Ujjivan Small Finance Bank (SFB) reported a significant increase in net profit for the first quarter of the fiscal year 2027, which grew by 207 percent compared to the previous year, reaching 317 crore rupees. This growth was driven by increased income and lower credit expenses. Compared to the previous quarter, net profit rose by 12 percent, amounting to 282 crore rupees.
Net Interest Income (NII) showed a year-on-year growth of 38.6 percent, reaching 1,186 crore rupees, while other incomes increased by 3 percent to 257 crore rupees. Credit costs decreased by 43 percent year-on-year, totaling 127 crore rupees. The bank's Net Interest Margin (NIM) in the first quarter of the fiscal year 2027 stood at 8.5 percent, remaining unchanged from March, whereas it was 7.7 percent a year ago.
The bank's gross loan portfolio grew by 28.9 percent year-on-year and 5.5 percent quarterly, reaching 42,903 crore rupees. The secured loan portfolio increased by 42.7 percent year-on-year and 7.8 percent quarterly, amounting to 21,638 crore rupees. Disbursements during the quarter increased by 41.4 percent year-on-year, hitting a record 9,245 crore rupees for the June quarter.
Deposits grew by 24.6 percent year-on-year and 5.4 percent quarterly, reaching 48,129 crore rupees. Low-cost Current and Savings Account (Casa) deposits increased by 37.8 percent year-on-year, totaling 12,930 crore rupees.
Asset quality improved during the quarter: the Gross Non-Performing Assets (GNPA) ratio declined to 2.17 percent as of June 30, 2026, down from 2.27 percent at the end of March. The Net Non-Performing Assets (Net NPA) ratio improved to 0.34 percent from 0.43 percent for the same period.
Carol Furtado, CEO of Ujjivan Small Finance Bank, stated that strong results across all asset products largely offset macroeconomic challenges, strengthening confidence in achieving the target asset growth rate of 25 percent in the fiscal year 2027. Investments in building future capacity through branch expansion, branding initiatives, and improved technology and analytics capabilities gained momentum by the end of the first quarter and will continue throughout the fiscal year 2027.
She added that the delay in implementing these investments, combined with improved operational efficiency, will allow operating expenses to decrease to approximately 6.4 percent of average assets in the fiscal year 2027, which is below the initial forecast. 'Asset quality trends remain encouraging, with the cost of credit at 0.9 percent, and absolute write-offs were lower than expected during the quarter. Consequently, the credit cost forecast for the fiscal year 2027 has been revised to 0.9-1 percent of total average assets, and the Return on Assets (RoA) forecast has been raised to 1.8-2 percent.'
Real estate developer Sobha, based in Bengaluru, reported a significant increase in profit for the first quarter of fiscal year 2026-27 (Q1 FY27). The company's profit attributable to the holding company owners grew by more than threefold compared to the same period last year (YoY), reaching ₹50.84 crore. This growth was driven by increased revenue and a low base level in Q1 FY26, when profit stood at ₹13.62 crore.
The company's operating revenue in Q1 FY27 increased by 50.02% year-on-year, amounting to ₹1,278.15 crore. However, this figure fell below Bloomberg analysts' forecasts, which anticipated revenue of ₹1,771 crore and profit of ₹79.80 crore. The company's total expenses for the quarter reached ₹1,260.91 crore, which is 42.83% higher compared to the previous year. The rise in expenses was attributed to a threefold increase in land costs (including development rights) and associated overheads, totaling ₹681.61 crore.
Quarter-over-quarter (QoQ), the company's revenue decreased by 35.70%, and profit declined by 44.63%. Previously, Sobha demonstrated a record quarterly sales volume of ₹3,656 crore, which was 75.87% higher than the previous year, thanks to the launch of three new projects. Sobha's share of the total sales volume also reached an all-time high of ₹2,992 crore, showing a 74.24% YoY growth. The average realization per quarter was ₹15,655, which is 8.75% higher year-on-year.
Jagadish Nangneni, Managing Director of Sobha, noted that achieving the highest quarterly sales volume was a significant step forward for Sobha. He emphasized that this reflects deep customer trust in the brand, the dedication of the team, and the company's unique business model. The presence of a strong portfolio of future projects allows the company to maintain this momentum while focusing on operational excellence and disciplined growth to create long-term value for stakeholders.
During the reporting period, Sobha's collections reached ₹1,924 crore, an 8% increase compared to the previous year. Sold area increased by 62% YoY, totaling 2.34 million square feet (msf). In Q1 FY27, the company launched 6.89 msf of sellable area across three projects in Gurugram and Bengaluru. Quarter-over-quarter, total sales volume grew by 79.28%, and Sobha's sales volume increased by 83.10% QoQ. Furthermore, as of Q1 FY27, Sobha maintained a positive net cash flow, with a net cash position (negative net debt) of ₹659 crore and a net debt to equity ratio of 0.14.
Federal Bank announced a significant year-on-year increase in net profit by 37%, reaching ₹1,177 crore for the quarter covering April-June 2027 (Q1FY27). This growth was driven by a steady increase in Net Interest Income (NII), an expansion in Net Interest Margin (NIM), and a reduction in new write-offs.
