1. Opening Hook
So while markets were busy arguing whether PSU banks are still “value traps,” PNB quietly walked in with ₹5,100 crore profit—no chest-thumping, no victory parade. Just spreadsheets doing the talking.
GNPA fell again, provisions stayed fat, and management smiled politely like they’ve seen worse storms (they have). But before you declare PSU banking a solved problem, pause. NIMs slipped, CASA dipped, and guidance suddenly looks… aspirational.
This concall wasn’t about fireworks. It was about control. Discipline. And a subtle warning that easy gains may be behind us.
Stick around. The real masala is buried in guidance gaps, capital math, and that stubborn NIM line nobody wants to explain properly. Things get interesting later—promise. 😏
2. At a Glance
- Net Profit ₹5,100 Cr (+13.1% YoY) – PSU bank printing money, no bailout jokes required.
- Operating Profit +13% YoY – Core engine humming, not just treasury luck.
- GNPA 3.19% – Once a horror story, now almost respectable.
- NNPA 0.32% – Practically a private bank… on paper.
- NIM 2.52% – Margins quietly packed their bags and left.
- CASA 37.1% – Management wanted 38%, reality wanted chai-break.
3. Management’s Key Commentary
“Asset quality has shown sustained improvement across all segments.”
(Translation: The worst borrowers are either cured, written off,
or legally exhausted.) 😌
“Provision Coverage Ratio stands at 96.99%.”
(Translation: We are over-prepared because PTSD from the last cycle is real.)
“Slippage ratio remains below 1%.”
(Translation: New bad loans are under control—for now.)
“Credit growth is driven by RAM segments.”
(Translation: Corporates are boring, retail is where the dopamine is.)
“NIM compression is largely due to deposit repricing.”
(Translation: Depositors discovered alternatives and demanded higher rates.) 😐
“Digital channels now account for over 94% of transactions.”
(Translation: Branches exist mostly for nostalgia and compliance.)
4. Numbers Decoded
| Metric | Q3FY26 | YoY Take |
|---|---|---|
| Net Profit | ₹5,100 Cr | Strong, but not explosive |
| ROA | 1.06% | Finally PSU-worthy |
| GNPA | 3.19% | Down 90 bps |
| NNPA | 0.32% | Cleaner than your conscience |
| NIM | 2.52% | The only party pooper |
| CRAR | 16.77% | Capital cushion intact |
Decode: Asset quality is no longer the headline risk. Margins are.
5. Analyst Questions (Decoded)
- Q: Why is NIM falling despite asset quality improvement?
(A: Because deposits
