Earnings v/s Returns: How India’s Top 10 profitable private banks fared in 5 years

India’s private banking sector is witnessing a shift in leadership and performance, as FY25 financials reveal a striking contrast between consistent performers and comeback stories. HDFC and ICICI Bank continue to dominate with massive profits and robust stock returns, solidifying their leadership.

Meanwhile, once-troubled lenders like IDBI and Yes Bank are staging smart recoveries, signalling a shift in market dynamics. Data from ACE Equity highlights India’s 10 most profitable private banks and their performance in earnings and stock returns over the last 5 years.

HDFC Bank remains the most profitable private bank in India, with a net profit of Rs 73,440 crore in FY25, its profit is up 12% year-on-year (YoY) and 169% over the last five years. Its stock price has surged 26% in the past year and 114% over five years, contributing to a massive market capitalization of Rs 14.75 lakh crore as of May 27, 2025.

ICICI Bank follows with a net profit of Rs 54,419 crore in FY25, showing a strong 21% YoY growth and a remarkable 385% rise over five years. Its stock has risen 28% in one year and 354% in five years, bringing its market cap to Rs 10.33 lakh crore.

Axis Bank posted a net profit of Rs 28,112 crore in FY25. While YoY growth was modest at 6%, its five-year profit growth stands at a staggering 1396%. However, its stock rose only 2% in the past year despite a solid 210% five-year return, with a market cap of Rs 3.71 lakh crore.

Kotak Mahindra Bank reported Rs 21,946 crore in net profit for FY25, up 22% YoY and 155% over five years. Its stock gained 21% in the last year and 71% over five years, giving it a market cap of Rs 4.13 lakh crore.

IDBI Bank has made a significant turnaround, moving from a Rs 12,847 crore loss in FY20 to a Rs 7,589 crore profit in FY25. Its YoY profit growth was 32%, and stock performance has been strong, with a 3% one-year return and an impressive 360% return over five years. The bank now holds a market cap of nearly Rs 1 lakh crore.

The Federal Bank reported Rs 4,201 crore in net profit in FY25, with 7% YoY and 171% five-year profit growth. Its stock has rewarded investors with a 24% one-year return and an outstanding 394% return over five years, reflecting strong fundamentals and market confidence.

Bandhan Bank delivered an Rs 2,745 crore net profit in FY25, up 23% YoY. However, it has faced challenges, with an 11% decline in stock price over the past year and a 23% drop over five years. Its market cap stands at Rs 27,217 crore.

IndusInd Bank posted Rs 2,575 crore in net profit in FY25, but this marked a sharp 71% drop YoY. The bank's stock price has fallen 44% in one year, though it has grown 123% over five years. Its current market cap is Rs 63,964 crore.

Yes Bank showed the highest YoY profit growth of 90%, reporting Rs 2,447 crore in FY25 after a loss of Rs 16,433 crore in FY20. Despite this turnaround, this stock has declined 8% in the past year and 23% over five years. The bank has a market cap of Rs 66,265 crore.

AU Small Finance Bank reported a net profit of Rs 2,106 crore in FY25, with a 37% YoY increase and 212% five-year profit growth. Its stock gained 10% in one year and 255% over five years, with a latest market cap of Rs 52,208 crore.