Karur Vysya Bank Reports ₹1,942 Cr Net Profit for FY 2025

Mr. Ramesh Babu B, Managing Director & CEO, The Karur Vysya Bank said,

The bank has made highest ever profit of Rs 1,942 cr for the year ended 31.3.2025 and highest quarterly profit of Rs 513 cr for the fourth quarter continuing its strong performance, guided by our three key metrics: growth, profitability, and asset quality.

Both advances and liabilities grew 14% each during the year. We have continued to maintain strong trajectory of growth in RAM (Retail, Agriculture, and MSME) verticals throughout the year registering 20% growth.

Our total business crossed ₹1,86,569 crore with deposits crossing 1 Trillion during the 4th quarter of the year.

Balance sheet size as of March 31, 2025 was ₹ 1,19,367 crore as against ₹ 105,453 crore as of March 31, 2024, a growth of 13.19%.

Total business as on 31st March 2025 stands at ₹ 1,86,569 crore, registering a Y-o-Y growth of 14.08% i.e. up by ₹ 23,032 crore from ₹ 1,63,536 crore as on 31.03.2024. 

Total deposits as on 31st March 2025 crossed rupees one lakh crore and stands at ₹ 1,02,078 crore, registering a Y-o-Y growth of 14.55% i.e. up by ₹ 12,965 crore from ₹ 89,113 crore as on 31.03.2024.

Total advances as on 31st March 2025 stands at ₹ 84,491 crore, registering a Y-o-Y growth of 13.52% i.e. up by ₹ 10,068 crore from ₹ 74,423 crore as on 31.03.2024. 

Highlights:

• Total Business up by 14.08% YOY and 2.51% for the quarter.

• Deposits up by 14.55% YOY and 2.94% for the quarter.

• Loan Book grew at 13.53% YOY and 1.99% for the quarter.

• Loans book under RAM grew at 19.79% YOY and 3.48 % for the quarter.

• CASA up by 2.76% YOY, CASA ratio stood at 27.27%. 

• PPOP up by 19.81% YOY 17.61% QOQ 

• NIM at 4.09%, down by 11 bps YOY.

• Other Income up by 10.91% YOY. 

• Cost to Income Ratio for the period is at 47.25%.

• ROA at 1.73% for the quarter. 

• ROE at 17.21% for the quarter. 

• GNPA at 0.76%, NNPA at 0.20%. 

• Capital adequacy ratio (CRAR) stood at 18.17% with CET 1 ratio of 17.12%

FINANCIAL PERFORMANCE – 12M FY 2025:

Net profit for the year registered a robust growth of 20.99% and stood at ₹ 1,942 crore from ₹ 1,605 crore during corresponding previous year.

PPOP increased by 19.81% for FY 2025  at ₹ 3,212 crore, as compared to ₹ 2,681 crore (excluding one-off item of SR-NPI of Rs.148 crore) for corresponding previous year.

Net interest income increased by 11.57% to ₹ 4,260 crore vis-à-vis ₹ 3,818 crore for corresponding previous year. 

Net interest margin stands at 4.09% as compared to 4.20% for the corresponding previous year. 

Cost of deposits has increased by 42 bps and stands at 5.61% as compared to 5.19% for the corresponding previous year. 

Yield on advances grew to 10.15% by 20 bps as compared to 9.95% for the corresponding previous year.

Commission and fee based income has improved by 12.33% on Y-o-Y basis to ₹ 965 crore from ₹ 859 crore for the corresponding previous year. 

Operating expenses for FY 2024-25 was ₹ 2,877 crore as compared to ₹ 2,639 crore during the corresponding previous year. 

Cost to income ratio stands at 47.25% for FY 25 as against 48.26% for FY24.  

FINANCIAL PERFORMANCE – Q4 FY 2025 vs. Q4 FY 2024:

Net profit for the quarter registered a growth of 12.50% and stood at ₹ 513 crore from ₹ 456 crore during corresponding quarter of previous year. 

PPOP for the quarter increased by 17.60% is at ₹ 835 crore, as compared to ₹ 710 crore for corresponding quarter of the previous year (excluding one-off item of SR-NPI of Rs.157 crore).

Net interest income increased by 9.11% to ₹ 1,089 crore vis-à-vis ₹ 998 crore for corresponding quarter of previous year. 

Net interest margin stands at 4.05% as compared to 4.20 % for the corresponding quarter of the previous year. 

Cost of deposits has increased by 38 bps and stands at 5.74% as compared to 5.36% for the corresponding quarter of previous year. 

Yield on advances has been improved by 11 bps to 10.21% from 10.10% for the corresponding quarter of the previous year.

Commission and fee based income has improved by 10.20% on Q-o-Q basis to ₹ 270 crore from ₹ 245 crore for corresponding quarter of the previous year. 

Operating expenses for the quarter was ₹ 764 crore as compared to ₹ 757 crore during the corresponding quarter of previous year. 

Cost to income ratio stands at 47.77% (51.62% for Q4 of previous year).

CAPITAL ADEQUACY:

Capital Adequacy Ratio (CRAR) as per Basel III guidelines was at 18.17% as on March 31, 2025 (16.67% as on March 31, 2024) as against a regulatory requirement of 11.50%. Tier 1 was at 17.12% as of March 31, 2025 compared to 15.46% as of March 31, 2024. Risk-weighted Assets were at ₹ 66,261 crore as on March 31, 2025 (₹ 61,125 crore as at March 31, 2024).  

ASSET QUALITY:

Gross non-performing assets (GNPA) has improved by 64 bps and stands at 0.76% of gross advances as on March 31, 2025 (₹ 642 crore) vis a vis 1.40% as on March 31, 2024 (₹ 1,042 crore).

Net non-performing assets (NNPA) is below 1% and stands at 0.20% of net advances as on March 31, 2025 (₹ 166 crore), against 0.40% as on March 31, 2024 (₹ 298 crore).

Provision Coverage Ratio (PCR) was at 96.81% as at March 31, 2025, as against 94.85% as at March 31, 2024. 

NETWORK:

As of March 31, 2025, the Bank’s distribution network stands at 888 branches and 1 Digital Banking Unit and 2,252 ATMs / Cash Recyclers as against 838 branches and 2,262 ATMs / Cash Recyclers as of March 31, 2024. 55% of our branches are in semi-urban and rural areas. In addition, we have 352 business correspondents.