NII growth improves as NIM rises: Interest income was flat at Rs 7650.90 crore, while interest expenses declined 6% to Rs 5013.20 crore in Q4FY2026. NII improved 16% to Rs 2637.70 crore in Q4FY2026.

Margins rise: The bank has shown 60 bps YoY decline in cost of deposits to 5.50%, while yield on advances declined 90 bps YoY to 9.20% in Q4FY2026. NIM has improved 20 bps YoY to 2.70%, while rose 10 bps qoq to 2.70% in Q4FY2026.

Core fee income up: The non-interest income of the bank declined 1% to Rs 1730.17 crore in Q4FY2026. Bank has posted 4% growth in core fee income to Rs 1436 crore, while the treasury income eased 37% to Rs 83 crore and forex income fell 7% to Rs 212 crore causing 1% decline in the overall non-interest income.

Expense ratio improves: The operating expenses of the bank increased 2% to Rs 2749.63 crore, as other expenses moved up 1% to Rs 1709.15 crore, while employee expenses rose 2% to Rs 1040.48 crore in Q4FY2026. Cost to income ratio improved to 63.0% in Q4FY2026 compared with 67.3% in Q4FY2025.

Operating Profit moved up 23% to Rs 1618.24 crore.

Provisions and contingencies decline: The bank has shown 41% decline in provisions to Rs 188 crore. The loan loss provisions fell 91% to Rs 85 crore, while the bank has written back investment provisions of Rs 446 crore. However, the standard asset provisions rebounded to Rs 548 crore in Q4FY2026.

PBT increased 44% to Rs 1430.69 crore in Q4FY2026. Effective tax rate declined to 25.3% in Q4FY2026 from 25.9% in Q4FY2025. Net Profit increased 45% YoY to Rs 1068.42 crore in Q4FY2026.

Asset quality improves: The bank has improved asset quality in Q4FY2026.

Business Highlights:

Business growth improves: The business of the bank has increased at an accelerated pace of 12% YoY to Rs 592414 crore end March 2026, as advances growth improved to 11% to Rs 273445 crore and deposits growth also galloped to 12% to Rs 318969 crore at end March 2026. With the faster growth in deposits, the credit to deposit ratio eased to 85.7% at end March 2026 from 86.5% at end March 2025.

CASA deposits ratio improves: The CASA deposits of the bank increased 15% YoY to Rs 111959 crore at end March 2026. The current account deposits moved up 21% to Rs 40809 crore, while saving account deposits increased 10% to Rs 58674 crore end March 2026. The CASA ratio improved to 35.1% at end March 2026 compared to 34.3% at end March 2025, while increased from 34.0% at end December 2025. The term deposits have increased 11% to Rs 207010 crore end March 2026.

Strong loan growth: Within the loan book, the retail loans increased 5% YoY to Rs 126056 crore at end March 2026, while MSME credit increased 15% to Rs 69947 crore. The corporate credit has also increased 20% to Rs 77442 crore end March 2026. The share of retail, agriculture and MSME (RAM) eased to 71.7% at end March 2026 compared to 73.7% at end March 2025, while that of corporate loans rose to 28.3% at end March 2026 compared to 26.3% at end March 2025.

Investment book of the bank increased 4% YoY to Rs 88140 crore at end March 2026. The SLR book moved up 7% to Rs 80549 crore, while non SLR book slipped 22% to Rs 7591 crore at end March 2026.

Branch expansion: The bank has added 6 branches and added 13 ATMs in Q4FY2026, taking overall tally to 1334 branches and 1364 ATM`s end March 2026.

Book value of the bank stood at Rs 16.3 per share at end March 2026, while the adjusted book value (net of NNPA and 10% of restructured advances) was Rs 16.1 per share at end March 2026.

Financial Performance FY2026:

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