Financial Performance Summary Q2FY27

Profitability Metrics

  • Highest-ever quarterly PAT of ₹365 Crore, up 199.9% YoY and 15.3% QoQ
  • Highest-ever quarterly NII at ₹1,244 Crore, up 35% YoY
  • NIM stable at 8.4%, up 55 bps YoY
  • Improved Cost to Income ratio to 62%, improving by 4.9% YoY and 0.5% QoQ
  • Return on Assets (RoA) at 2.4%, up 1.4% YoY
  • Return on Equity (RoE) at 19.7%, up 12% YoY

Deposit Performance

  • Deposits crossed milestone of ₹50,000 Cr, reaching ₹50,643 Crore, up 29.2% YoY and 5.2% QoQ
  • CASA at ₹13,176 Crore, up 22.2% YoY
  • CASA ratio at 26.0%
  • Cost of Funds (CoF) for Q2FY27 at 6.9%, down 0.4% YoY
  • Bank launched ASBA facility for customers during the quarter

Asset Growth and Composition

  • Gross loan book at ₹45,699 Crore (without adjusting securitization of ₹130 Crore), up 32.1% YoY and 6.5% QoQ
  • Highest quarterly disbursement at ₹10,495 Crore, up 32.3% YoY
  • Secured book at ₹23,803 Crore, representing 52.1% share of total book
  • Secured book grew 47% YoY
  • Affordable Housing crossed ₹10,000 Crore mark, reaching ₹10,056 Crore, up 31.4% YoY

Asset Quality

  • Portfolio at Risk at 3.57% (Sep'26) versus 4.44% (Sep'25), down 88 bps YoY
  • GNPA improved to 2.10% from 2.45% YoY
  • NNPA improved to 0.31% from 0.67% YoY
  • Provision coverage ratio increased by 12% YoY to 85%
  • Group and Individual Loan Bucket-X collection efficiency improved to 99.71% for Q2FY27
  • Floating provision of ~₹181 Cr continues on books (₹30 Cr earmarked for Tier II capital, ₹130 Cr for PCR calculation, ~₹21 Cr for Other Provisions)

Capital and Liquidity

  • Capital adequacy ratio at 20.69%
  • Strong liquidity with Average Daily LCR for Q2FY27 at 131%
  • Net worth of ₹7,532 Cr as of September 30, 2026

Segment-wise Performance

  • Micro Banking assets reached ₹22,037 crore
  • Affordable Housing: ₹10,056 crore (up 31.4% YoY)
  • Micro Mortgages: ₹2,031 crore (up 85.7% YoY)
  • MSME: ₹3,871 crore (up 51.3% YoY)
  • Gold loan: ₹1,275 crore (up 209.8% YoY)
  • Agri Banking: ₹914 crore (up 79.2% YoY)
  • Two-Wheeler loan: ₹1,081 crore (up 64.8% YoY)

Capital Raising and Funding

  • Board approved capital infusion through preferential allotment of ₹409 Cr from International Finance Corporation, Bajaj Life Insurance Ltd., HDFC Life Insurance and Aditya Birla Sun Life Insurance
  • Fund raise being done at premium to current BVPS, leading to accretion of ~₹0.8 per share as of Sep'26
  • Subject to shareholders approval
  • Enhanced funding mix with increased securitization pool by ₹500 Cr in October month
  • Received first tranche of ₹500 Cr for Direct Assignment

Management and Operational Updates

  • Mr. Sanjeev Nautiyal retired early on health grounds
  • NRC actively engaged to ensure timely submission of MD candidate to regulator
  • Business added approximately 2.0 lakh customers during the quarter, up 19% QoQ
  • Bank launched brand campaign with ambassador Padma Shri awardee Mr. R Madhavan with tagline 'Nothing Small About Us'
  • Campaign expected to reach around 35 Cr viewers across TV, Print & digital
  • Expanded distribution network by adding 104 branches during H1 FY27
  • Strengthened organizational capacity through addition of 1,335 employees during H1 FY27

Guidance and Outlook

  • Bank remains on track to achieve upper end of guidance at 2.0% RoA
  • Bank will continue to invest in distribution, technology and customer engagement
  • Funding costs expected to increase gradually despite current CoF of 6.9%

Company Background

  • Scheduled Commercial Bank serving ~1 Cr customers through 880 branches across 352 districts in 26 states and Union Territories
  • Diversified portfolio spanning Affordable Housing, MSME, Agri, Vehicle, Gold, Micro-Mortgage, FIG, and Microfinance (group and individual) loans
  • Rated AA- (Stable) for long-term facilities and A1+ for short-term instruments by CARE Ratings and ICRA respectively