Press Release

Karnataka Bank Ltd. Your Family Bank. Across India. Regd. & Head Office Phone : 0824-2228222 Post Box No.599, Mahaveera Circle E-Mail : comsec@ktk.bank.in Kankanady Website : www.karnatakabank.bank.in Mangaluru – 575 002 CIN : L85110KA1924PLC001128 SECRETARIAL DEPARTMENT HO:SEC:101:2026-27 Date: 29.07.2026 The Manager The Manager Listing Department Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1, Block G Phiroze Jeejeebhoy Towers Bandra-Kurla Complex, Bandra (E) Dalal Street MUMBAI - 400051 MUMBAI - 400001 NSE Scrip Code: KTKBANK BSE Scrip Code: 532652 Madam / Dear Sir, Sub: Press Release – Karnataka Bank records highest ever quarterly Net Profit of Rs. 418.95 Crores and an all-time high of Rs. 1,97,006.62 Crores in Aggregate Business Pursuant to Regulation 30 and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we enclose herewith a copy of the press communiqué released by the Bank on 29.07.2026 on the subject matter. This is for your kind information and dissemination. Yours faithfully, Sham K Company Secretary & Compliance Officer Regd. & Head Office Phone :0824-2228515 P. B. No.599, Mahaveera Circle E-Mail : pr@ktk.bank.in Kankanady Website : www.karnatakabank.bank.in Mangaluru - 575 002 CIN : L85110KA1924PLC001128 MEDIA MARKETING & PUBLIC RELATIONS DEPARTMENT HO/MM&PR/PR/No.10 /OR.No.475 /2026-27 Date: 29-07-2026 PRESS RELEASE KARNATAKA BANK RECORDS HIGHEST - EVER QUARTERLY NET PROFIT OF Rs. 418.95 CRORES AND AN ALL-TIME HIGH OF Rs.1,97,006.62 CRORES IN AGGREGATE BUSINESS In the Meeting of the Board of Directors held today at Mangaluru, the Board approved the financial results for the quarter ended June 30, 2026. Bank's Aggregate Deposits stood at Rs. 1,10,396.41 crores as on 30th June 2026, registering a YoY growth of 7% from Rs.1,03,242.17 crores as on 30th June 2025, while Retail Term Deposits (RTD) was Rs. 69,410.29 crores as on 30th June 2026, as against Rs. 65,786.24 crores, with a 6% YoY increase from 30th June 2025. Gross Advances stood at Rs. 86,610.21 crores registering YoY growth of 17%, as against Rs. 74,267.02 crores as on 30th June 2025. Bank's NIM has improved from 2.82% for the quarter ended 30th June 2025, to 3.20% for the quarter ended 30th June 2026, thereby registering a 38bps Yo Y increase. Bank's Net Profit for the quarter ended 30th June 2026 was Rs.418.95 crores as against Rs. 292.40 crores for the quarter ended 30th June 2025, which is a 43% YoY improvement. Consequently, Bank's ROA has improved from 0.97% for the quarter ended 30th June 2025, to 1.29% for the quarter ended 30th June 2026. Asset quality has improved significantly, with GNPA % improved by 88 bps to 2.58% from 3.46% as compared to June 2025. Similarly, the NNPA % also improved by 57 bps to 0.87% from 1.44% as compared to June 2025. The PCR (excluding TWO) improved to 67.03% in June 2026 from 59.18% in June 2025. Announcing the results at the Bank's Head Quarters at Mangaluru, Shri Raghavendra S. Bhat, Managing Director & CEO, said, "The Bank has achieved an all-time high aggregate business of Rs.1,97,006.62 crore and a net profit of Rs. 418.95 crore for Ql FY27, reflecting the Bank's unwavering commitment to sustainable growth, prudent financial management, and customer-centric banking. The steadfast support and guidance of the Chairman and the Board, together with the continued trust of our customers, the confidence of our shareholders, and the relentless efforts of our employees have been the driving force behind our progress. The asset quality of the Bank has also improved significantly, supported by sound lending practices, effective recovery mechanisms, and sustained monitoring of the loan portfolio with GNPA improving YoY by 88 