AU Small Finance Bank’s net profit for the first quarter of FY27 declined by 4.3% sequentially, as per the bank’s filing. However, on a year-on-year basis, the bank saw a 37% increase in net profit, driven by robust growth in net interest income. The bank’s net profit in the April-June quarter was Rs 795.95 crore, down from Rs 831.87 crore in the preceding quarter.
Net interest income (NII) surged by 31.9% year-on-year to Rs 2,696 crore during the quarter, compared to Rs 2,044 crore a year earlier. Operating profit also grew by 9.4% year-on-year to Rs 1,435 crore in the reporting quarter. The bank’s provisions decreased by 30.4% year-on-year to Rs 371 crore, reflecting lower credit costs.
Gross non-performing assets (GNPA) stood at 2.10% as of June 30, slightly up from 2.03% at the end of the March quarter. Net non-performing assets (NNPA) also increased to 0.76% from 0.74% sequentially. AU Small Finance Bank’s shares settled at Rs 1,002.25 on the NSE, showing a decline in recent weeks compared to the broader market.
