Thrissur-based CSB Bank Q2 profit rises 16% to ₹160 cr; NIM narrows to 3.81%

CSB Bank on Wednesday said its second-quarter profit rose 16 per cent to ₹160 crore, compared to ₹138 crore recorded in the same period a year ago.

The Thrissur-headquartered bank also said its Net Interest Income (NII) for the quarter increased 15 per cent to ₹424 crore, from ₹367 crore in the corresponding quarter last year.

However, the bank’s Net Interest Margin (NIM) dipped to 3.81 per cent in the quarter, compared to 4.30 per cent last year. NIM is a key financial metric that measures a bank’s profitability by comparing the interest income it earns from its assets (such as loans) with the interest it pays on its liabilities (like deposits), expressed as a percentage of its average earning assets.

The bank further said that its total income was ₹1,458 crore in the quarter as against ₹1,064 crore in the same period last year. Its operating profit also increased by 39 per cent to ₹279 crore. 

The bank said that the total deposits grew 25 per cent year-on-year to ₹39,651 crore as of September 30, 2025, from ₹31,840 crore a year earlier.

CSB Bank MD and CEO Pralay Mondal said the results reflect the team’s focus on growth and system stabilisation. "Despite the ongoing challenges in the broader market, our team's strategic focus on both growth and system stabilisation in a calibrated manner has driven improved outcomes as compared to Q1 FY26," he said in a statement. 

"Our total business grew by 27 per cent on a YoY basis, underpinned by a deposit growth of 25 per cent and advance growth of 29 per cent. We continued to outpace the industry trends across both parameters this quarter as well," he added.