Key Business Highlights & Updates

  • Management Change: Mr. Sanjeev Nautiyal, MD & CEO, decided to take early retirement due to health reasons, effective September 1, 2026. The Nomination and Remuneration Committee (NRC) is actively engaged to ensure timely submission of an MD candidate to the regulator. Carol Furtado is serving as the Interim CEO and Whole Time Director.
  • Capital Raise: A preferential allotment amounting to ₹409 Crore was approved by the Board, subject to shareholders' approval. Holding the Risk-Weighted Assets (RWA) constant at September 2026 levels, this capital raise would increase the Capital to Risk-Weighted Assets Ratio (CRAR) by approximately 1.2% on a proforma basis from 20.69%.
  • Branch Expansion: The Bank added over 100 branches in H1FY27, taking its total presence to 880 branches.
  • Deposit Growth: Total deposits crossed ₹50,000 Crore for the first time, reaching ₹50,643 Crore, a growth of 29.2% Year-on-Year (YoY). The Cost of Funds (CoF) was maintained at 6.9%, and the CASA ratio stood at 26.0%.
  • Advances Growth: Gross advances grew by 32.1% YoY. The share of secured advances increased to 52% of the total loan book.
  • Disbursements: The quarter saw the highest quarterly disbursement at ₹10,495 Crore.
  • Digital Initiative: The Bank introduced the ASBA facility for its customers.

Key Financial Highlights Q2FY27

| Metric | Q2FY27 | Q2FY26 | YoY Growth | Q1FY27 | QoQ Growth |

| Net Interest Income (NII) | ₹1,244 Cr | ₹922 Cr | 35% | ₹1,186 Cr | 5% |

| Net Interest Margin (NIM) | 8.4% | 7.9% | +55 bps | 8.5% | -6 bps |

| Pre-Provision Operating Profit (PPoP) | ₹594 Cr | ₹395 Cr | 50% | ₹548 Cr | 8% |

| Profit After Tax (PAT) | ₹365 Cr | ₹122 Cr | 200% | ₹317 Cr | 15% |

| Return on Assets (RoA) | 2.4% | 1.0% | +138 bps | 2.2% | +20 bps |

| Return on Equity (RoE) | 19.7% | 7.7% | +1200 bps | 18.2% | +152 bps |

Key Financial Highlights H1FY27

| Metric | H1FY27 | H1FY26 | YoY Growth |

| Net Interest Income (NII) | ₹2,431 Cr | ₹1,778 Cr | 37% |

| Net Interest Margin (NIM) | 8.5% | 7.8% | +68 bps |

| Pre-Provision Operating Profit (PPoP) | ₹1,142 Cr | ₹756 Cr | 51% |

| Profit After Tax (PAT) | ₹682 Cr | ₹225 Cr | 203% |

| Return on Assets (RoA) | 2.3% | 0.9% | +134 bps |

| Return on Equity (RoE) | 19.0% | 7.2% | +1174 bps |

Profit & Loss Statement (₹ Crore)

| Particulars | Q2FY27 | Q2FY26 | YoY Growth | Q1FY27 | QoQ Growth | H1FY27 | H1FY26 | YoY Growth |

| Interest Earned | 2,151 | 1,682 | 28% | 2,025 | 6% | 4,176 | 3,301 | 26% |

| Other Income | 300 | 256 | 17% | 257 | 17% | 557 | 505 | 10% |

| Total Income | 2,450 | 1,939 | 26% | 2,282 | 7% | 4,732 | 3,806 | 24% |

| Interest Expended | 906 | 761 | 19% | 839 | 8% | 1,745 | 1,524 | 15% |

| Personnel Expenses | 513 | 445 | 15% | 498 | 3% | 1,011 | 859 | 18% |

| Operating Expenses | 437 | 338 | 29% | 398 | 10% | 835 | 669 | 25% |

| Total Cost | 1,857 | 1,544 | 20% | 1,735 | 7% | 3,591 | 3,052 | 18% |

| Pre Provision Operating Profit | 594 | 395 | 50% | 547 | 8% | 1,142 | 756 | 51% |