However, looking at sequential data, net profit decreased by 7%. Nevertheless, excluding the one-time income received in March, the bank stated that this is its highest quarterly profit in history. Net Interest Income (NII) increased by 26% year-over-year to ₹2,946 crore, supported by healthy credit growth and margin expansion.
The bank's Net Interest Margin (NIM) grew by 39 basis points (bps) year-on-year to 3.33%, as the cost of funding fell faster than asset yields. The cost of funding decreased by 60 bps, while asset yield contracted by 44 bps. The cost of deposits dropped by 57 bps year-on-year to 5.21%. Other income declined by 6% year-on-year and by 8% compared to the previous quarter, amounting to ₹1,048 crore.
Asset quality improved during the reporting period. Gross Non-Performing Assets (GNPAs) reduced to 1.52% of gross loans as of the end of June, compared to 1.62% at the end of March. Net NPAs almost halved, reaching 0.18%, which is the lowest figure in the bank's recent history. New write-offs slowed to ₹409 crore in the quarter compared to ₹474 crore in Q4FY26 and ₹658 crore a year earlier. Provisions increased by 4% year-on-year to ₹720 crore but decreased by 29% sequentially.
In the business segment, gross loans grew by nearly 15% year-on-year to ₹2.81 trillion. The growth was supported by commercial banking (23%), gold loans (33%), real estate mortgage loans (21%), credit cards (36%), and financing for commercial transport and construction equipment (21%). The bank's corporate and institutional banking portfolio exceeded ₹1 trillion during the quarter, with total business volume reaching nearly ₹6 trillion.
Total deposits rose to ₹3.20 trillion. CASA deposits increased by 18.3% year-on-year to ₹1.03 trillion, outpacing overall deposit growth and raising the CASA ratio by 188 bps to 32.23%. The bank's franchise for Non-Resident (NR) deposits also remained strong: NRE and ONR deposits grew by 14.2% year-on-year to ₹1.05 trillion, continuing to grow after crossing the ₹1 trillion mark in the previous quarter.
Mr. Manian, Managing Director and CEO of Federal Bank, noted that the profit grew by almost 37% during a period when the treasury faced a challenging quarter, indicating that income is being generated by core business rather than market acquisitions. He emphasized that the 26% rise in NII alongside a 15% growth in loans reflects the bank's focus on margin expansion.
Manian also stated that the Net NPA ratio of 0.18% is the lowest in the bank's recent history, and the provisioning coverage ratio stands at 87%. He added that the bank is building a sustainable balance through reduced credit costs and a strong income buffer. Management noted that the selected lending segments continue to perform well, and the CASA and non-resident deposit franchises are deepening, placing the bank in a favorable position for the remainder of the fiscal year due to strong capital, improved asset quality, and a healthy business momentum.
The net profit of the private bank South Indian Bank increased by 17.3% compared to the previous year in the fourth quarter of fiscal year 2027 (Q1 FY27), reaching 377.63 crore rupees. This growth was driven by an increase in net interest income and a reduction in provisions.
In Q1 FY27, the bank recorded a net profit of 377.63 crore rupees, compared to 321.95 crore rupees in the same period last year (Q1 FY26). Net Interest Income (NII), which is the difference between received and paid interest, grew by 23.05% year-on-year, amounting to 1025 crore rupees. However, other income of the bank decreased by 39% year-on-year, totaling 379 crore rupees.
The bank's Net Interest Margin (NIM) for the reporting period was 3.23%, higher than the 3.03% recorded in Q1 FY26. Provisions (excluding tax) decreased by 64.8% year-on-year, falling from 239 crore rupees in Q1 FY26 to 84 crore rupees.
During the quarter, the bank's retail deposits grew by 13.7% year-on-year, reaching 1.24 trillion rupees. The share of low-cost current account savings deposits (Casa) increased to 32.98% from 32.06% in Q1 FY26. Non-Resident Indian (NRI) deposits increased by 12.8% year-on-year, reaching 36,432 crore rupees. The total volume of gross advances grew by 17.01% year-on-year, amounting to 1.04 trillion rupees. Meanwhile, corporate segment loans increased by 12.4% year-on-year to 41,704 crore rupees, and gold loan segment saw a sharp jump of 43% year-on-year, reaching 7,484 crore rupees.
The bank's asset quality improved: the Gross Non-Performing Assets (GNPA) ratio as of June 30, 2026, stood at 1.38%, compared to 3.15% on March 31, 2026. The Net NPA ratio reached 0.26%, down from 0.68%.
P. R. Seshadri, Managing Director and CEO of South Indian Bank, noted that the bank's strategy continues to focus on stable profitability, high asset quality, a sustainable loan portfolio, and a robust retail liability portfolio. He added that the bank is refining its organizational structure and utilizing digital technologies to achieve business goals. Seshadri emphasized that there was consistent growth across all target segments during the reporting period, with the main focus being on attracting quality assets in areas such as corporate lending, auto loans, and gold loans. In line with the strategic intent of 'Profitability through growth in quality lending', the bank successfully attracted new low-risk loans, ensuring a balanced and healthy credit portfolio.
