Axis Bank Q3 Results: Net profit Up 3% YoY To Rs 6,490 Cr Aided By Stable NII; Asset Quality Stable

During its meeting in Mumbai on Monday, January 26, 2026, the Board of Directors of Axis Bank Limited announced the financial results for the quarter and nine months that ended on December 31, 2025. The bank's operating profit increased 3% YoY to Rs 10,876 crores during the quarter. In Q3FY26, net profit increased 3% YoY to Rs 6,490 crores, while core operating profit climbed 7% YoY to Rs 10,815 crores.

For Q3FY26, the bank's Net Interest Income (NII) was Rs 14,287 crores, up 5% YOY and 4% QOQ. For Q3FY26, the Net Interest Margin (NIM) was 3.64%.

For 9MFY26, Axis Bank's net interest income was Rs 41,591 crores, up 3% YoY. Fee income climbed 11% YoY to Rs 17,883 crores. From Rs 31,353 crores in 9MFY25 to Rs 32,803 crores in 9MFY26, operating profit jumped by 5%. From Rs 29,341 crores in 9MFY25 to Rs 30,824 crores in 9MFY26, core operating profit went up by 5%. The total amount of provisions for 9MFY26 was Rs 9,741 crores. The net profit for 9MFY26 was Rs 17,385 crores, a 10% YoY drop.

As of December 31, 2025, the bank's balance sheet has increased 15% YoY to Rs 17,52,171 crores. On a month-end basis, total deposits grew by 5% QOQ and 15% YOY; current account deposits climbed by 7% and 20%, savings account deposits by 1% and 11%, and term deposits by 6% and 16%. CASA deposits accounted for 39% of all deposits. Total deposits soared 5% QOQ and 12% YOY on a QAB basis; savings account deposits expanded 2% | 8%, current account deposits increased 5% | 10%, and term deposits rose 6% | 14% on a QOQ | YOY basis.

As of December 31, 2025, Axis Bank reported gross non-performing assets (NPA) and net non-performing assets (NPAs) of 1.40% and 0.42%, respectively, compared to 1.46% and 0.44% as of September 30, 2025. For the quarter, Rs 799 crores were recovered from written-off accounts. After accounting for recovery from the written-off pool, the reported net slippages for the quarter were Rs 2,335 crores, of which Rs 2,506 crores came from retail, Rs 109 crores from CBG, and Rs 280 crores from wholesale.

In contrast to Rs 5,696 crores in Q2FY26 and Rs 5,432 crores in Q3FY25, gross slippages for Q3FY26 were Rs 6,007 crores. During the quarter, NPA upgrades and recoveries were Rs 2,872 crores. The bank's provision coverage as a percentage of gross non-performing assets (NPAs) was 70% as of December 31, 2025, compared to 70% on September 30, 2025, and 76% on December 31, 2024. Axis Bank in the quarter wrote off NPAs aggregating Rs 3,275 Cr.

Amitabh Chaudhry, MD & CEO, Axis Bank said: "Our progress this quarter reflects our focus on creating solutions that matter - simplifying access to credit, reimagining digital banking, and investing in talent and ideas that will shape the future. We will keep strengthening our competitive edge by modernising our platforms, empowering our teams, and staying ahead of shifts in customer behavior through smart and revolutionary solutions."

As of December 31, 2025, the bank's total distribution network consisted of 6,110 domestic branches and extension counters and 281 Business Correspondent Banking Outlets (BCBOs) spread across 3,315 centers, as opposed to 5,706 domestic branches and extension counters and 202 BCBOs spread across 3,122 centers as of December 31, 2024. Axis Bank had 12,838 ATMs and cash recyclers nationwide as of December 31, 2025. As of December 31, 2025, the bank's Axis Virtual Center has 1,582 Virtual Relationship Managers spread throughout eight centres.