation on NSE show:

• Net profit: ₹788 crore, up 37.28% from ₹574 crore a year ago, and about 4% higher than the June quarter, per the presentation. First-half (April to September) profit grew 40.91% to ₹1,543 crore.
• Net interest income: ₹1,497 crore, up 18.72% from ₹1,261 crore.
• Operating profit: ₹1,162 crore, up 14.26% from ₹1,017 crore.
• Other income: ₹435 crore, down about 15% from ₹512 crore. Fees and commissions rose 14.62% to ₹290 crore, but other non-interest items dropped to ₹145 crore from ₹259 crore.
• Provisions (excluding tax): ₹118 crore, roughly 57% lower than ₹274 crore a year earlier.
• Cost-to-income ratio: 39.85%, against 42.63% a year ago.

Loans are growing faster than deposits

Total business hit ₹2,39,712 crore on September 30, up 17.96% on the year. Loans ran ahead: advances rose 20.35% to ₹1,11,589 crore while deposits grew 15.96% to ₹1,28,123 crore. Current and savings account (CASA) deposits were up 15% at ₹35,265 crore, yet the CASA ratio slipped to 27.52% from 27.65% because term deposits grew a touch faster.

The margin story needs a footnote. The press release shows a net interest margin of 4.34% versus 4.24% a year earlier. The presentation shows 4.26% once a one-off ₹28.35 crore interest recovery on loans previously technically written off is stripped out. So some of this quarter’s margin gain came from that recovery.

Asset quality and capital

Gross non-performing assets (NPAs) were 0.69% of gross advances, or ₹765 crore, down from 0.74% in June and 0.76% a year ago. Net NPAs came in at 0.18% (₹199 crore), against 0.19% a year earlier. Provision coverage was 96.13%, and the presentation shows a quarterly slippage ratio of 0.44% and credit cost of 0.43%. CNBC-TV18 and BusinessLine carried the same profit and NPA numbers.

Basel III capital adequacy stood at 17.97% on September 30, up from 16.58% a year ago but below June’s 18.61%, as risk-weighted assets climbed to ₹87,495 crore from ₹80,661 crore in June. Tier 1 capital was 17.32%.

A separate filing that evening said Chief Operating Officer Chandrasekaran M S left office on October 15 at the end of his tenure, with Chief General Manager Ramshankar R taking over as COO from October 16.

How the stock took it

NSE’s daily bhavcopy shows Karur Vysya Bank closing at ₹345.65 on October 15, up 1.29% from ₹341.25, after a range of ₹336.00 to ₹349.20. The next day was stronger. On October 16 it closed at ₹355.65, up 2.89%, after touching ₹365.90, with about 1.79 crore shares traded against roughly 56 lakh on results day.

Reading past the headline

Loan growth near 20%, interest income up in the high teens, cost-to-income under 40% and very low bad-loan ratios make for a solid quarter. We’d still flag two things. Provisions falling to under half of last year’s level gave profit a big push, and a one-off recovery flattered margins, so the underlying run-rate is a little softer than the headline suggests. And with deposits trailing loans and the CASA ratio flat, funding costs could tighten if banks start fighting harder for deposits. For more on reading bank numbers, see our guides on the slippage ratio in bank results and how to analyse quarterly results of a company.

Disclaimer: This article is for information and education only and is not investment advice or a recommendation to buy or sell any security. Consult a SEBI-registered adviser before making investment decisions.