Canara Bank , one of India's leading public sector banks, has successfully completed its annual interest payment of ₹1,178.52 crore on Basel III Compliant Additional Tier 1 Bonds. The payment was made on December 11, 2025, demonstrating the bank's commitment to timely debt servicing and regulatory compliance.

Latest Interest Payment Details

The bank has confirmed the completion of interest payment on its Non-Convertible, Taxable, Perpetual, Subordinated, Fully Paid-up, Unsecured Basel III Compliant Additional Tier 1 Bonds. The payment details are as follows:

Bond Portfolio Overview

The bank's comprehensive bond portfolio totals approximately ₹26,089.00 crore across 15 instruments, with interest rates ranging from 7.09% to 8.62%. These bonds play a crucial role in maintaining the bank's capital adequacy under Basel III norms.

Upcoming Payment Schedule

Canara Bank has previously disclosed its interest payment schedule for Basel III Compliant Tier I and Tier II Bonds covering the period from August to December 2025. The bank has outlined specific interest payment dates starting from August 26, 2025, through December 31, 2025, with corresponding record dates set for each payment.

Call Options and Maturity Details

The bank has announced its intention to exercise call options on four bonds worth ₹2,936.10 crore, subject to RBI approval:

Additionally, two bonds are scheduled to reach maturity in December 2025, with both principal and annual interest amounts to be paid on their respective maturity dates.

Regulatory Compliance

The interest payment was executed in accordance with Regulation 57 of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. The bank has emphasized that record dates are fixed to determine eligible bondholders for interest payments, aligning with Regulations 50 and 60 (Chapter – V) of the same regulations.

Investor Implications

The timely completion of this substantial interest payment reinforces Canara Bank's financial stability and commitment to honoring its debt obligations. Investors holding Basel III Compliant Bonds can expect continued transparency in payment schedules and regulatory disclosures. The bank's proactive communication regarding payment schedules and call options demonstrates its commitment to maintaining investor confidence and regulatory compliance in the evolving banking sector.

Canara Bank , one of India's leading public sector banks, has reported robust financial results for the first quarter of fiscal year 2025-26, while also announcing ambitious growth targets for the coming years.

Q1 FY 2025-26 Financial Highlights

For the quarter ended June 30, 2025, Canara Bank posted impressive year-on-year growth across key financial metrics:

• Net profit surged by 21.69% to ₹4,752.00 crore
• Global business grew by 10.98% to ₹25,63,984.00 crore
• Global deposits increased by 9.92% to ₹14,67,655.00 crore
• Gross advances rose by 12.42% to ₹10,96,329.00 crore

The bank's asset quality showed significant improvement, with the Gross Non-Performing Asset (GNPA) ratio declining by 145 basis points year-on-year to 2.69%. The Net NPA ratio also improved, dropping by 61 basis points to 0.63%.

Canara Bank's Provision Coverage Ratio (PCR) strengthened to 93.17%, marking a 395 basis points improvement compared to the same quarter last year.

Strong Performance in Key Segments

The bank witnessed robust growth in several key segments:

• RAM (Retail, Agriculture, and MSME) credit grew by 14.90%
• Retail credit surged by 33.92%
• Housing loan portfolio expanded by 13.92%
• Vehicle loans increased by 22.09%

Profitability and Efficiency Metrics

Canara Bank's profitability and efficiency metrics also showed positive trends:

• Return on Assets (ROA) improved to 1.14%, up by 9 basis points year-on-year
• Earnings per share (EPS) increased by 21.66% to ₹21.01
• The bank's slippage ratio improved by 52 basis points to 0.80%

FY 2026 Growth Targets

Looking ahead, Canara Bank has set ambitious growth targets for the fiscal year 2026:

• Overall credit growth of at least 12%
• Corporate loan growth of 10%
• RAM sector growth to continue at 15%
• Return on Assets (ROA) target of 1.05%

The bank expects its Net Interest Margin (NIM) to remain around 2.5% in the next quarter, with potential gradual improvement in Q3 and Q4, contingent on the absence of further rate cuts.

Management Commentary

K. Satyanarayana Raju, Managing Director and CEO of Canara Bank, commented on the results and future outlook: "Our strong Q1 performance reflects the bank's resilience and strategic focus. We are committed to maintaining this growth momentum while ensuring robust asset quality. Our ambitious targets for FY26 underscore our confidence in the bank's potential and the broader economic recovery."

Conclusion

Canara Bank's impressive Q1 FY 2025-26 results and ambitious future targets demonstrate the bank's strong position in the Indian banking sector. With its focus on growth across diverse segments, improved asset quality, and enhanced profitability metrics, Canara Bank appears well-positioned to capitalize on the ongoing economic recovery and achieve its long-term objectives.