# IDBI Bank Q2 Profit Slump and Fairfax Deal

> IDBI Bank's Q2 profit drops 39% as Fairfax deal looms.
- Title: IDBI Bank Q2 Profit Slump and Fairfax Deal · mint | Shortify
- Summary: IDBI Bank's Q2 profit drops 39% as Fairfax deal looms. IDBI Bank's Q2 net profit fell 39% year-on-year, but the proposed ₹52,878 crore Fairfax acquisition…
- Keywords: idbi bank, fairfax financial, q2 profit, net profit, share price, stock market, india banking, government stake, private equity, money, business, IDBI
- Source: mint — https://livemint.com/market/stock-market-news/whats-next-for-idbi-bank-stock-after-q2-net-profit-slumps-39-massive-fairfax-deal-key-factors-investors-should-watch-11792335797516.html
- Author: Rajendra Saxena
- Published: 2026-10-18T15:57:23+00:00
- Read time: 1 min
- Topics: idbi bank, fairfax financial, q2 profit, net profit, share price, stock market, india banking, government stake, private equity, money, business
## Q2 Earnings Report
IDBI Bank reported a 39% year-on-year decline in standalone net profit for Q2 FY27, down to ₹2,205 crore.
## Fairfax Deal Details
Government approved sale of 60.72% stake in IDBI Bank to Fairfax Financial Holdings for ₹52,878 crore.
## Share Price Impact
IDBI Bank shares rose 0.80% to ₹84.12 but remain down 18.98% year to date.
## Profitability Factors
Net interest income rose 29% to ₹4,228 crore, but non-interest income fell 46% to ₹1,353 crore.
## Asset Quality
Gross NPAs declined to 2.12% of gross advances from 2.65% a year earlier.
## Fairfax Deal Terms
Fairfax will pay ₹81 per share, above the benchmark fair value of ₹75.99.
## Government Approval
Finance Ministry confirmed no legal restrictions under IDBI (Repeal) Act, 2003 prevent stake reduction.
## Watsa's Outlook
Watsa predicts India's economic growth will boost IDBI Bank's long-term returns.
## Key takeaway

IDBI Bank's Q2 net profit fell 39% year-on-year, but the proposed ₹52,878 crore Fairfax acquisition deal may stabilize shares.