Ujjivan Small Finance Bank reported a strong finish to FY26, with a 238.2% year-on-year jump in net profit to ₹282 crore for the quarter ended March 31, 2026. The bank achieved record quarterly disbursements of ₹9,811 crore, contributing to a 26.6% increase in its gross loan book. Improved asset quality and an expanded net interest margin of 8.5% underscored the bank’s robust operational performance throughout the fiscal year.
Financial Growth and Performance
Ujjivan Small Finance Bank has demonstrated significant growth in Q4 FY26. The bank’s net profit reached ₹282 crore, representing an impressive 238.2% YoY growth. This performance was driven by record-breaking quarterly disbursements totaling ₹9,811 crore, which grew 32.1% YoY. The net interest margin (NIM) also saw a positive expansion of 20 basis points YoY, reaching 8.5%, supported by a 63 bps reduction in the cost of funds.
Loan Book Expansion and Asset Quality
The bank’s gross loan book reached ₹40,655 crore, marking a 26.6% year-on-year increase. A key highlight of this growth is the strategic diversification into secured lending; the secured book grew by 43.5% YoY, now accounting for 49.4% of the total loan portfolio. Asset quality showed consistent improvement, with GNPA/NNPA ratios improving to 2.27%/0.43% respectively. Additionally, the provision coverage ratio climbed to 81%, reflecting a fortified balance sheet.
Deposit Base and Future Outlook
Deposits climbed to ₹45,668 crore, a 21.4% YoY rise, with a healthy CASA ratio of 28.6%. Looking ahead to FY27, the bank management remains optimistic, projecting a gross loan book growth of approximately 25%. To support this ongoing expansion and capitalize on new business opportunities in gold, vehicle, and agri-loans, the board has approved an equity capital raise of up to ₹2,000 crore.
Source: BSE
