Bandhan Bank Reports Q2 FY26 Results, Deposits Grow 11% YoY

Bandhan Bank announced its Q2 FY26 results, with total deposits reaching ₹1.58 lakh crores, an 11% year-over-year growth. Gross advances stood at ₹1.40 lakh crores, reflecting a 7% YoY increase. The bank’s CASA deposits constitute 28% of the total deposit base, and the secured book recorded a 25% YoY growth, comprising 55% of the portfolio. Net Income stood at ₹3,135 crore for the quarter.

Financial Performance Highlights

Bandhan Bank’s Q2 FY26 performance indicates a transitional phase as the bank continues to realign its portfolio. Key highlights include:

• Gross advances of ₹1.40 lakh crores, a 7% YoY growth.
• Total deposits reached ₹1.58 lakh crores, up 11% YoY.
• Retail term deposits grew by 38% YoY.
• CASA deposits accounted for 28% of total deposits.
• Secured book recorded a 25% YoY growth, now 55% of the portfolio.
• Net Interest Income (NII) at ₹2,589 crores.
• Net profit of ₹112 crores for the quarter.

Business and Growth Strategy

The bank continues to focus on diversification, with non-EEB (Emerging Entrepreneur Business) portfolio growth remaining strong. Secured assets continue to increase in share, strengthening the overall quality of advances. Key initiatives include:

• Strengthening the granular liability franchise through innovative offerings.
• Focus on sourcing new corporate salary accounts.
• Introduction of specialized products for HNI individuals.
• Strengthening digital and government ecosystem partnerships.

Asset Quality and Outlook

While near-term performance was moderated by factors such as repo rate cuts and elevated slippages in the EEB segment, the bank remains confident in its underlying strength. Measures are in motion to improve growth and profitability in the upcoming quarters.

As of September 30, 2025:

• Gross NPA ratio was stable QoQ at 5%.
• Net NPA ratio was stable QoQ at 1.4%.

The bank expects gradual growth in the EEB portfolio from Q3 onwards, supported by prudent lending and strengthened field discipline. The capital and liquidity position remains robust, providing a foundation for future growth.

Source: BSE