Intimation of Analyst/Investor Meet

Utkarsh Small Finance Bank Limited

  • Event Type: Q2 and H1 FY27 Earnings Conference Call hosted by ICICI Securities Limited.
  • Date and Time: November 04, 2026 at 06:15 p.m. IST.
  • Purpose: Discussion of Unaudited Financial Results for the quarter and half year ended September 30, 2026.
  • Management Participants: Mr. Govind Singh (MD & CEO), Mr. Sarjukumar Pravin Simaria (Executive Director), Mr. Amit Acharya (Chief Risk Officer), Mr. Manmohan Shetty (CFO), Mr. Virender Sharma (Head - Micro Banking), Mr. Sourabh Ghosh (Head - Consumer Banking), Mr. Abhay Kataria (Head - Assets).
  • Moderator: Mr. Renish Bhuva from ICICI Securities.
  • Availability: Transcript of the call was submitted to exchanges and is available on the Bank's website www.utkarsh.bank.in.
  • Compliance: The call discussed published financial results; no indication of unpublished price sensitive information being shared.

Financial Highlights Discussed

  • Q2 FY27 Performance: Net loss of INR70 crores (80% YoY reduction), Pre-provisioning operating profit (PPoP) of INR85 crores compared to operating loss of INR3 crores in Q2 FY26.
  • H1 FY27 Performance: Net loss of INR104 crores, PPoP of INR149 crores.
  • Asset Quality: Gross NPA improved to 5.9% (630 bps YoY improvement). Fresh NPA slippages (net) declined to ~INR175 crores in Q2 FY27 from INR415 crores YoY. Collection efficiency in JLG segment remained strong at 99.6%.
  • Business Growth: Total disbursements grew 52% YoY in H1 FY27. JLG disbursements increased 2%, non-JLG disbursements grew 94%. Gross loan portfolio grew 7.5% YoY and 2.3% sequentially.
  • Deposits: Total deposits grew 7% YoY, with CASA growth of 14% and retail term deposits growth of 12%. CASA ratio reached 21.4%.
  • Cost of Funds: Declined by ~50 bps YoY to 7.4% in H1 FY27.
  • Capital Adequacy: Maintained at 17%. Raised INR300 crores through Tier 2 NCDs in September 2026, with plans to raise additional INR200 crores in Q3 FY27.
  • Portfolio Diversification: JLG portfolio reduced to 24% of gross loans (from 88% in March 2020), secured lending increased to 52% from 47% a year ago.
  • Micro Banking Business Loans: Portfolio grew 146% YoY and 15% sequentially, now representing 35% of micro banking portfolio.
  • CGFMU Coverage: ~48% of microfinance book covered under credit guarantee scheme, increasing to almost 80% including H1 FY27 disbursements.
  • Operational Metrics: Employee headcount rationalized by ~1,100 YoY. Collection workforce exceeds 1,400 personnel.

Strategic Outlook and Guidance

  • Medium-term Targets: Loan book growth of 25-30%, secured lending to reach 55% of portfolio, NIMs around 8%, ROE of ~15% for FY28.
  • Expected Profitability: Management indicated return to profitability trajectory with 2-digit ROE expected by exit FY27.
  • Cost-to-Income Ratio: Aiming to improve from current 84% to 70-75% by FY27 exit and 60-65% sustainably in FY28.

Additional Notes

  • Attachment: Transcript of earnings conference call was enclosed with the regulatory filing.
  • No New Financial Data: The announcement primarily contained the transcript of already conducted earnings call; no new financial data was disclosed beyond what was discussed in the call.
  • NCLT Proceeding Update: The amalgamation of Utkarsh CoreInvest Limited with the bank is scheduled for next hearing on November 19, 2026.