Q3 FY26 Concall · January 17, 2026
RBL Bank Q3 FY26
Concall Decoded:
₹214 Cr Profit. Secured Assets At 30% Growth. But Credit Cards Are Still A Dumpster Fire.
The bank posted a quarterly PAT of ₹214 crore—up 555% YoY (thanks, low base)—but don’t pop the champagne yet. Credit card slippages remain elevated, Emirates NBD merger approvals are pending, and the management is basically saying “trust the process” on NPA recovery. Spoiler: the recovery is real, just painstakingly slow.
Q3 PAT₹214 Cr
Stock Price₹304
P/E Ratio28.4x
ROE4.57%
Advances Growth14% YoY
01 — Opening Hook
RBL Bank Just Told Analysts It Will Take 2 More Quarters For Credit Cards To Stop Bleeding
Remember when RBL Bank was India’s next big retail banking disruptor? Now it’s the bank that keeps telling investors “trust us, the cards business will normalize soon” while simultaneously taking massive provisions and admitting entire geographic pin codes are still dumpsters of defaults. Net profit is up 555% YoY, but that’s mostly because the base was a disaster (₹33 crore in Q3 FY25 was basically a rounding error). Real earnings power? Still rebuilding. Management is executing on secured retail (growing at 25-30%, now profitable!), expanding branches like a man possessed (600 by March exit, 800 by next March), and waiting for the Emirates NBD capital infusion to unlock growth. But card slippages? That’s the Sword of Damocles hanging over every analyst call.
The real story isn’t Q3’s profit. It’s the management’s brutal honesty: cards peak in June 2026, then improve. New originations are 99.5% collectible. And they’re done chasing volume—now it’s all about unit economics. Read on, because the turnaround is real, but the valuations haven’t caught up to the execution risk. Yet.
02 — At a Glance
The Numbers: Profit Up 555%, But Read The Fine Print
- Q3 Revenue₹3,667 Cr
- QoQ Growth+3.69%
- Net Interest Margin4.63%
- NIM Sequential Growth+12 bps
- Cost-to-Income Ratio66.3%
- GNPA1.88%
- GNPA Improvement-45 bps QoQ
- Net NPA0.55%
- Advances Growth (YoY)14%
- Credit Cost64 bps
The Raw Truth: Q3 PAT of ₹214 crore looks good on paper until you remember Q3 FY25 was a ₹33 crore demolition derby. Sequentially, profit is up 20% from Q2’s ₹179 crore—now that’s real. NIM expanded 12 bps to 4.63% thanks to CRR cuts and deposit repricing, but the full impact of the 25 bps December repo cut will hit Q4. Secured retail assets grew 25% YoY, unsecured finally stopped the bleeding with 1% sequential growth, and the wholesale commercial banking grew 30%. But JLG and credit cards combined threw ₹669 crore in slippages in a single quarter. That’s the real story.
03 — Management’s Key Commentary
What The Concall Revealed (Plus Our Sarcastic Translation)
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