RBL Bank Q4 Results: Net profit drops 80.5% YoY to ₹69 crore; NII down 2.3% at ₹1563 crore

RBL Bank announced its financial results for the fourth quarter and the fiscal year ended March 31, 2025, today (April 25) post-market hours, reporting a standalone net profit of ₹68.7 crore, which came in above Street estimates. However, this marked a sharp decline of 80.5% compared to the net profit of ₹353 crore reported in the same period last year.

On a sequential basis, the net profit improved, rising from ₹33 crore posted in the December quarter. For the full year FY25, the bank reported a net profit of ₹695 crore, down from ₹1,168 crore in FY24.

Net Total Income for Q4FY25 grew by 4% year-on-year to ₹2,563 crore, while for FY25, it rose 13% year-on-year to ₹10,269 crore. The bank's Net Interest Income (NII) stood at ₹1,563 crore in Q4FY25, a 2.3% decline compared to ₹1,600 crore in Q4FY24, with the net interest margin (NIM) at 4.89% as compared to ₹5.45% in Q4FY24.

For FY25, NII increased by 7% year-on-year to ₹6,463 crore, and NIM stood at 5.12%. The bank’s pre-provision operating profit for Q4FY25 was ₹861 crore, while for the full year, it grew 20% year-on-year to ₹3,627 crore. Operating expenses for Q4FY25 rose 7% year-on-year to ₹1,702 crore, and for FY25, expenses increased by 10% to ₹6,642 crore.

On the asset quality front, the Gross NPA ratio declined to 2.60% from 2.65% in Q4FY24, while the Net NPA ratio improved to 0.29% from 0.74%. 

Meanwhile, the provisions of the bank rose up sharply in the reporting quarter to ₹785 crore from ₹414 crore in Q4FY24. For FY25, provisions were ₹2,959 crore as against ₹1,778 crore. 

In reflecting on this quarter’s performance, Mr R Subramaniakumar, MD & CEO, RBL Bank remarked, “We have navigated a complex environment with resilience and focus, delivering strong momentum in secured retail and commercial banking, while deepening our base of granular, sticky deposits. With proactive prudent provisioning on the JLG loan portfolio, Bank is entering FY26 with a clean slate for the JLG business. Our secured retail and wholesale portfolios have now seen eight consecutive quarters of near-zero credit costs."

"The core engine remains strong—driven by disciplined execution, profitability-led growth, and a sharp customer focus. We’re pleased to close the year with steady performance and continued progress on our key priorities," he further added. 

Announces Dividend 

The company has proposed a dividend of ₹1 per share (face value of ₹10 each) for the year, compared to ₹1.50 per share in the previous year, subject to approval by the members at the upcoming Annual General Meeting. 

The effect of the proposed dividend has been considered in the determination of capital funds while computing the capital adequacy ratios as of March 31, 2025, the bank said. 

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