Axis Bank Q3FY26 PAT rises 28% QoQ; deposits, advances grow in mid teens

Axis Bank on Monday reported a net profit of ₹6,490 crore for the third quarter of FY26, aided by steady net interest income and healthy fee income growth.

The private sector lender’s net interest income (NII) rose 5 per cent year on year and 4 per cent quarter on quarter to ₹14,287 crore during the quarter. Net interest margin (NIM) stood at 3.64 per cent.

On a quarterly average balance (QAB) basis, total deposits grew 5 per cent QoQ and 12 per cent YoY, while advances recorded growth of 15 per cent YoY and 14 per cent YoY, indicating continued traction in lending and deposit mobilisation.

The bank’s core operating profit increased 9 per cent QoQ, while profit after tax (PAT) rose 28 per cent QoQ. Asset quality also improved sequentially, with gross non performing assets (GNPA) declining to 1.40 per cent and net NPA to 0.42 per cent as of December 31, 2025, compared with 1.46 per cent and 0.44 per cent, respectively, at the end of September.

Fee income grew 12 per cent YoY to ₹6,100 crore, driven largely by retail fees, which accounted for 71 per cent of the bank’s total fee income.

The bank’s capital adequacy ratio stood at 16.55 per cent, with a CET 1 ratio of 14.50 per cent, up 7 basis points sequentially.

Axis Bank’s wealth management business reported assets under management of ₹6.88 lakh crore, up 7 per cent QoQ and 8 per cent YoY. Its domestic subsidiaries posted a combined profit after tax of ₹1,490 crore for the first nine months of FY26, a 6 per cent increase over the year ago period.

As of December 31, 2025, the bank’s distribution network comprised 6,110 branches and extension counters and 281 business correspondent banking outlets (BCBOs) across 3,315 centres, compared with 5,706 branches and 202 BCBOs a year ago.

Amitabh Chaudhry, MD and CEO, Axis Bank, said the performance reflected the bank’s focus on strengthening its competitive edge through digital modernisation and customer centric solutions. “We will continue investing in platforms, talent and innovation to stay ahead of changing customer needs,” he said.