| Credit Cost | 103 | 235 | -56% | 127 | -19% | 230 | 460 | -50% |

| Profit Before Tax | 491 | 160 | 206% | 421 | 17% | 911 | 295 | 209% |

| Tax | 126 | 39 | 226% | 104 | 21% | 230 | 71 | 226% |

| Net profit for the period | 365 | 122 | 200% | 317 | 15% | 682 | 225 | 203% |

Asset Quality

  • Credit Cost: 0.7% of Average Total Assets (ATA).
  • Provision Coverage: A floating provision of approximately ₹181 Crore continues to be on the books. Of this, ₹30 Crore is earmarked toward Tier II capital, ₹130 Crore is earmarked for Provision Coverage Ratio (PCR) calculation, and ~₹21 Crore is earmarked for Other Provisions.
  • Portfolio at Risk (PAR): The presentation includes detailed PAR 0, 30+, and 90+ figures for various loan segments (Microfinance Group Loan, Individual Loan, Affordable Housing, Micro Mortgage, etc.), showing generally stable asset quality.
  • Collection Efficiency: Bank-level collection efficiency remained healthy.

Capital Adequacy (as of Sep'26)

  • Credit Risk Weighted Assets: ₹35,149 Crore
  • Tier I Capital: ₹6,850 Crore
  • Tier II Capital: ₹423 Crore (includes ₹30 Cr from floating provision)
  • Total Capital: ₹7,273 Crore
  • CRAR: 20.69% (Tier I: 19.49%, Tier II: 1.20%)

Balance Sheet (₹ Crore)

| Particulars | Sep'25 | Jun'26 | Sep'26 |

| Liabilities | | | |

| Deposits | 39,211 | 48,129 | 50,643 |

| Borrowings | 2,962 | 3,806 | 3,026 |

| Other Liabilities and Provisions | 1,118 | 1,579 | 1,435 |

| Total Liabilities | 49,614 | 60,658 | 62,635 |

| Assets | | | |

| Cash and Balances with RBI | 2,374 | 2,716 | 2,911 |

| Balance with Banks and Money at Call | 312 | 1,805 | 71 |

| Investments | 11,603 | 12,511 | 13,126 |

| Advances | 33,808 | 41,980 | 44,753 |

| Fixed Assets | 490 | 504 | 534 |

| Other Assets | 1,027 | 1,143 | 1,240 |

| Total Assets | 49,614 | 60,658 | 62,635 |

Loan Book & Disbursement Details (Sep'26)

The Gross Loan Book (GLB) stood at ₹45,699 Crore (including securitization of ₹130 Cr), growing 32% YoY and 7% QoQ.

  • Segment-wise GLB (₹ Cr): Microfinance (11,274), Non-Microfinance (4,384), Individual Loans (6,380), Affordable Housing (10,056), Micro Mortgage (2,031), MSME (3,871), FIG Lending (3,615), Vehicle Loan (1,081), Gold Loan (1,275), Agri Banking (914), Others (817).
  • Segment-wise Disbursement (Q2FY27, ₹ Cr): Total ₹10,495 Cr. Microfinance (2,338), Non-Microfinance (1,058), Individual Loans (1,310), Affordable Housing (1,004), Micro Mortgage (323), MSME (729), FIG Lending (2,456), Vehicle Loan (203), Gold Loan (507), Agri Banking (167), Others (401).
  • The secured share of the loan book increased to 52% from 47% a year ago.

Digital & Other Initiatives

  • The Bank launched a new brand campaign in September 2026.
  • Digital achievements include Robotic Process Automation (RPA) saving 62,976 manhours in Q2FY27 and Data Analytics contributing to additional business volume of ~₹1,047 Cr in H1FY27.
  • Services like UPI, UPI Autopay, UPI Lite, AePS, and ASBA for IPOs were highlighted.

Corporate Governance & ESG

  • The Board composition and profiles of key management personnel are provided.
  • The Bank has an ESG rating from ICRA.
  • Corporate Social Responsibility (CSR) initiatives were undertaken, impacting over 1.29 lakh beneficiaries.