IndusInd Bank has actually published a bottom line of Rs 437 crore in the 2nd quarter of FY26, reversing from a net earnings of Rs 1,331 crore in the matching quarter of FY25. The bank’s Net Interest Income (NII) too decreased by 17.6% year-on-year to Rs 4,409 crore from Rs 5,347 crore in Q2FY25.
The bank’s net interest margin (NIM) was likewise reported at 3.32% for Q2 FY26, as compared to 4.08% for Q2 FY25.
Based on the bank’s news release, the cost and other earnings for the quarter stood at Rs 1,651 crore, compared to Rs 2,185 crore in Q2FY25. The bank’s yield on properties stood at 8.75% for the quarter, lower than 9.58% taped in the year-ago duration, while the expense of funds was 5.43% as versus 5.54% in the matching quarter in 2015.
Operating costs for Q2FY26 were reported at Rs 4,013 crore, a little greater than Rs 3,932 crore in Q2FY25. Overall expense, consisting of interest and operating costs, stood at Rs 11,212 crore compared to Rs 11,271 crore in the matching duration of the previous year. The bank’s pre-provision operating revenue (PPOP) decreased to Rs 2,047 crore in Q2FY26 from Rs 3,600 crore in Q2FY25.
IndusInd Bank’s balance sheet stood at Rs 5,27,490 crore since September 30, 2025, compared to Rs 5,43,407 crore a year previously. Deposits were Rs 3,89,600 crore, below Rs 4,12,397 crore in the previous year.
CASA deposits totaled up to Rs 1,19,771 crore, with bank account deposits at Rs 31,916 crore and cost savings account deposits at Rs 87,854 crore, forming 31% of overall deposits.
Advances since completion of Q2FY26 were Rs 3,25,881 crore, lower than Rs 3,57,159 crore in the year-ago duration.
Possession quality
The gross NPA ratio stood at 3.60% of gross advances since September 30, 2025, a little lower than 3.64% since June 30, 2025, while the net NPA was at 1.04%, enhancing from 1.12% in the previous quarter.
The Provision Coverage Ratio enhanced to 72%. Arrangements and contingencies increased to Rs 2,631 crore in Q2FY26 from Rs 1,820 crore in Q2FY25.
Capital adequacy
The bank’s Total Capital Adequacy Ratio, under Basel III standards and omitting half-yearly earnings, stood at 17.10% since September 30, 2025, up from 16.51% a year previously. Tier 1 CRAR was 15.88%, compared to 15.21% in the year-ago duration. Risk-weighted possessions stood at Rs 3,98,256 crore, below Rs 4,20,519 crore in 2015.
“During Q2FY26, the Bank combined its balance sheet by releasing wholesale deposits and bewaring on microfinance dispensations. Our core pre-provision operating earnings at Rs. 1,940 crores stayed steady QoQ. Our property quality patterns have actually been steady in all core organizations other than in microfinance where market is dealing with cyclical pressures. The Bank sped up write-offs in addition to increased arrangements on microfinance as a sensible step. While this has actually led to the Bank revealing a loss in Q2, our company believe this reinforces the balance sheet and fast-tracks normalisation of underlying success,” stated Rajiv Anand, the MD and CEO of IndusInd Bank, while talking about the bank’s Q2 outcomes.