Bandhan Bank on Wednesday reported an over five-fold year-on-year jump in net profit to Rs 621.75 crore for the second quarter of FY27, compared with Rs 111.87 crore a year earlier, backed by higher operating profit and sharply lower provisions, according to its results approved by the board in Kolkata on October 28.

Source: The Hindu BusinessLine

On a quarter-on-quarter basis, profit grew close to 24 per cent from Rs 501.67 crore in Q1 FY27. Operating profit rose 18.78 per cent to Rs 1,556.40 crore, net interest income rose 14.38 per cent to Rs 2,960.48 crore, and non-interest income grew 28.99 per cent to Rs 704.86 crore. The net interest margin stood at 6.1 per cent, up 30 basis points year-on-year.

Source: The Hindu BusinessLine

Rs 621.75 croreQ2 FY27 net profit
Rs 2,960.48 croreNet interest income
3.11%Gross NPA ratio
18.3%Capital adequacy

Provisions fall as bad loans ease

Provisions and contingencies fell 37.74 per cent year-on-year to Rs 717.53 crore. Gross NPAs in absolute terms fell about 29.88 per cent to Rs 4,919.03 crore from Rs 7,015.13 crore a year earlier, the gross NPA ratio fell 191 basis points to 3.11 per cent and the net NPA ratio declined 45 basis points to 0.92 per cent. For the first half of FY27, profit after tax stood at Rs 1,123 crore against Rs 484 crore in H1 FY26.

Source: Elets BFSI

Gross advances grew 13 per cent to Rs 1.58 lakh crore (yaani Rs 1,58,000 crore) and total deposits rose 9 per cent to Rs 1.73 lakh crore, with secured loans now over 57 per cent of the book. Collection efficiency in the Emerging Entrepreneurs Business, the bank's microfinance-heritage segment, was 99.3 per cent, and the bank launched its credit card business in the quarter with four variants — Spark, Ignite, Flare and Lumina.

Source: Elets BFSI

MD and CEO Partha Pratim Sengupta said provisions in the EEB segment had been quite high a year earlier, which kept profit low, and that steady improvement across parameters had now delivered the best quarterly profit in eight quarters. He also said proposed changes in insurance distribution norms could reduce the bank's yearly third-party income by around Rs 200 crore, which the bank hopes to recover through other areas and changes to its business model.

Source: The Hindu BusinessLine

Bandhan Bank operates 2,001 branches and 4,414 banking units across 35 states and union territories, serving around 3.2 crore customers. Its shares had closed 2.27 per cent higher at Rs 155.36 on the NSE on Wednesday, before the results were declared after market hours.

Source: Upstox (with PTI inputs)