Federal Bank has released its Investor Presentation for the quarter ended December 31, 2025. The presentation details the bank's financial performance, highlighting a sustained improvement in profitability and efficiency. Key operating metrics such as ROA (Return on Assets) and ROE (Return on Equity) have shown positive trends.

The bank has achieved its highest ever operating profit and fee income. Asset quality has reached a decadal best with Gross NPA and Net NPA at 1.72% and 0.42% respectively, supported by a contained credit cost of 47 basis points. The Net Interest Margin (NIM) has recovered to December 2024 levels.

Deposit mobilization continues to be strong, with CASA (Current Account Savings Account) growing on a QoQ (Quarter-on-Quarter) basis. The advances book has been reshaped for better yield, with growth diversified across various segments including Retail, Business Banking, and Corporate and Institutional Banking. Fee income momentum is accelerating, driven by a diversified and granular fee income stream.

The bank continues to invest in expanding its pan-India footprint and driving digitization. Digital transactions now constitute over 93.8% of total transactions. Initiatives like the digital assistant 'Feddy', corporate digital channels, and digital lending are key focus areas. The bank also highlighted its strong capital position, supporting a self-funded growth strategy, and updated on its ESG (Environmental, Social, and Governance) performance and commitments.