Federal Bank also noted that it reported its highest-ever fee income at Rs 886 crore, underscoring continued momentum in non-interest revenue streams.
The CASA ratio rose to 31.01%, marking a 94 bps year-on-year increase, as CASA deposits grew 10.71% YoY to reach Rs 89,591 crore. Meanwhile, the operating profit climbed 5.65% sequentially to Rs 1,644.17 crore.
Profitability metrics remained robust, with ROA at 1.09% and ROE at 11.01%, indicating sustained efficiency and returns. The Net Interest Margin (NIM) improved by 12 bps QoQ to 3.06%, supported by healthy loan growth and stable funding costs. Total deposits expanded 7.36% YoY, while net advances grew 6.23% YoY, underscoring balanced franchise growth.
Asset quality continued to be among the best in the past decade, with GNPA at 1.83% and NNPA at 0.48%, reflecting prudent credit practices. The Capital Adequacy Ratio (CRAR) stood at a comfortable 15.71%, ensuring strong capital buffers. Meanwhile, the Provision Coverage Ratio (PCR) remained robust at 73.45%, reinforcing the bank’s financial resilience.
The bank’s net worth rose 11.93% year-on-year, increasing from Rs 31,108.20 crore to Rs 34,819.84 crore as of September 30, 2025. The Capital Adequacy Ratio (CRAR), computed under Basel III guidelines, stood strong at 15.71%, underscoring the bank’s solid capital position and financial stability.Expanding its physical presence, the bank’s total number of banking outlets reached 1,595, while the number of ATMs and recyclers, including mobile ATMs, stood at 2,082 as of September 30, 2025, reflecting its continued focus on enhancing accessibility and customer reach.On Friday, Federal Bank shares closed 1.3% lower at Rs 212.40 on the BSE.
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