Net interest income (NII) declined 9% year-on-year to ₹855.8 crore from ₹941 crore.
Asset quality weakened on a sequential basis. Gross non-performing assets (GNPA) rose to ₹834 crore or 2.52% of total advances, up from ₹696 crore or 2.18% in the previous quarter. Net NPA increased to ₹226 crore or 0.70%, compared with ₹152 crore or 0.49% in the March quarter.
The lender reported an 11% year-on-year rise in its gross loan book to ₹33,287 crore, led by strong momentum in secured segments, which now account for 46% of the portfolio. Secured book disbursals surged 63% YoY to ₹15,162 crore.
Deposits rose 19% YoY to ₹38,619 crore, while CASA deposits grew 13% to ₹9,381 crore. Retail term deposits and CASA together contributed 72% of total deposits.
“The shift to secured products and new customer additions in micro banking support long-term resilience,” said CEO Sanjeev Nautiyal, noting regulatory and rate tailwinds could help lower funding costs.
Return on assets stood at 0.8%, and RoE at 6.7%. The bank expects FY26 credit cost between 2.3%–2.4% and RoA in the range of 1.2%–1.4%.
As of 2:45 pm IST, shares of the lender were trading nearly 3% lower after the announcement of results, at a price of ₹45.69 on the BSE.
