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Banking and Finance

EQUITAS SMALL FINANCE BANK LIMITED

Equitas Small Finance Bank Q1 FY27 Results

Chennai, July 28, 2026: The Board of Directors of Equitas Small Finance Bank Limited at its meeting held today, approved the unaudited financial results for the quarter ended June 30, 2026 

Strong Profitability with ₹184 Crore PAT in Q1FY27 vs. a loss of ₹224 Crore in Q1FY26

ROA and ROE for Q1FY27 at 1.18% and 11.76% respectively

Gross Advances grew by 27% YoY and 3% QoQ

Overall Disbursements at ₹6,784 Crs, growth of 93% YoY

Deposits grew by 10% YoY & 5% QoQ, CASA at 25% 

  1. Key Highlights:
  • Gross advances grew by 27% YoY and 3% QoQ supported by robust disbursements across verticals. Non MFI book grew 22% YoY, led by 24% growth in HF, 28% in MSE and 179% in Gold Loan over previous year.
  • Overall deposits grew by 10% YoY & 5% QoQ. 
  1. Business Highlights:
  • Overall Disbursements at ₹6,784 Crore in Q1FY27, a growth of 93% YoY and a decline of 8% QoQ
  • Our Flagship Product Small Business Loans (SBL) grew by 15% YoY. BL advances, a part of SBL, has grown 32% YoY contributing 34% of the overall SBL portfolio.
  • Used Car and Used CV Advances have registered a growth of 30% YoY and 25% YoY respectively.
  • CASA ratio at 25%.
  • Cost of Funds increased by 11 bps to 7.05% in Q1FY27 from 6.94% in Q4FY26     
  1. Key Ratios:
  • NIM for the quarter stood at 7.24%, marginally declined by ~12 bps QoQ
  • Cost to Income ratio stood at 68.38% in Q1FY27 as compared to 67.52% in Q4FY26 and 70.62% in Q1FY26
  1. Capital:
  • Networth of the Bank stands at ₹6,367 Crore
  • As of June 30, 2026, Total CRAR at 19.44% | Tier I at 16.01% and Tier II at 3.43%      
  1. Treasury & Liquidity:
  • The Bank’s Certificate of Deposit (CD) programme has highest rating at A1+ from India Ratings, CareEdge Ratings & CRISIL
  • Liquidity Coverage Ratio (LCR) as on 30.06.2026 is 178.46%
  • Other Income: Income from Investments (including MTM & dividend) for the quarter is ₹31 Crore
  1. Profit & Loss:
  • Net Income for Q1FY27 grew by 19% YoY and 3% QoQ and Total Opex grew by 16% YoY and 5% QoQ
  • The bank reported a quarterly PAT of ₹184 Crore, compared to a loss of ₹224 Crore in Q1FY26.
  1. Asset Quality & Provisions:
  • GNPA reduced by 13 bps QoQ at 2.36% in Q1FY27 as compared to 2.49% in Q4FY26; including securitization book, GNPA would stand at 2.31%
  • NNPA increased by 2 bps QoQ to 0.70% in Q1FY27 as compared to 0.68% in Q4FY26
  • PCR remains stable at 71.02% (86.96% Including technical write-offs)
  • Net Slippages at 1.43% in Q1FY27, the second-lowest among first quarters over the last five years.
  • Credit Cost declined significantly to 1.37% in Q1FY27 as compared to 6.48% in Q1FY26.

Note: For the calculation of GNPA and NNPA ratios, Gross Advances include IBPC exposures and exclude advances sold through Securitisation and Direct Assignment transactions.

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