<h1>Public sector lender reports Q-on-Q profit rise from stake sale, raises FY26 credit growth target; reviews remaining acquisition stake</h1> A major public sector lender reported a quarter-on-quarter net profit increase driven largely by a one-time gain from selling a stake in a rescued private bank, and raised its FY26 credit growth target after policy-driven consumption incentives. Regulatory and capital matters noted include excess government securities investments, a recent capital raise, limited expected impact from a prospective transition to expected credit loss provisioning, and maintained asset-quality metrics with low gross NPA ratios. The bank flagged potential revisions to loan-growth and net interest margin guidance contingent on future central bank rate cuts and noted ongoing review of its residual stake in the acquired bank.