Net interest margin rose to 5.96 per cent in Q1FY27 from 5.71 per cent in the year ago quarter
| Photo Credit:
Gerra Madhusudan 10751@Chennai
IDFC FIRST Bank reported a 132 per cent year-on-year (y-o-y) jump in first quarter (Q1FY27) net profit at ₹1,075 crore against ₹463 crore in the year ago period, with the bottomline being boosted by a decent growth in net interest income and other income and decline in provisions.With a view to maintaining strong capital adequacy and providing flexibility to access capital markets, the private sector bank’s board on Saturday approved fund raising through) issuance of equity securities up to an aggregate amount of ₹7,500 crore and issuance of debt instruments and/or other eligible instruments up to an aggregate amount of ₹12,500 croreIn the reporting quarter, the Bank recorded a 21 per cent growth in net interest income (difference between interest earned and interest expended) at ₹5,972 crore ( ₹4,933 crore in the year ago period/Q1FY26).Other income, including fee-based income, treasury income and recovery in written-off accounts, was up 23 per cent y-o-y at ₹2,128 crore ( ₹1,731 crore).Net interest margin (NIM) rose to 5.96 per cent in Q1FY27 from 5.71 per cent in the year ago quarter.Gross Non-Performing Assets (GNPAs) position improved to 1.51 per cent of gross advances as at June-end 2026 against 1.97 per cent as at June-end 2025. Net NPAs position too improved to 0.44 per cent of net advances against 0.55 per cent.Total loan assets increased 20.6 per cent y-o-y to ₹3,05,370 crore as at June-end 2026. Total customer deposits rose 16.6 per cent y-o-y to stand at ₹2,99,405 crore as at June-end 2026.V Vaidyanathan, MD and CEO said, “We are seeing strong business momentum...our asset quality continues to improve with Gross NPA of 1.51 per cent and net NPA of 0.44 per cent. Our provisions as a percentage of loans continues to come down.“During this quarter we got CGFMU (Credit Guarantee Fund for Micro Units) claim of ₹515 crore. We created a provision of ₹515 crore on a prudent basis towards any possible impact of monsoon or fuel prices volatility in the rest of the year.”Published on July 25, 2026
