The bank said it had delivered on all of its key performance targets for the financial year, despite a backdrop of geopolitical uncertainty and strong competition for deposits. Management noted that it met, and in several cases exceeded, the 18–19 guidance parameters it had set at the beginning of FY26.
Executives reiterated their broader ambition to expand both scale and profitability, with the aim of improving the bank’s ranking among public sector lenders from 11th to 9th place. They said this objective remains on track, supported by a strategy focused on sustainable and quality-driven growth rather than rapid balance sheet expansion.
A major part of this strategy is branch expansion under “Project 321”. The initiative forms the first phase of a board-approved plan to open 1,000 new branches over five years. So far, 183 of the planned 321 branches in Phase 1 are already operational. The bank highlighted that, unlike some peers, it is pursuing organic expansion rather than consolidating its branch network.
Management also pointed to changes in ownership structure following an Offer for Sale during the year, which reduced the Government of India’s stake to 73.60%, bringing the bank in line with minimum public shareholding norms. Foreign and domestic institutional investor participation has risen notably in recent years.
On asset quality, the bank reported recoveries of ₹1,423 crore from written-off accounts in FY26, exceeding the previous year’s figure. It said recoveries from a large write-off pool remain a priority, with annual targets set between ₹1,200 crore and ₹1,500 crore over the medium term.
In a precautionary move, the bank created a ₹200 crore provision in the fourth quarter to address potential global geopolitical risks, repurposing part of its earlier pandemic-related buffer into a forward-looking contingency reserve.
