Punjab National Bank reports 13% profit rise in Q2 FY27

Punjab National Bank (PNB) reported a 12.8% to 13% year-on-year increase in net profit for the second quarter of fiscal year 2027, reaching ₹5,532 crore. The growth was driven by higher interest income and improved asset quality, characterized by a decline in gross non-performing assets (GNPA) to 2.55% and net non-performing assets (NNPA) to 0.25%.

Net Interest Income (NII) rose by 10.8% to ₹11,601 crore, while the Net Interest Margin (NIM) improved to 2.58%. The bank's global business grew by approximately 12% to ₹31,18,434 crore. MD and CEO Ashok Chandra noted that while operating profit grew by 4.2% to ₹7,532 crore, growth was tempered by lower treasury income due to hardening interest rates.

Looking ahead, PNB expects core retail loan growth of 17-18% and MSME lending to grow around 21% during the current quarter, supported by festive season demand. The bank also expressed plans to raise $1 billion from overseas investors through its Medium-Term Note Programme.