Axis Bank Q2 FY27: Advances up 23%, deposits 21%

What Axis Bank disclosed for the September 2026 quarter

Axis Bank reported provisional balance sheet numbers for the quarter ended September 30, 2026, under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Gross advances stood at ₹1,384,600 crore, up 22.7% year-on-year (YoY). Total deposits reached ₹1,452,100 crore, a 20.7% YoY rise, pointing to continued balance sheet expansion in Q2 FY27. The bank said the figures are provisional and subject to a limited review by the statutory auditors. This kind of disclosure is closely tracked because it provides an early read on loan growth and deposit mobilisation ahead of quarterly results. But it also requires careful interpretation when one-off regulatory or funding windows influence reported growth.

Gross advances: headline growth and the Q2 snapshot

As on September 30, 2026, Axis Bank’s gross advances were ₹1,384,600 crore. The comparable base a year earlier (September 30, 2025) was ₹1,128,400 crore, while June 30, 2026 advances were ₹1,272,900 crore. This translates to 22.7% YoY and 8.8% quarter-on-quarter (QoQ) growth on the headline number. The bank’s update highlighted that part of the quarterly movement relates to loans linked to FCNR(B) leverage facilities, which affects how underlying growth is assessed. The disclosure did not include segment splits for retail, corporate, or SME, so the growth commentary remains at the aggregate level.

Deposits: total growth remains strong, mix shifts to term deposits

Total deposits were ₹1,452,100 crore at the end of the quarter, up from ₹1,203,500 crore a year earlier and ₹1,372,900 crore at June 30, 2026. Term deposits were the primary driver, rising 27.3% YoY to ₹922,500 crore. CASA deposits increased 10.6% YoY to ₹529,600 crore, indicating a slower pace relative to term deposit mobilisation. On a QoQ basis, CASA grew 1.5% and term deposits rose 8.4%, based on the September 30, 2026 versus June 30, 2026 comparison provided. The mix matters because a higher share of term deposits can influence funding costs, while CASA trends are watched for liquidity strength and pricing pressure.

Average deposits: what the quarterly averages indicate

On a quarterly average basis, Axis Bank reported total deposits of ₹1,396,400 crore, reflecting 22.5% YoY growth. Average CASA was ₹494,300 crore, up 13.9% YoY. Average term deposits were ₹902,100 crore, up 27.8% YoY. These averages can sometimes better reflect run-rate balance sheet levels than a single quarter-end date, especially when specific funding windows or timing effects influence closing balances. The disclosed averages reinforce the theme that term deposits are growing materially faster than CASA.

FCNR(B) deposits: size, rupee equivalent, and how it flowed through

Axis Bank said it mobilised FCNR(B) deposits aggregating USD 10.62 billion, disclosed as ₹101,800 crore, as on September 30, 2026. The bank also disclosed that international branches extended loans to customers leveraging this facility aggregating USD 4.57 billion, disclosed as ₹43,800 crore. A portion of the FCNR(B) related flows was used to reduce non-retail term deposits, which declined 8.6% QoQ. The update frames this as active management of liabilities and cost, using the regulatory window, rather than a simple expansion of the deposit base.

Headline versus underlying growth: why the numbers differ

Axis Bank explicitly flagged a divergence between headline growth and underlying organic expansion. While gross advances grew 22.7% YoY on the reported basis, excluding the USD 4.57 billion (₹43,800 crore) in loans linked to FCNR(B) leverage facilities, advances growth moderates to 18.8% YoY and 5.3% QoQ. Similarly, total deposits excluding these impacts would have grown 17.0% YoY and 2.6% QoQ. This disclosure is important because it separates the effect of a specific facility from the bank’s broader lending and deposit momentum. It also helps investors compare growth across banks when funding tools differ.

Key balance sheet metrics at a glance

Earnings schedule: board meeting disclosure versus “not confirmed” notes

Axis Bank’s communications in the provided material include two competing strands on the Q2 FY27 results schedule. One section states the bank informed exchanges that its Board of Directors is scheduled to meet on Saturday, October 17, 2026 to consider and approve unaudited standalone and consolidated results for the quarter ending September 30, 2026, subject to limited review by joint statutory auditors. Another section states the Q2 FY27 results date is not confirmed and that the bank had not filed a board meeting intimation with NSE or BSE as of September 9, 2026, while also noting the regulatory outer deadline of November 14, 2026 (45 days from quarter end). Readers tracking the date should therefore rely on the most recent exchange filing available at the time, as the material reflects both a stated schedule and a separate “not confirmed” update.

Recent reported quarterly performance: the base investors watch

The material also provides reported actuals for recent quarters, which set the comparison base for the July-September print. It states Axis Bank reported revenue of ₹35,542 crore and net profit of ₹7,670 crore in Q1 FY27. It also states the September 2025 quarter (Q2 FY26 base) recorded revenue of ₹32,310 crore and profit of ₹5,567 crore. Separately, a data snippet lists interest earned of ₹35,541 crore (QoQ +4.01%, YoY +9.87%), gross profit of ₹12,498 crore (QoQ +15.52%, YoY +2.33%), and net profit of ₹7,656 crore (QoQ +0.32%, YoY +22.31%), presented alongside the same Q1 FY27 earnings date of July 18, 2026. The mix of figures across sources underlines why the bank’s audited or limited-review results remain the definitive record for quarter-specific performance.

Market impact: what this update does and does not tell investors

As a provisional balance sheet disclosure, this update primarily informs investors about loan growth, deposit mobilisation, and the impact of FCNR(B)-linked flows. It does not provide details on margins, asset quality, credit costs, or segment-level loan trends, which typically drive earnings sensitivity in banks. Still, the FCNR(B) commentary is directly relevant because it links reported growth to a facility that also influenced non-retail term deposits, down 8.6% QoQ. For market participants, the key takeaway is that headline growth rates may not fully reflect organic momentum without adjusting for the specified facility-linked loans and deposits.

Why the FCNR(B) disclosure matters in analysis

Axis Bank’s explicit “excluding impact” growth rates create a clearer framework to assess underlying momentum. A reported 22.7% YoY advance growth dropping to 18.8% after excluding facility-linked loans is a meaningful difference for relative comparisons across lenders. Similarly, deposit growth moderating from 20.7% to 17.0% on an adjusted basis suggests some of the quarter-end strength is tied to the funding window. The simultaneous decline in non-retail term deposits (8.6% QoQ) supports the bank’s framing that the facility was used to manage liability costs and composition. These are operational choices that can influence pricing, mix, and balance sheet positioning, even before the P&L detail arrives.

Conclusion

Axis Bank’s provisional Q2 FY27 disclosure shows gross advances of ₹1,384,600 crore and total deposits of ₹1,452,100 crore, with term deposits growing faster than CASA. The bank also detailed FCNR(B) mobilisation of USD 10.62 billion (₹101,800 crore) and facility-linked loans of USD 4.57 billion (₹43,800 crore), alongside adjusted growth rates that are lower than headline figures. The next confirmation point for investors is the bank’s formal quarterly results announcement and limited-review financials for the quarter ended September 30, 2026, which will provide margins, credit cost, and profitability context.