Punjab National Bank Results: Q1 FY27 Profit Surge, NII Growth And Asset Quality Trends

Nidhi Thakur

July 18, 2026

Key Takeaways

punjab national bank results show net profit rising to Rs 5,253 crore in Q1 FY27, up 214% YoY.
NII rose 2% to Rs 10,798 crore while provisions doubled to Rs 792 crore.
Asset quality improved with Gross NPA at 2.78% and Net NPA at 0.28% QoQ.
punjab national bank stock price traded around Rs 105.77 on NSE as investors weighed the mix.

In the latest punjab national bank results, the bank posted a net profit of Rs 5,253 crore in Q1 FY27, up 214% year-on-year from Rs 1,675 crore. Net interest income rose 2% to Rs 10,798 crore, while fresh provisions climbed to Rs 792 crore. Slippages stood at Rs 2,080 crore, vs Rs 1,886 crore year-on-year; QoQ slippages were Rs 2,758 crore. Domestic NIM rose 3 basis points to 2.64% quarter-on-quarter, but remained below the year-ago level of 2.84%.

Punjab National Bank Results: Q1 FY27 Profit Surge And Asset Quality Trend

Asset quality improved as Gross NPA declined 17 basis points to 2.78% from 2.95%, and Net NPA slipped 1 basis point to 0.28% from 0.29% on a QoQ basis, signaling an improving trajectory. Operating profit rose 6% YoY to Rs 7,519 crore, while operating expenditure declined 13% to Rs 7,613 crore.

NII Growth And NIM Trend In Punjab National Bank Results

Net interest income rose 2% YoY to Rs 10,798 crore, supported by a modest NIM improvement to 2.64% QoQ (YoY NIM was 2.84%). The margin resilience comes despite a competitive lending environment and ongoing balance-sheet normalization.

Asset Quality Trends: Slippages And NPAs In Q1 FY27 Punjab National Bank Results

Fresh slippages came in at Rs 2,080 crore, compared with Rs 1,886 crore YoY; QoQ, slippages were Rs 2,758 crore. Gross NPA stood at 2.78% (down 17 bps QoQ) and Net NPA at 0.28% (down 1 bp QoQ), reflecting a credible improvement in asset quality metrics.

Profitability And Operating Efficiency In Punjab National Bank Results

Operating profit rose 6% YoY to Rs 7,519 crore, while total operating expenses declined 13% to Rs 7,613 crore, underscoring efficiency gains even as provisioning remained elevated.

Market Reaction: Punjab National Bank Stock Price And Investor Outlook

Punjab National Bank stock price closed 0.52% higher at Rs 105.77 on the NSE on Friday, reflecting market reception to the quarterly numbers. The stock has fallen 14.41% year-to-date and 7.05% in the last 12 months, indicating a challenging near-term price trajectory despite improving fundamentals.

FY27 Guidance And What It Means For Investors

Management guided for a net interest margin in the range of 2.60%–2.70% for FY27, with credit growth seen at 12%–13% and deposits growth at 9%–10%. Operating profit growth is targeted at 9%–10%, with gross NPA below 2.5% and net NPA below 0.3%. Slippage ratio is expected to stay below 0.9% for the year. Taken together, these targets suggest a path to earnings stability while navigating a competitive lending environment; the punjab national bank financials reflect a balance between growth and risk controls in the quarter under review.

Investment Takeaways For Retail Investors After Punjab National Bank Results

Investors should weigh the durability of NII growth against potential margin pressure if loan mix shifts or macro conditions deteriorate. Asset quality improvement supports lower credit costs, but the elevated fresh slippages warrant ongoing monitoring. A prudent approach is to balance growth exposure with risk controls, diversify across sectors, and use a disciplined stock-screening framework. For deeper stock-level analysis and scenario planning, consider Swastika's Sarthi AI stock assistant as a tool to refine ideas and watchlists.

Frequently Asked Questions

What was Punjab National Bank results for Q1 FY27?

Net profit rose to Rs 5,253 crore, up 214% YoY from Rs 1,675 crore.

How did net interest income perform in Q1 FY27?

Net interest income rose 2% to Rs 10,798 crore.

What are the asset quality metrics in Q1 FY27?

