Fino Payments Bank Q1 FY27 swings to ₹13.7 Cr loss

What changed in Q1 FY27

Fino Payments Bank reported a net loss of ₹13.7 crore for Q1 FY27, reversing a net profit of ₹17.8 crore in the year-ago quarter. The loss came as the bank recalibrated its digital payments services and saw pressure on its transaction-led business. Total income declined 32.3% year-on-year to ₹306.9 crore during the quarter under review. The bank indicated that a sharp decline in fee and commission-based income weighed on performance despite lower operating expenses.

Income pressure as transaction-led business softened

The bank linked the quarterly setback to recalibration in its digital payments services and pressure on its transaction-led business. While the article does not quantify the fee and commission decline, it states this was the key driver that pushed the bank into the red. This matters because the payments bank model relies heavily on fee-based streams and transaction throughput in addition to spread income. In this quarter, the operating cost line reportedly eased, but it was not enough to offset the income compression.

Net interest income rose despite the loss

Net interest income (NII) increased 13.1% year-on-year to ₹36.9 crore, up from ₹32.6 crore a year earlier. The rise in NII suggests that interest-earning activity and balance-sheet-linked income held up better than transaction-driven lines. But with total income down sharply, the incremental NII did not translate into net profit. The quarter therefore highlights the difference between steadier NII and more volatile transaction-linked income for a payments bank.

Margins: net revenue margin expanded, EBITDA margin stable YoY

Fino Payments Bank said its net revenue margin expanded by 925 basis points year-on-year and 275 basis points sequentially to 42.8% for the quarter ended June. EBITDA margin remained broadly stable year-on-year at 14% compared with 13.6% in the quarter ended June. However, EBITDA margin declined from 16.5% in the preceding quarter, pointing to sequential pressure. These margin disclosures indicate better unit economics on revenue retained, even as the absolute income base fell.

Throughput trends: down YoY, up sequentially

Total throughput declined 10% year-on-year but increased 3% sequentially to ₹111,000 crore (₹1.11 lakh crore) during the quarter. The mix and quality of throughput can be as important as the headline number for transaction-led businesses, but the article only provides the aggregate figure. Separately, a June 2026 business update cited throughput of ₹2,830 crore, down 35% year-on-year from ₹4,373 crore, with B2B digital throughput at ₹0 crore versus ₹3,100 crore a year earlier. These numbers, presented in different contexts, underline that throughput trends can vary by category and reporting lens.

Key numbers at a glance

FY26 context: profits fell before the Q1 FY27 loss

The Q1 FY27 loss follows what the bank described as a challenging FY26, where net profit fell 43% year-on-year to ₹52.46 crore despite steady deposit growth. The article also notes that Q4 FY26 net profit dropped 70.4% year-on-year to ₹7.1 crore. It added that CASA renewal income reached a record ₹62.2 crore in Q4 FY26, growing 12% year-on-year. Together, these points frame a profitability slowdown heading into FY27.

Business update signals: deposits and customers grew in June 2026

A June 2026 business update cited 31% year-on-year growth in new accounts to 3,13,263 in June 2026, taking the total customer base to 1.8 crore. Average total deposits were reported at ₹2,755 crore, up 11% year-on-year from ₹2,477 crore. The update also said digitally active customers increased 22% year-on-year to 64.7 lakh, while FinoPay active customers rose 38% year-on-year to 8.4 lakh. Loan referral disbursals were reported at ₹240 crore in June 2026, up 253% year-on-year from ₹68 crore.

Stock and market references cited alongside results

The provided material includes multiple price references: a current share price of ₹160.85 and another cited CMP of ₹136, alongside a market capitalisation figure of ₹1,126 crore and another mention of ₹1,139.26 crore. It also states that shares jumped 10% after the June 2026 business update. Since these figures appear from different snapshots and sources in the text, investors typically align such data to the exact timestamp and exchange disclosures when comparing price action with earnings.

What to watch next: board meeting, earnings call, trading window

Fino Payments Bank is scheduled to hold its Q1 FY27 earnings call on August 14, 2026, following its board meeting on August 13, 2026, to consider and approve the un-audited financial results for the quarter ended June 30, 2026. The bank also disclosed that the trading window remains closed from July 1, 2026, until 48 hours after the results are declared, in line with regulatory standards. The call and filings will be the next key checkpoints for details on the fee and commission income decline, and on how the recalibration of digital payments services is progressing.

Conclusion

Q1 FY27 was defined by a sharp fall in total income to ₹306.9 crore and a swing to a net loss of ₹13.7 crore, even as NII rose to ₹36.9 crore and net revenue margin expanded to 42.8%. The next concrete update will come with the board-approved results and the earnings call scheduled for mid-August 2026, alongside the accompanying exchange disclosures.