Archive · 31 Jan 2026
ESAF Small Finance Bank Returns to Profitability
ESAF Small Finance Bank has made a big comeback by earning a profit of ₹7 crore in the third quarter of the financial year 2025-26.
This is a huge improvement from the losses they had in the same quarter last year and the previous quarter.
The bank's total business grew by 10%, and they gave out more loans, especially secured ones.
They also added 2 lakh new customers, bringing their total to nearly 1 crore.
The bank is focusing on making their loans safer and more reliable, which is helping them grow stronger.
They are on track to have 70% of their loans as secured by March 2027.
Overall, the bank is doing much better and is working hard to serve more people with better financial services.
ESAF Small Finance Bank reported a net profit of ₹7 crore in Q3 FY26, reversing losses from previous quarters.
Total business grew by 10% year-on-year to ₹44,686 crore as of December 31, 2025.
Gross advances increased by 13.1% to ₹20,679 crore, and deposits grew by 7.1% to ₹24,006 crore.
Secured loan disbursements surged by 149% to ₹10,530 crore, making secured assets 63% of gross advances.
Asset quality improved significantly, with gross NPA reducing to 5.6% from 8.5% and net NPA declining to 2.7% from 3.8%.
- Who
- ESAF Small Finance Bank
- What
- Returned to profitability with a net profit of ₹7 crore in Q3 FY26
- When
- Q3 FY26 (as of December 31, 2025)
- Where
- India
- Why
- Successful execution of the MARG strategy focusing on MSME, Agri, Retail, and Gold lending
- Net Profit (Q3 FY26)
- ₹7 crore
- Loss (Q3 FY25)
- ₹211 crore
- Loss (Q2 FY26)
- ₹115.81 crore
- Total Business (as of December 31, 2025)
- ₹44,686 crore
- Year-on-Year Growth
- 10%
- Gross Advances
- ₹20,679 crore (13.1% growth)
- Deposits
- ₹24,006 crore (7.1% growth)
- Secured Loan Disbursements
- ₹10,530 crore (149% surge)
- Secured Assets
- 63% of gross advances
- Gross NPA
- 5.6% (down from 8.5%)
- Net NPA
- 2.7% (down from 3.8%)
- New Customers (Q3 FY26)
- 2 lakh
- Total Customer Base
- 99.9 lakh