Archive · 18 Jul 2025
Bandhan Bank's Q1 Net Profit Plummets 65%
Bandhan Bank's profits significantly decreased in the first quarter of the fiscal year.
This decline is largely due to problems with loans to small businesses.
The bank's income from interest also went down.
While the bank is facing challenges, especially in its micro-loan segment, it is taking steps to improve and anticipates the issues to persist until the second quarter.
Bandhan Bank's net profit dropped 65% YoY to ₹371.96 crore in Q1 FY26.
Operating profit fell by 14% YoY.
Total provisions more than doubled to ₹1,146.90 crore.
Net interest income decreased by 7.68% YoY to ₹2,757.24 crore.
MD & CEO cited challenges in the micro-loan segment.
- Who
- Bandhan Bank
- What
- Bandhan Bank reported a 65% YoY drop in net profit for Q1 FY26.
- When
- Q1 FY26 (quarter ending June 2025)
- Where
- N/A
- Why
- Due to challenges in the micro-loan segment and increased provisions.
Financial Performance
Operational Metrics
Performance Assessment
Financial Performance
Profitability declined due to headwinds in the microfinance business.
Operational Metrics
The bank is performing reasonably well when compared to industry peers and has witnessed a sequential improvement in its financial performances.
- Net Profit (Q1 FY26)
- Rs 371.96 crore
- Operating Profit (Q1 FY26)
- Rs 1,668.39 crore
- NII (Q1 FY26)
- Rs 2,757.24 crore
- GNPA (Q1 FY26)
- 4.96%
- Provisions (Q1 FY26)
- ₹1,146.90 crore
Sources
Stress on microfinance business pulls down Q1 net of Bandhan Bank: MD&CEO
Bandhan Bank Q1 FY26 results: Net profit plunges 65% YoY to Rs 372 crore; NII declines 8%
Ujjivan, ESAF, Utkarsh, Suryoday: What to expect from SFBs in Q1 FY26
