What the board approved
On 14 October 2026, Canara Bank's board approved its unaudited (reviewed) standalone and consolidated results for the second quarter and half year ended 30 September 2026. The bank's statutory central auditors conducted a limited review and reported that nothing came to their attention to suggest the statements were not prepared in line with RBI norms. The filing carries the usual accompanying disclosures — related-party transactions, a cash-flow statement, a security-cover certificate and a nil statement of deviation in the use of proceeds.
Earnings and asset quality
The quarter pairs higher profit with a continued clean-up of the loan book. Standalone net profit rose year-on-year while provisions against non-performing assets were lower than a year earlier, per the filing. Asset-quality ratios moved in the same direction, with both the gross and net NPA ratios easing from a year earlier. The bank reported a provision coverage ratio of 95.34% on a standalone basis, and capital adequacy under Basel III at 17.19%, with the Common Equity Tier I ratio at 12.80%.
Capital and portfolio actions
During the half year the bank redeemed Basel III-compliant Tier II bonds on maturity and issued Basel III AT1 bonds, per the filing. On 29 August 2026 the board gave consent to sell the bank's 70% stake in Canbank Factors Ltd through transfer of the company's equity shares — a transaction the filing says is yet to be executed and subject to regulatory approvals. The filing also notes that Canara Bank Tanzania Ltd was struck off the Tanzanian registry on 21 August 2026 and excluded from consolidation. Separately, the RBI imposed a penalty during the half year under the Banking Regulation Act.
Reserve reclassification and a reshaped group
Following the discontinuation of the Investment Fluctuation Reserve requirement under a May 2026 RBI circular, the bank transferred its outstanding IFR balance to general reserves during the half year. The consolidated figures now reflect a reshaped group, with Canara Robeco Asset Management and Canara HSBC Life Insurance added as associates from October 2025 and two sponsored regional rural banks consolidated as associates.