Company Overview
ESAF Small Finance Bank Limited (Promoted by Dr. Kadambelil Paul Thomas and ESAF Financial Holdings) commenced operations on March 10, 2017, and became a Scheduled Commercial Bank in December 2018. The Bank is committed to financial inclusion with a focus on retail segment, MSMEs, and underserved segments.
Financial Performance Highlights (Q2 FY27 vs Q2 FY26)
Total Business: ₹53,450 crore (Not comparable as previous period figure not provided)
Gross Advances: ₹23,934 crore, up 25% YoY (from ₹19,137 crore in Q2 FY26)
Deposits: ₹28,466 crore, up 24% YoY (from ₹22,894 crore in Q2 FY26)
CASA: ₹6,645 crore, up 10% YoY (from ₹6,046 crore in Q2 FY26)
CASA Ratio: 23.3%
Net Interest Income: ₹643 crore, up 73% YoY (from ₹372 crore in Q2 FY26)
Operating Profit: ₹362 crore vs ₹93 crore in Q2 FY26
Net Profit: ₹160 crore vs net loss of ₹116 crore in Q2 FY26
Earnings Per Share (Diluted): ₹3.10 vs (₹2.24) in Q2 FY26
Net NPA: 0.3% vs Not specified percentage but Net NPA amount was ₹696 crore in Q2 FY26
RoA/RoE: 1.5%/26.5% vs (1.5)%/(21.3)% in Q2 FY26
CRAR: 24.1% vs 22.4% in Q2 FY26
Cost to Income: 57.7% vs 81.7% in Q2 FY26
Asset Quality Metrics
Gross NPA: ₹679 crore vs ₹1,635 crore in Q2 FY26
Net NPA: ₹80 crore vs ₹696 crore in Q2 FY26
PCR: 94.0% vs 74.4% in Q2 FY26
Yield on Advances: 17.5% vs 15.4% in Q2 FY26
Cost of Deposits: 7.0% vs 7.3% in Q2 FY26
NIM: 8.2% vs 5.9% in Q2 FY26
NPA Movement (₹ Crores)
| Description | Q2FY27 | Q2FY26 |
| Opening Gross NPAs | 1,253.3 | 1,363.6 |
| Additions | 87.1 | 341.9 |
| Reductions (Recovery) | 10.8 | 14.4 |
| Reductions (Upgradations) | 25.3 | 28.2 |
| Reductions (Write-offs) | 625.7 | - |
| Reductions (Sale to ARC) | - | 28.3 |
| Closing Gross NPAs | 678.6 | 1,634.6 |
| Closing Net NPAs | 79.9 | 696.4 |
| Recovery from Technical write offs and Sale to ARC | 31.7 | 30.3 |
Detailed Profit & Loss Statement (Q2 FY27)
Interest Income: ₹1,174.71 crore, up 43.3% YoY
Interest Expense: ₹531.46 crore, up 18.6% YoY
Net Interest Income: ₹643.25 crore, up 73.0% YoY
Other Income: ₹213.33 crore, up 47.0% YoY
Net Total Income: ₹856.58 crore, up 65.7% YoY
Employee Benefits Expense: ₹180.05 crore, up 13.8% YoY
Depreciation and Amortization: ₹16.79 crore, up 1.3% YoY
Other Expenses: ₹297.35 crore, up 19.5% YoY
Operating Expense: ₹494.19 crore, up 16.6% YoY
Pre-Provision Operating Profit: ₹362.39 crore vs ₹93.25 crore in Q2 FY26
Provisions: ₹147.89 crore, down 40.5% YoY
Profit Before Tax: ₹214.50 crore vs loss of ₹155.42 crore in Q2 FY26
Tax Provisions: ₹54.33 crore vs tax credit of ₹39.61 crore in Q2 FY26
Profit After Tax: ₹160.17 crore vs loss of ₹115.81 crore in Q2 FY26
Other Income Breakdown (Q2 FY27)
Loan Processing Fees: ₹65.68 crore, up 32.3% YoY
Profit on sale of investments (Net): ₹12.02 crore vs loss of ₹5.07 crore in Q2 FY26
Profit on revaluation of investments (Net): ₹(17.21) crore vs loss of ₹5.27 crore in Q2 FY26
Recovery on written off loan: ₹1.08 crore vs ₹9.29 crore in Q2 FY26
PSLC Income: ₹64.80 crore, up 195.4% YoY
Account maintenance charge: ₹8.23 crore, up 54.2% YoY
Third Party Product Income: ₹25.96 crore, down 21.7% YoY
Other charges: ₹52.78 crore, up 46.0% YoY
Half Yearly Performance (H1 FY27 vs H1 FY26)
Net Interest Income: ₹1,227.33 crore, up 63.7% YoY
Net Total Income: ₹1,688.90 crore, up 54.9% YoY
Operating Expense: ₹977.53 crore, up 12.1% YoY
Pre-Provision Operating Profit: ₹711.37 crore vs ₹218.17 crore in H1 FY26
Provisions: ₹389.85 crore, down 19.3% YoY
Profit After Tax: ₹240.26 crore vs loss of ₹197.03 crore in H1 FY26
Earnings Per Share (Diluted): ₹4.65 vs (₹3.81) in H1 FY26
Balance Sheet Position (as of September 2026)
Capital: ₹516.12 crore
Reserves and Surplus: ₹1,507.12 crore
Deposits: ₹28,465.63 crore
Borrowings: ₹1,783.67 crore
Total Liabilities: ₹32,689.66 crore
Advances: ₹23,334.94 crore
Investments: ₹6,369.93 crore
Fixed Assets: ₹586.46 crore
Total Assets: ₹32,689.66 crore
Business Strategy Updates
M.A.R.G Strategy: Focus on secured lending pillars - MSME, Agriculture, Retail, and Gold loans
Secured Advances: 64% of portfolio, grew 32% YoY
MARG Portfolio: Grew 38% YoY and 8% QoQ
Emerging Household Portfolio: Grew 134% YoY and 5% QoQ (unsecured lending restricted to individual loans only)
Micro Finance: Declined 65% YoY and 28% QoQ as part of strategy to graduate customers to Emerging Household segment
Retail Share of Deposits: 89% (₹25,475 crore)
ESG and Social Initiatives
ESG Rating: CareEdge ESG Rating upgraded to 77.6 from 75.4 (above industry median of 63.3)
MoU with KILA: Signed for Financial Literacy and Inclusion, capacity building for Local Self-Governments
Financial & Digital Literacy Programs: 636 programs conducted with 7,926 participants in Q2 FY27
Triple Bottom Line Approach: Focus on People, Planet, and Prosperity
Digital and Technology Initiatives
Digital Channels: Internet banking, mobile banking, SMS alerts, bill payments
Digitalised Central CPU: For Micro Loans using credit bureau and customer data analytics
Cashless Disbursement: Implemented for loans
E-SIGN: Introduced for micro loan disbursals
24/7 Call Center: Multi-lingual support
Awards and Recognitions (2025-26)
Most Impactful Solar Energy Initiative of the Year
Tusker Awards 2025
Best UPI-Based Digital Payment Solution - PayTech
Best Bank in MSME Acceleration
Digital Transformation Excellence Award
Management Details
Managing Director and CEO: Dr. Kadambelil Paul Thomas
Company Secretary and Compliance Officer: Ranjith Raj P
Investor Relations Contacts: Ranjith Raj P (investor.relations@esaf.bank.in) and Swapnil Moray (swapnil.vijaymoray@esaf.bank.in)