AU Small Finance profit rises 65% in Q4

AU Small Finance Bank reported on April 27 that March-quarter net profit jumped 65% year over year to ₹832 crore. (au.bank.in) The Jaipur-based lender said net interest income, the spread it earns on loans after funding costs, rose 23% to ₹2,582 crore in the quarter ended March 31. (au.bank.in) (cnbctv18.com) Provisions dropped 58% from a year earlier to ₹269 crore, and net interest margin expanded to 5.96% from 5.70% in the December quarter. (au.bank.in) (cnbctv18.com) Asset quality also improved. Gross non-performing assets fell to 2.03% in March from 2.30% in December, while net non-performing assets declined to 0.74% from 0.88%. (au.bank.in) (business-standard.com) Deposits grew 23% year over year to ₹1.53 trillion, and the gross loan portfolio rose 21% to ₹1.40 trillion. CASA deposits, a cheaper source of bank funding, increased about 20% to ₹43,357 crore. (au.bank.in) (business-standard.com) For the full financial year, profit rose 25% to ₹2,641 crore, with return on assets at 1.6% and return on equity at 14.2%. The board declared a dividend of ₹1 per share for FY26, subject to shareholder approval. (au.bank.in) (cnbctv18.com) The results land as AU Small Finance Bank pushes for a bigger regulatory step. The bank said it filed in March 2026 for a final licence to convert into a universal bank and is awaiting Reserve Bank of India approval. (business-standard.com) Chief Executive Sanjay Agarwal said the bank is entering its tenth year and called FY2026 a period of consistent execution. The numbers showed that in the latest quarter more of that execution came from lower credit costs, firmer margins and steady balance-sheet growth. (au.bank.in)