Q4 2026 Karnataka Bank Ltd Earnings Call Transcript
Key Points
- Karnataka Bank Ltd (BOM:532652) achieved its highest ever aggregate business, reaching Rs. 1,92,119 crore as of March 31, 2026, marking a 6% quarter-on-quarter growth.
- The bank's CASA ratio improved to 33.61% from 31.53% in December 2025, indicating a successful strategy in optimizing funding costs.
- Net Interest Margin (NIM) for Q4 FY26 stood at 3.07%, an improvement from 2.92% in Q3 FY26, driven by focused initiatives in the RAM segment.
- Profit After Tax (PAT) for Q4 FY26 increased by 40% quarter-on-quarter, reaching Rs. 408.19 crore.
- Gross NPA percentage improved to 2.78% as of March 31, 2026, from 3.32% in December 2025, reflecting enhanced asset quality and monitoring efficiency.
- The bank's Return on Equity (ROE) for Q4 FY26 was 12.69%, which is below the guidance of around 15%.
- Cost to income ratio for the full year FY 2025-26 was 56.34%, slightly above the guidance of 55% to 56%.
- Employee expenses remain a challenge, with no significant reduction expected due to business expansion needs.
- The bank's reliance on corporate loans remains high, with 65% of incremental growth coming from this segment, despite efforts to focus on retail and MSME growth.
- The geopolitical tensions in West Asia pose risks to the bank's growth and could impact the macroeconomic environment, affecting future performance.
Ladies and gentlemen, the conference will begin shortly. Please stay connected.
Thank you.
Ladies and gentlemen. Good day and welcome to Karnataka Bank Limited Q4 and F526 Earnings Conference Call.
We have with us Mr. Raghavendra Expert, MP and CEO, along with the management team.
As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance in your conference call, please signal an operator of the thing and on your touchstone phone. Please note that this conference is being recorded.
I now hand the conference over to Mr. Raghavendra Esper, Managing Director and CEO of Karnataka Bank.
Thank you, and over to you, Mr.
Thank you.
Good evening, and thank you for joining Karnataka Bank Q4 FY26 Earnings Call.
Karnataka Bank, a bank which began its journey from
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
