The Karur Vysya Bank (KARURVYSYA) Q4 24/25 earnings summary

Executive summary

• Total business grew 14% year-over-year to INR 186,569 crores, with advances and deposits each up 14–15% to INR 84,491 crores and INR 102,078 crores as of March 2025.

• Net profit for Q4 FY25 was INR 513 crores, up 13% year-over-year; full-year net profit rose 21% to INR 1,942 crores.

• RAM (Retail, Agriculture, MSME) verticals grew 20% year-over-year, now constituting 86% of advances; commercial loans up 21%, agriculture loans up 20%, and retail gold loans up 61%.

• Maintained high asset quality with GNPA at 0.76%, NNPA at 0.20%, and provision coverage ratio of 96.81%.

• Digital transactions surged 115% year-over-year, with 98% share of total transactions.

Financial highlights

• Operating profit for Q4 FY25 was INR 835 crores and INR 3,212 crores for the year, up 20% year-over-year.

• Net Interest Income for Q4 FY25 grew 9% year-over-year to INR 1,089 crores; full-year NII up 12% to INR 4,260 crores.

• NIM for Q4 FY25 was 4.05% and 4.09% for the year, down 11 bps from last year.

• Cost-to-income ratio at 47.77% for Q4 and 47.25% for the year.

• ROA improved to 1.73% for Q4 and 1.72% for the year.

Outlook and guidance

• Credit growth expected to be 2% above industry, with RAM verticals sustaining momentum.

• NIM guided at 3.7%-3.75% for FY26, with cost-to-income ratio around 50%.

• ROA expected to remain in the 1.55%-1.65% range.

• GNPA to be kept below 1.5%, net NPA below 1%.

• Focus on expanding digital banking, technology partnerships, and ESG initiatives.