Date: July 25, 2026

Financial Performance Summary

Profit & Loss Statement (Q1 FY27)

  • Net Interest Income (NII): ₹2,695 crore, up 32% YoY (from ₹2,045 crore in Q1 FY26) and up 4% QoQ (from ₹2,582 crore in Q4 FY26)
  • Net Interest Margin (NIM): 5.9%, expanding by 47 bps YoY
  • Other Income: ₹689 crore, down 15% YoY; Core other income (excluding treasury) grew 33% YoY to ₹680 crore
  • Operating Expenses: ₹1,949 crore, up 26% YoY
  • Employee Cost: ₹1,064 crore, up 23% YoY
  • Other Operating Expenses: ₹885 crore, up 31% YoY
  • Pre-provisioning Operating Profit (PPoP): ₹1,435 crore, up 9% YoY; Core PPoP (excluding treasury) increased 41% YoY to ₹1,426 crore
  • Provisions: ₹371 crore, down 30% YoY (includes additional one-time provision of ₹23 crore for strengthening provisioning policy for MFI, PL/BL, Two-wheeler and EEFI businesses)
  • Profit After Tax (PAT): ₹796 crore, up 37% YoY
  • EPS: ₹11 for the quarter
  • BVPS: ₹279

Balance Sheet Position (as of June 30, 2026)

  • Total Assets: ₹1,97,125 crore, up 23% YoY and 3% QoQ
  • Shareholders Fund: ₹20,885 crore, up 17% YoY and 5% QoQ
  • Deposits: ₹1,57,727 crore, up 24% YoY and 3% QoQ
  • CASA deposits: ₹45,399 crore, up 22% YoY and 5% QoQ
  • CASA ratio: 29%
  • Current account deposits: ₹8,498 crore, up 34% YoY
  • Savings account deposits: ₹36,902 crore, up 19% YoY
  • Stable deposit ratio (CASA + Retail TD + Non-callable bulk TD): 79% of total deposits
  • Borrowings: ₹13,419 crore, up 26% YoY and down 3% QoQ
  • Advances: ₹1,38,572 crore, up 26% YoY and 3% QoQ
  • Gross loan portfolio: ₹1,44,250 crore, up 23% YoY and 3% QoQ
  • Secured businesses (Retail + Commercial): grew 25% YoY and 4% QoQ
  • Unsecured businesses (MFI, credit card, PL): grew 11% YoY and 5% QoQ
  • Disbursements: grew ~42% YoY
  • Yield on gross advances: 13.7% vs 14.1% in Q1 FY26

Key Ratios & Metrics

  • Return Ratios:
  • Annualized RoA: 1.7%
  • Annualized RoE: 15.6%
  • Cost Metrics:
  • Cost of Funds: 6.48%, decreased by 60 bps YoY
  • Cost-to-assets (excluding CGFMU premium): 4.0% vs 3.9% in Q1 FY26
  • Asset Quality:
  • Slippages: ₹798 crore, down 22% YoY
  • Gross NPA ratio: 2.10% (vs 2.47% at June 30, 2025)
  • Net NPA ratio: 0.76% (vs 0.88% at June 30, 2025)
  • Credit cost (including CGFMU premium): 0.8% vs 1.4% in Q1 FY26
  • Provision coverage ratio (including technical write-offs): 85%
  • CGFMU coverage on MFI book: 96%
  • Liquidity & Capital:
  • Credit Deposit ratio (excluding DFI refinance): 80%
  • Average Liquidity Coverage Ratio (LCR): 119%
  • Capital adequacy ratio: 18.9%
  • Tier I capital adequacy ratio: 17.1%

Management Commentary

Mr. Sanjay Agarwal, Founder, MD & CEO, commented that the Indian economy remained resilient despite geopolitical uncertainties in West Asia, higher currency volatility, and tighter liquidity conditions. He highlighted the Bank's strong and well-rounded performance with healthy growth in both deposits and advances alongside improved profitability, attributing this to investments made in strengthening the franchise over the last two years through expanded distribution, enhanced technology capabilities, stronger product offerings, and talent pool build-out.

Leadership Update

The Board of Directors approved the elevation of Mr. Yogesh Jain, currently Chief Operating Officer, as Deputy CEO of the Bank effective July 25, 2026. This elevation is intended to strengthen the Bank's leadership structure and management bandwidth commensurate with the growing scale of operations. Mr. Jain will continue to report to the MD & CEO.

Technology & AI Initiatives

The Bank continues to invest in technology, data, and AI focused on delivering business outcomes through accelerated growth, enhanced customer experience, improved productivity, and stronger operating leverage. Key initiatives include:

  • Rollout of AI-enabled gold loan origination platform in a controlled environment, with mobile-native version now live
  • Extending the AI platform to mortgages for unified lending ecosystem
  • AI-led transformation initiatives across vehicle finance, personal loans, credit cards on SFDC platform
  • Building an agentic AI platform with Intellect Design Arena for commercial banking loan origination
  • Setting up an AI-Centre of Excellence with 50+ use cases focused on automation and operational efficiency
  • ~70% of AML monitoring alerts reviewed and resolved through AI-based models
  • Unified lead management platform for internal and external partners
  • More than 90% of transactions processed through AU 0101 digital platform
  • Enhanced real-time payments (UPI) interface on AU 0101 version 2.0

Business Development & Recognition

  • Added ~130 net touchpoints including 16 new liability branches in Q1 FY27
  • Serves 125 lac+ customers with 58,400+ employees
  • Recognized as Top 10 - India's "Best Companies To Work For" 2026 by Great Place to Work
  • Launched new credit card portfolio with four lifecycle-based cards: AU Ananta, AU Laksya, AU Tejas and AU Prathama
  • Introduced zero-margin inward and outward remittances
  • Strengthened 3-in-1 Account proposition with Motilal Oswal Financial Services with fund-blocking feature

CSR Initiatives

  • AU Ignite: Skill training academy trained 36,000+ youth across 10 centres, with 26,000+ linked to employment
  • Bano Champion: Sports development initiative active at 75+ locations with ~6,000 children trained across 7 sports disciplines
  • AU Udyogini: Women entrepreneurship initiative nurtured 5,995 women and empowered 3,900+ women entrepreneurs
  • AU Kartavya: Supported 1,521 health checkup camps, 360+ Jal Banks, and various community development programs