1. At a Glance
A once-forgotten PSU bank now quietly clocking over ₹11,700 Cr in revenue with Gross NPAs dipping below 3.4%. Q1FY26 net profit of ₹269 Cr and strong loan growth are telling a new story… but are investors listening?
2. Introduction with Hook
You know that underdog in every sports movie who gets ignored until he crushes the final act?
That’s Punjab & Sind Bank.
- Gross NPAs: Down from 11.3% in FY22 to 3.34% in Q1 FY26
- Net Profit: ₹1,103 Cr TTM, up from ₹595 Cr in FY24
- Yet… trading at just 0.66x book value
So… mispriced phoenix or just a well-behaved pigeon?
3. Business Model (WTF Do They Even Do?)
Typical PSU bank play, but with a twist:
- Corporate Lending: 38% (9M FY25)
- Retail Loans: 32% (shrinking share)
- Treasury: 29% — surprisingly large for its size
- Fee Income: Coming alive post digital push
Key Strategy:
- Cut NPAs
- Grow retail carefully
- Expand digital & fee-based earnings
- Keep capital adequacy stable post QIP
4.
