Capital SFB Q4: Profit up 17%, NPAs decline; MSME lending gains traction

Aditya Birla Sun Life AMC Q4 results, net profit falls 18 percent year on year to Rs 187 crore, revenue up 6.8 percent to Rs 458 crore


Capital Small Finance Bank reported a steady set of March quarter numbers, with earnings growth supported by improving asset quality and a gradual uptick in margins. The lender also flagged strong traction in its MSME portfolio, which continues to underpin its growth strategy.

Net profit for the quarter rose 17% year-on-year to ₹40 crore, compared with ₹34 crore a year ago. Net interest income (NII) also grew at a similar pace, rising 17% to ₹121 crore from ₹103 crore.

Margins saw a marginal improvement, with net interest margin (NIM) inching up to 4.06% from 4.01% in the previous quarter, indicating stable yields and an improving asset mix.

Asset quality strengthened further during the quarter. Gross non-performing assets (GNPA) declined to 2.54% from 2.68% sequentially, while net NPA eased to 1.24% from 1.35%.

The bank’s management highlighted that growth remained broad-based without compromising credit quality. Advances grew 20.9% year-on-year to ₹8,687 crore, while deposits crossed the ₹10,000 crore mark.

The MSME loan book stood at ₹2,209 crore, registering a strong 46% growth, reflecting improving business activity and rising demand for formal credit.

Total income for the quarter rose 16.8% to ₹300 crore, taking the full-year figure to ₹1,149 crore. The bank’s branch network now spans 211 branches across five states and two Union Territories, supporting its focus on deepening presence in semi-urban and rural markets.

Also Read: Federal Bank Q4 Results: One-offs contribute to profit growth; Provisions double, Asset quality better

The lender maintained that its largely secured loan book and zero exposure to unsecured microfinance have helped it stay insulated from segment-specific stress, even as it positions for steady growth in FY27.



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