Ujjivan Small Finance Bank slips 4% post Q1 numbers; PAT tanks 66% YoY

Shares of Ujjivan Small Finance Bank Ltd fell 4 per cent in Thursday’s trade after the lender reported a deterioration in asset quality and surge in provisions for the June quarter. 

The small finance bank (SFB) reported a profit after tax (PAT) of Rs 103 crore in Q1 FY26 from Rs 301 crore in the same quarter last year, marking a decline of 66 per cent. Provisions for the quarter spiked to Rs 224.94 crore in Q1FY26 from Rs 109.85 crore in the corresponding quarter last year.

Ujjivan SFB said its net interest income (NII) for the quarter stood at Rs 856 crore, down 9 per cent year-on-year (YoY) over Rs 941 crore in the same quarter last year.

At 02:17 am, the Ujjivan SFB stock was trading 1.96 per cent lower at Rs 46.11 on BSE. With today’s fall, the stock is down 13 per cent from its 52-week high of Rs 51.80.

Ujjivan Small Finance Bank's gross non-performing assets (NPAs) increased to 2.52 per cent, up 34 basis points over 2.18 per cent in the March quarter. The gross NPA ratio stood at 2.52 per cent in the year-ago quarter. 

The gross loan portfolio (GLP) climbed to Rs 33,287 crore from Rs 30,069 crore in the same quarter last year.

Sanjeev Nautiyal, MD & CEO of Ujjivan Small Finance Bank said, “In Q1 FY26, we delivered robust 11 per cent YoY growth in our gross loan book, which was backed with strong momentum across the secured segment, which grew 63 per cent YoY.”

“The disbursements for the quarter at Rs 6,539 crore, up 24 per cent YoY. Our total deposits grew 19 per cent YoY to Rs 38,619 crore. CASA deposits were up 13 per cent at Rs 9,381 crore. Retail TD plus CASA deposits stood at Rs 27,884 crore, registering a 16 per cent growth YoY and contributing 72 per cent to total deposits. Our cost of funds remained at 7.6 per cent in Q1 and are expected to reduce in upcoming quarters since we have reduced the peak FD rates by 65 basis points and SA rates have been selectively re-calibrated up to 100 basis points,” Nautiyal said.