CSB Bank (CSBBANK) Q3 24/25 earnings summary

Executive summary

• Net profit for Q3 FY25 was ₹152 crore, up 10% sequentially and 1% YoY, with operating profit at ₹221 crore, and non-interest income surging 75% YoY to ₹219 crore.

• Balance sheet grew 30% YoY to ₹43,109 crore, with total business at ₹62,322 crore and gross advances up 26% YoY to ₹28,915 crore.

• Asset growth was robust, with gold loans up 36% YoY, other retail by 32%, and SME by 29%.

• Asset quality improved sequentially, with GNPA at 1.58% and NNPA at 0.64%, though NNPA rose YoY.

• Capital adequacy ratio stood at 21.08% and Tier 1 at 19.73% as of December 2024.

Financial highlights

• Total income for Q3 FY25 reached ₹1,139 crore, up 28% YoY; operating profit before provisions was ₹22,065 lakhs.

• Cost-to-income ratio improved to 62.9% from over 65% in the previous quarter.

• NIM for the quarter stood at 4.11%, sustained above 4% despite higher funding costs.

• CASA ratio at 24.07% in Q3 FY25, with term deposits making up 73% of total deposits.

• EPS for the quarter was ₹34.68; book value per share was ₹236.

Outlook and guidance

• Liquidity is expected to improve in the coming quarter, aided by RBI measures and softening yields.

• Focus on expanding pan-India operations, digital transformation, and enhancing product suite, with major tech upgrades and CBS migration scheduled for FY26.

• Retail asset transformation journey has begun, with visible results expected in the next year.