Mumbai, July 18: Bandhan Bank reported a steep 65% year-on-year (YoY) drop in net profit for the first quarter of FY26, with earnings falling to ₹372 crore compared to ₹1,064 crore in Q1 FY25. The decline was attributed to weaker net interest income (NII) and operating performance.
The Partha Pratim Sengupta-led bank’s NII declined 7.7% YoY to ₹2,757.2 crore from ₹2,986.6 crore in the corresponding quarter last year. Net interest margin (NIM) for the quarter stood at 6.4%.
Despite the YoY decline, Bandhan Bank posted sequential improvement, with net profit rising 17% over the previous quarter. Total net revenue came in at ₹3,483 crore, marginally lower than ₹3,533 crore reported in Q1 FY25.
Operating profit for the June quarter dropped 14% YoY to ₹1,668 crore, down from ₹1,941 crore in the same period last year.
Commenting on the results, MD & CEO Partha Pratim Sengupta said, “The bank delivered a sequentially improving performance, supported by strong deposit growth and steady momentum in both retail and wholesale banking. While the operating environment remains challenging, our results reflect the resilience of our business strategy.”
On the asset side, gross advances grew 6% YoY to ₹1.34 lakh crore, while total deposits jumped 16% to ₹1.55 lakh crore. Retail term deposits showed strong growth of 34%, reaching ₹63,661 crore, with retail deposits now accounting for 68% of total deposits.
As of June 30, 2025, Bandhan Bank had a customer base of 3.14 crore, supported by a robust network of around 6,350 outlets and a workforce exceeding 73,000 employees.
Ahead of the earnings release, Bandhan Bank shares closed 0.11% higher at ₹185.40 on the NSE.