Shares of Punjab National Bank (PNB) were trading lower today after the lender reported its Q1 business updates. PNB shares fell 2% to Rs 111.60 on Thursday against the previous close of Rs 113.85 on BSE. Market cap of the lender stood at Rs 1.29 lakh crore.
The lender on Wednesday announced a year-on-year growth of 11.6% in its gross business for the first quarter of fiscal year 2025, reaching a total of Rs 27.19 lakh crore. This includes a quarter-on-quarter increase of 1.4%. The bank’s domestic business recorded a growth of 11.1% annually, totalling 26.17 lakh crore, signifying a 1.5% sequential growth.
Additionally, global deposits increased by 12.8% year-on-year to 15.89 lakh crore, with domestic deposits rising to 15.37 lakh crore, showing a 12.2% increase. These figures underscore PNB’s robust performance in a competitive market, reflecting its strategic focus on expanding its customer base and enhancing service delivery.
The state-owned lender reported a 51.7% Y-o-Y growth in net profit for the March 2025 quarter. Net Profit for Q4’FY25 rose to Rs 4,567 crore against Rs 3,010 Crore in Q4FY’24. The PNB board also approved fund raise of up to Rs 8,000 cr via issuance of Basel III compliant bonds. The board declared a dividend of Rs 2.9 per share.
Net Interest Income (NII) rose to Rs 10,757 Crore in Q4 FY’25 from Rs 10,363 crore in Q4 FY’24. Return on Assets (RoA) improved by 25 bps to 1.02% in Q4 FY’25 from 0.77% in Q4 FY’24.
In a separate move, PNB has waived penalty charges for non-maintenance of minimum average balance (MAB) on all savings accounts, effective from July 1, 2025. This initiative is particularly aimed at benefiting priority sectors like women, farmers, and low-income households by removing barriers to maintaining savings accounts.
Ashok Chandra, Managing Director and CEO of PNB, stated, “The waiver reflects the banks commitment to inclusive banking and is expected to reduce financial stress on customers while encouraging broader participation in the formal banking system.”
This step is part of PNB’s broader strategy to foster a more inclusive financial environment, which could potentially lead to increased customer engagement and loyalty.
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