Karnataka Bank's Q2 FY 2025-26 Quarterly Results

Result Summary

• Karnataka Bank Ltd reported a 3.7% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 0.7%.
• Its expenses for the quarter were down by 3.2% QoQ and up 1.9% YoY.
• The net profit increased 9.1% QoQ and decreased 5.1% YoY.
• The earnings per share (EPS) of Karnataka Bank Ltd stood at 8.43 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

---

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Karnataka Bank Ltd is a well-established financial institution in India operating primarily in the banking sector. It offers a wide range of products and services, including retail banking, corporate banking, and various financial services to its clients. As a part of the financial industry, the bank is subject to regulatory oversight and operates in a competitive market. Specific recent developments about Karnataka Bank Ltd are not available in the provided data. The company's operations are typically influenced by macroeconomic factors, regulatory changes, and shifts in consumer behavior.

Revenue

In the second quarter of the fiscal year 2026 (Q2FY26), Karnataka Bank Ltd reported a total income of ₹2522.58 crores, a slight decrease of 3.7% from the previous quarter (Q1FY26), where the total income was ₹2619.65 crores. Compared to the same quarter in the previous year (Q2FY25), which saw a total income of ₹2504.05 crores, there was a modest year-over-year increase of 0.7%. These figures indicate that while there was a quarterly decline in revenue, the year-over-year comparison shows a slight improvement, suggesting stability in income generation over the past year.

Profitability

The Profit Before Tax (PBT) for Karnataka Bank Ltd in Q2FY26 was ₹420.08 crores, reflecting a notable quarter-over-quarter increase of 17.8% from ₹356.58 crores in Q1FY26. However, when compared to the same period in the previous year (Q2FY25), where the PBT was ₹429.23 crores, there was a slight decline of 2.1%. The Tax expense in Q2FY26 was ₹100.86 crores, which increased by 57.4% from the previous quarter and 8.5% from the previous year. Consequently, the Profit After Tax (PAT) for Q2FY26 stood at ₹319.22 crores, up 9.1% from Q1FY26's ₹292.50 crores but down 5.1% from Q2FY25's ₹336.24 crores. This indicates that while the bank managed to enhance its quarterly profitability, the annual comparison shows a slight reduction.

Operating Metrics

Total Expenses for Karnataka Bank Ltd in Q2FY26 were reported at ₹2082.45 crores, a decrease of 3.2% from the previous quarter and an increase of 1.9% compared to Q2FY25. The provisions and contingencies were significantly reduced by 81.9% quarter-over-quarter and 36.0% year-over-year, standing at ₹20.05 crores for Q2FY26. This reduction in provisions might reflect improved asset quality or lower anticipated credit losses. The Earnings Per Share (EPS) in Q2FY26 was ₹8.43, marking a 9.2% increase from Q1FY26 but a decline of 5.1% from Q2FY25. These metrics highlight significant changes in operating costs and earnings distribution, with a marked improvement in managing provisions and costs, despite a yearly decline in earnings metrics.