Total deposits stood at ₹44,094 crore, up 10.92% year-on-year but slightly down 0.57% sequentially. CASA deposits increased 12.78% year-on-year and 4.63% quarter-on-quarter to ₹13,622 crore, improving the CASA ratio to 31% from 29% in the previous quarter. The bank’s cost of funds declined to 7.35% from 7.49% in June 2025.
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The credit-deposit ratio improved to 84.14% in September 2025 from 79.91% in June 2025. After excluding refinance borrowings, the CD ratio stood at 78.57%. During the quarter, the bank sold non-performing assets worth approximately ₹216 crore to an Asset Reconstruction Company.Collection efficiency in microfinance and microloans improved to 98.56% in Q2 FY26 from 97.97% in Q1 FY26. The 1–90 days past due (DPD) book reduced steadily to ₹183 crore in September 2025 from ₹365 crore in April 2025, with the 1–90 DPD ratio declining to 5.36%.
Fresh overdue (OD) accounts in the microfinance and micro loan segment dropped to ₹30.16 crore in September 2025 from ₹97.48 crore in April 2025, indicating reduced stress levels. In the small business loan segment, net slippages improved to 2.23% in Q2 FY26 from 3.22% in the previous quarter, with Karnataka showing notable improvement at 7.98% compared to 9.35% earlier.
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As of September 30, 2025, unsecured microfinance and microloans accounted for 9% of the loan portfolio, while secured loans comprised 91%. The figures are provisional and subject to audit review and board approval.
Shares of Equitas Small Finance Bank Ltd ended at ₹57.32, down by ₹0.45, or 0.79%, on the BSE.
