PNB profit reached a record Rs 5,532 crore in the quarter ended September 30, 2026, up 13% from a year earlier. Managing Director and CEO Ashok Chandra said Punjab National Bank is aiming for quarterly net profit of Rs 6,000 crore over the next few quarters, supported by stronger core operating earnings and loan growth.
Key Takeaways
- The Rs 6,000 crore quarterly profit ambition is a management target, with no specific achievement date.
- Core operating profit grew about 29% year over year despite lower treasury income.
- PNB is expanding retail, agriculture and small-business lending while shedding some low-yielding corporate loans.
Table of Contents
- PNB profit target follows record September earnings
- Core earnings strengthen as treasury income falls
- Loan expansion balances growth with corporate yields
- Conclusion
PNB profit target follows record September earnings
Improved core income and a moderation in bad loans supported the bank’s record second-quarter net profit. Chandra said PNB had maintained consistency in operating profit, net profit and other key measures over the past four quarters and expected that performance to continue.
The bank’s September 2026 results disclosure listings include a financial-results press release, investor presentation and board-meeting outcome dated October 16. These cover the quarter ended September 30, 2026.
The Rs 6,000 crore ambition concerns quarterly net profit, rather than revenue. Chandra linked progress toward that level to further growth in operating profit, but did not commit to a particular quarter.
| Item | Details |
|---|---|
| Retail loan book | Growing more than 16%, Chandra said. |
| MSME advances | Expanding by 19–20%. |
| Agriculture lending | Rising more than 18%. |
| Corporate loan sanctions | Growing by 17–18%; sanctions are distinct from outstanding advances. |
Core earnings strengthen as treasury income falls
Treasury income declined to Rs 753 crore from Rs 1,769 crore a year earlier. Chandra described the roughly Rs 1,000 crore year-over-year treasury shortfall as a headwind that the bank had absorbed while maintaining operating-profit growth.
Core operating profit, which excludes treasury gains and recoveries, increased about 29% year over year. That followed growth of 32–34% in the preceding quarter, he said.
The distinction matters because the core measure separates underlying operating performance from treasury gains and recoveries. Chandra cited its sustained growth as the basis for management’s confidence in future profitability.
Loan expansion balances growth with corporate yields
PNB is focusing on retail, agriculture, micro, small and medium-sized enterprise lending, alongside corporate loans. Chandra said festive-season demand was expected to support a further 1–2% expansion in these loan books during the third quarter.
Corporate loan sanctions were growing faster than the corporate advances reflected on the balance sheet, where growth was around 10–11%. Chandra attributed the gap to PNB shedding some low-yielding corporate advances and said the bank expected to continue that strategy in the second half of the fiscal year.
Conclusion
The next test is third-quarter lending performance and whether core operating-profit growth continues as PNB reduces low-yielding corporate exposure. The Rs 6,000 crore quarterly profit level remains management’s ambition, not a completed result or a dated commitment.
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