Indian Overseas Bank posts record profits, plans capital raise

Indian Overseas Bank (IOB) announced impressive audited financial results for the quarter and fiscal year ended March 31, 2025, driven by significant improvements in asset quality and operating efficiency, with a record breaking quarterly net profit of INR1,051 crore. Capitalizing on this success, the board approved plans to raise equity capital up to INR4,000 crore through various means, including a follow-on public offer and qualified institutional placement, along with Tier II capital of INR1,000 crore, to fuel future growth. Key metrics such as Gross NPA ratio improved to 2.14%, while Net NPA stood at a healthy 0.37%. This performance reflects a well-executed strategy focused on financial inclusion, digital initiatives, and effective risk management.