Total business rose 18% year-on-year and 5.5% quarter-on-quarter to ₹2.39 lakh crore.
Total deposits increased 16% year-on-year and 4.5% sequentially to ₹1.28 lakh crore, while total advances grew 20.3% year-on-year and 6.6% quarter-on-quarter to ₹1.11 lakh crore.
The bank’s CASA deposits also remained strong, rising 15.4% year-on-year and 4.4% sequentially to ₹34,265 crore.
The Q2 business update comes after Karur Vysya Bank reported a strong set of earnings for the June quarter, with profit and core income registering robust double-digit growth, supported by healthy business expansion and stable asset quality.
The private sector lender posted a 45% year-on-year rise in net profit to ₹756 crore, compared with ₹521 crore in the corresponding quarter last year.
Net interest income (NII) increased 32% to ₹1,422 crore from ₹1,079.5 crore a year earlier, reflecting sustained growth in the bank’s lending franchise.
Asset quality remained resilient during the quarter. Gross non-performing assets (GNPA) improved marginally to 0.74% from 0.75% in the preceding quarter, while net NPA (NNPA) remained unchanged at 0.19%.Earlier in August, Karur Vysya Bank raised its Marginal Cost of Funds Based Lending Rates (MCLR) across different tenures, with the revised rates taking effect from August 22, 2026, according to a regulatory filing.
The overnight MCLR was increased to 9% from 8.85%, while the one-month rate was raised to 9% from 8.75%.
Also Read: Tamilnad Mercantile Bank Q2 Update: Total business tops ₹1.30 lakh crore, advances jump 29%
The three-month MCLR was increased to 9.15% from 8.95%, while the six-month rate rose to 9.30% from 9.15%. The one-year MCLR was raised marginally to 9.40% from 9.35%.
Following the Q2 update, shares of Karur Vysya Bank hit an intraday high of ₹328, gaining around 2.2% from the day’s low of ₹320.90, despite a broad-based sell-off in the market on Thursday.