bps to 2.58% and NNPA improving YoY by 57 bps to 0.87%. Further, Bank has improved its CRAR from 20.46% as on 30th June 2025 to 21.10% as on 30th June 2026, reflecting its strong capital position and continued commitment to financial resilience. Our digital transformation journey continues to gather momentum as we strengthen our technology capabilities to deliver innovative, secure, and customer-centric banking solutions. By embracing digital innovation and leveraging data-driven insights, we are simplifying customer experiences, enhancing operational efficiency, and building a future-ready bank that is well positioned to meet the evolving expectations of our customers. As we move forward, we remain committed to building on our strengths, expanding our business responsibly, and creating long-term value for all· our stakeholders. With a clear strategic vision, disciplined execution, and an unwavering focus on trust, innovation, and service excellence, we are confident of sustaining our growth momentum and reinforcing Karnataka Bank's position as a trusted financial partner." Smt. Biji S. S., Executive Director, said, "Our continued progress reflects the disciplined execution, strong operational framework, and unwavering commitment of our employees across the organization. We remain focused on delivering consistent performance while creating greater value for our customers and stakeholders. As we advance our digital transformation journey, we are leveraging technology to simplify processes, enhance customer convenience, and improve service delivery across all channels. Our investments in digital capabilities, process optimization, and innovation are enabling us to build a more agile, efficient, and customer-centric organization. Alongside our digital initiatives, we continue to strengthen our business fundamentals through prudent risk management, enhanced operational resilience, and a steadfast focus on governance and compliance. Our customer-first approach remains at the heart of everything do, as we strive to deliver personalized solutions and foster enduring relationships. Looking ahead, we will continue to focus on sustainable growth, operational excellence, and innovation, while remaining committed to the highest standards of integrity and service. With the collective efforts of our employees and the continued trust of our customers, we are confident of delivering consistent value and contributing meaningfully to the Bank's long-term success". PERFORMANCE HIGHLIGHTS t.in Crore Ql Ql Variation(%) Q4 Variation(%) (Ql-FY27to (Ql-FY27to FY26. Parameters FY27 FY26 Ql-FY26) FY26 Q4-FY26) Aggregate Business (Gross) 1,97,006.62 1,77,509.19 10.98% 1,92,118.67 2.54% 1,92,118.67 Gross Advances 86,610.21 74,267.02 16.62% 83,339.92 3.92% 83,339.92 Total Deposits 1,10,396.41 1,03,242.17 6.93% 1,08,778.75 1.49% 1,08,778.75 CASA 35,787.30 31,835.26 12.41 % 36,559.66 -2.11% 36,559.66 CASA Ratio (%) 32.42 30.84 158 bps 33.61 -119 bps 33.61 Operating Profit 580.34 467.29 24.19% 615.04 -5.64% 1,974.17 Net Profit 418.95 292.40 43.28% 408.19 2.64% 1,310.50 Net Interest Income 938.29 755.60 24.18% 842.95 11.31% 3,118.73 Net Interest Margin(%) 3.20 2.82 38 bps 3.07 13 bps 2.88 Return on Assets (%) 1.29 0.97 32 bps 1.27 2 bps 1.05 Cost to Income Ratio (%) 55.14 58.05 -291 bps 50.47 467 bps 56.34 Amount 2,233.25 2,571.09 -13.14% 2,320.93 -3.78% 2,320.93 GrossNPA (%) 2.58 3.46 -88 bps 2.78 -20 bps 2.78 Amount 736.38 1,049.53 -29.84% 803.22 -8.32% 803.22 NetNPA (%) 0.87 1.44 -57 bps 0.98 -11 bps 0.98 PCR(%) 84.70 81.11 359 bps 83.54 116 bps 83.54 [Including TWO] PCR(%) 67.03 59.18 785 bps 65.39 164 bps 65.39 [Excluding TWO] Pallavi T.S CHIEF MANAGER & PUBLICRELATIONS OFFICER