Gross NPA declined to 2.78% (down 17 bps QoQ) and Net NPA to 0.28% (down 1 bp QoQ).

What was the PNB stock price after the results?

Punjab National Bank stock price closed at Rs 105.77 on the NSE.

What are the FY27 guidance targets for NIM, growth, NPAs?

NIM guidance: 2.60%–2.70%; Credit growth: 12%–13%; Deposits growth: 9%–10%; Operating profit growth: 9%–10%; Gross NPA below 2.5%; Net NPA below 0.3%; Slippage ratio below 0.9%.

Conclusion

Punjab National Bank results presents a nuanced picture for retail investors: a robust quarterly profit and an improving asset quality posture sit alongside higher provisioning and a stock price that has faced headwinds in the year. The immediate takeaway is to watch whether the bank can sustain the NIM band of 2.60%–2.70% while keeping credit costs in check across the next few quarters. If you’re evaluating punjab national bank financials, adopt a framework that combines earnings visibility with risk oversight and valuation discipline.

To extend your analysis, explore Swastika's Sarthi AI stock assistant for customized scenarios, sector comparisons, and stock-specific insights: Swastika's Sarthi AI stock assistant.

Open your trading and demat account here

Reference :

1 : Ndtvprofit

DISCLAIMER:

^{The information contained herein are strictly confidential and are meant solely for the information of the recipient and shall not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written permission of Swastika Investmart Ltd. (“SIL”). The contents of this document are for information purpose only. This document is not an investment advice and must not alone be taken as the basis for an investment decision. Before taking any decision to invest, the recipient of this document must read carefully the Red Herring Prospectus (“RHP”) issued to know the details of IPO and various risks and uncertainties associated with the investment in the IPO of the Company. All recipients of this document must before acting on the given information/details, make their own investigation and apply independent judgment based on their specific investment objectives and financial position. They can also seek appropriate professional advice from their own legal and tax consultants, advisors, etc. to understand the risks and investment considerations arising from such investment. The investor should possess appropriate resources to analyze such investment and the suitability of such investment to such investor’s particular circumstances before making any decisions on the investment. The Investor shall be solely responsible for any action taken based on this document. SIL shall not be liable for any direct or indirect losses arising from the use of the information contained in this document and accept no responsibility for statements made otherwise issued or any other source of information received by the investor and the investor would be doing so at his/her/its own risk. The information contained in this document should not be construed as forecast or promise or guarantee or assurance of any kind. The investors are not being offered any assurance or guaranteed or fixed returns on their investments. The users of this document must bear in mind that past performances if any, are not indicative of future results. The actual returns on investment may be materially different than the past. Investments in Securities market products and instruments including in the IPO of the Company are highly risky and they are generally not an appropriate avenue for someone with limited resources/ limited investment and low risk tolerance. Such Investments are subject to market risks including, without limitation, price, volatility and liquidity and capital risks. Therefore, the users of this document must carefully consider all the information given in the RHP including the risks factors before making any investment in the Equity Shares of the Company.Swastika Investmart Ltd or its analysts did not receive any compensation or other benefits from the companies mentioned in the report or third party in connection with preparation of the research report. Accordingly, neither Swastika Investmart Ltd nor Research Analysts have any material conflict of interest at the time of publication of this report. Compensation of our Research Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions. Swastika Investment Ltd may have issued other reports that are inconsistent with and reach different conclusion from the information presented in this report. Research entity has not been engaged in market making activity for the subject company. Research analyst has not served as an officer, director or employee of the subject company. We have not received any compensation/benefits from the Subject Company or third party in connection with the Research Report.CORPORATE & ADMINISTRATIVE OFFICE - 48, Jaora Compound, M.Y.H. Road, Indore - 452 001 | Phone 0731 - 6644000 Compliance Officer: Dimple Soni. Email: compliance@swastika.co.in Phone: (0731) 6644 241 Swastika Investmart Limited, SEBI Reg. No. : NSE/BSE/MSEI: INZ000192732 Merchant Banking: INM000012102 Investment Adviser: INA000009843 MCX/NCDEX: INZ000072532 CDSL/NSDL: IN-DP-115-2015 RBI Reg. No.: B-03-00174 IRDA Reg. No.: 713. Research Analyst Registration Number: INH000024073}