Central Bank of India Earnings Summary — Q4 FY2026
Central Bank of India Reports Significant Revenue Growth in Q4 FY26 Despite Net Profit Compression
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 5 consecutive quarters.
- Revenue of ₹9,726 Cr is 12.8% higher year-on-year.
- Revenue has compounded at 6.9% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹1,323 Cr is 3.2% above the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at 23.9% annualised across the period.
- Operating margin stands at 67.8% in Q1 FY2027.
- Operating margin expanded by 704 bps year-on-year.
- Over the last two years operating margin has expanded by 1468 bps.
- PBT margin is 18.4%.
- Expense growth of -7.4% remained below revenue growth of 12.8%.
- Operating profit of ₹6,597 Cr is 25.8% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 83/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 9,726 | 9,698 | 9,070 | 8,777 | 8,623 | 8,653 | 8,542 | 8,235 | 8,367 | 8,371 |
| Expenses | Stable | 3,129 | 3,573 | 3,853 | 3,328 | 3,381 | 3,968 | 3,373 | 3,500 | 3,920 | 3,561 |
| Operating Profit | Improving | 6,597 | 6,125 | 5,217 | 5,448 | 5,243 | 4,685 | 5,169 | 4,735 | 4,447 | 4,810 |
| Operating Margin | Stable | 67.8% | 63.1% | 57.5% | 62.1% | 60.8% | 54.1% | 60.5% | 57.5% | 53.1% | 57.5% |
| Other Income | Stable | 988 | 1,161 | 1,927 | 1,507 | 1,857 | 1,723 | 1,232 | 1,649 | 1,166 | 1,363 |
| Interest | Stable | 5,794 | 5,677 | 5,552 | 5,476 | 5,222 | 5,238 | 4,984 | 4,807 | 4,801 | 4,811 |
| Depreciation | Insufficient data | — | — | — | — | — | — | — | — | — | — |
| Profit Before Tax | Improving | 1,791 | 1,609 | 1,592 | 1,479 | 1,878 | 1,171 | 1,418 | 1,578 | 812 | 1,363 |
| Tax | Volatile | 462 | 871 | 327 | 260 | 617 | 129 | 450 | 657 | -75 | 551 |
| Net Profit | Improving | 1,323 | 746 | 1,264 | 1,232 | 1,282 | 1,105 | 963 | 924 | 942 | 816 |
| Net Margin | Improving | 13.6% | 7.7% | 13.9% | 14.0% | 14.9% | 12.8% | 11.3% | 11.2% | 11.3% | 9.8% |
Key Takeaways
- Revenue reached a multi-year high of ₹9,698 Cr in Q4 FY26, representing a 12% YoY growth.
- Gross NPA levels continued their downward trajectory, improving to 2.67% from 3.18% annually.
- Net NPAs remained stable at 0.50%, indicating significantly cleaner asset quality compared to historical distress levels.
- Financing profit turned positive at ₹448 Cr in Q4, a significant reversal from the ₹553 Cr loss in the same quarter last year.
- Net Profit for the quarter fell to ₹748 Cr, primarily due to a high effective tax rate of 54% and lower 'Other Income' sequentially.
- The bank has successfully transitioned into a 'repair and stabilize' phase following its exit from the RBI's Prompt Corrective Action framework.
Management Guidance
Management remains focused on the 'RAM' (Retail, Agri, MSME) segments for future growth while maintaining rigid cost controls and asset quality focus.
Sentiment Shift
Stable
The core operational performance (financing margins) is improving, but bottom-line volatility remains due to tax and non-interest income fluctuations.
Outlook
The bank exhibits a classic 'U-shaped' recovery with improving CRAR and historically low NPA levels. However, it continues to face stiff competition from tech-advanced private peers and higher interest expenses.
From the Annual Report (Key Quotes)
“Central Bank of India has recently emerged from a prolonged period of financial distress and PCA by the RBI.”
“The bank still lags behind private peers in capital efficiency, with ROCE and ROE at modest levels.”
“Net NPA dropped from double digits to 0.45% (annual basis), reflecting a massive balance sheet cleanup.”
Official Quarterly Documents
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This summary is AI-generated from Central Bank of India's latest quarterly filing and earnings call. For informational purposes only — not investment advice.