AU Small Finance Bank Q1 Performance Highlights

Net Profit Growth: The bank reported a significant 16% year-on-year increase in net profit, reaching Rs 581 crore for the first quarter of FY26, up from Rs 503 crore in the same period last year.

Income and Profitability: Total income for Q1FY26 rose to Rs 5,189 crore from Rs 4,278 crore a year earlier. Interest earned and net interest income also saw healthy growth.

Asset Quality and Provisions

Gross NPAs: Increased to 2.47% of gross advances as of June 30, 2025, from 1.78% a year earlier. Net NPAs also rose to 0.88% from 0.63%.

Provisions: Surged to Rs 533 crore, nearly double the Rs 283 crore reported in the year-ago period, with a Provision Coverage Ratio (PCR) of 83%.

Leadership Commentary

MD and CEO Sanjay Agarwal commented on the bank's consistent performance in a seasonally soft quarter, emphasizing sustainable growth in deposits, assets, and profitability. He expressed confidence in the bank's position to navigate near-term uncertainties.