Ujjivan Small Finance Bank Q2FY27 PAT hits ₹365 cr

Key takeaway from the Q2FY27 call

Ujjivan Small Finance Bank posted its highest-ever quarterly profit after tax (PAT) at ₹365 crore in Q2FY27. The bank said the profit was up 15% quarter-on-quarter and about three times year-on-year. Management also reiterated that it remains on track to meet its full-year FY27 guidance, even as the bank goes through a CEO transition. The earnings conference call was held on 16 October 2026 and hosted by ICICI Securities.

The bank’s performance in the quarter was supported by strong balance sheet growth and steady core operating metrics. Deposits crossed the ₹50,000 crore milestone, while the gross loan book also expanded meaningfully. Operating profitability metrics remained elevated, with net interest margin staying above 8%.

Earnings call setting and management commentary

The Q2 and H1 FY27 earnings conference call was conducted on 16 October 2026. The call was hosted by ICICI Securities, with participation from Ujjivan’s top management team. Carol Furtado, Whole Time Director and Interim CEO, led the discussion and said the bank would refer to year-on-year comparisons with Q2 FY26 and quarter-on-quarter comparisons with Q1 FY27.

The bank also pointed to internal momentum across deposits, assets, and income lines in the quarter. Management highlighted deposit growth, loan book expansion, and the role of stable funding costs in supporting margins. The company’s narrative focused on execution against previously communicated targets for the year.

Record profit and profitability metrics

Ujjivan reported an all-time high quarterly PAT of ₹365 crore for Q2FY27. Alongside the profit print, the bank reported return on assets (ROA) of 2.4% and return on equity (ROE) of 19.7%. These profitability ratios were part of the earnings call highlights shared with investors.

From the investor relations summary, Q2FY27 delivered a record quarterly net profit of ₹36,505 lakh, which corresponds to about ₹365.05 crore. The same summary reported H1 net profit of ₹68,159 lakh, or about ₹681.59 crore, and noted this was up 203% year-on-year.

Net interest income, total income, and margins

The bank reported that net interest income (NII) climbed 35% year-on-year to ₹1,244 crore in Q2FY27. Total income for the quarter was reported at ₹2,450 crore. Management said asset growth translated into strong revenue momentum.

Net interest margin (NIM) for the quarter was reported at about 8.4% to 8.45% in the materials and call highlights. Management attributed the margin resilience to advances yield being in a “comfortable zone” and a largely stable cost of funds.

Deposits cross ₹50,000 crore milestone

A key operating milestone in Q2FY27 was the bank crossing ₹50,000 crore in deposits. Total deposits rose to ₹50,643 crore, up 29.2% year-on-year. The bank reported a CASA ratio of 26%.

Management said it continued to add customers and increase volumes across deposit offerings. It also flagged downward repricing of deposits as a factor that helped maintain the cost of funds at around 6.9%, as per the call commentary.

Loan book growth and mix shift toward secured products

Ujjivan’s gross loan book reached ₹45,699 crore in Q2FY27, up 32.1% year-on-year. Management said this translated into 12.4% year-to-date growth and that the bank remains on track to meet full-year guidance.

The bank also highlighted a portfolio mix shift, with secured business lines growing faster and forming 52.1% of the loan book. The unsecured portion, consisting of micro banking, was reported at ₹22,037 crore. Management said this portfolio grew about 6% in the first half of FY27 and remains on track to deliver around 12%-14% for the full year.

Asset quality and risk indicators disclosed

Ujjivan’s Q2FY27 highlights included gross non-performing assets (GNPA) of 2.1%. The disclosure was part of the call summary metrics.

While the transcript excerpt focuses more on growth and profitability, the presence of the GNPA metric provides investors a reference point for asset quality during a period of fast balance sheet expansion.

FY27 guidance reiterated amid CEO transition

The headline theme from the event was that the bank maintained FY27 guidance even as it operates under an interim CEO structure. Carol Furtado participated as Whole Time Director and Interim CEO, and management said the bank is on track with its full-year plans.

The emphasis on being “on track” was tied to reported year-to-date loan book growth and the stated trajectory for micro banking growth over the full year. For investors, the key point was continuity of execution signals alongside disclosure of leadership transition context.

Regulatory and audit update on results

The investor relations summary noted that the board approved unaudited Q2 and H1 results on 16 October 2026. It also stated that the statutory auditors issued an unmodified limited-review conclusion.

This disclosure matters because it confirms the status of the quarter’s financial reporting and the review outcome referenced alongside the earnings materials.

Key numbers snapshot

What investors will track next

With Q2FY27 results approved on 16 October 2026 and the earnings call completed, the near-term focus will stay on whether the bank continues to meet its FY27 guidance while sustaining margins and asset quality indicators. Deposits, CASA ratio, and the secured-unsecured mix will remain important operating markers, given the bank’s stated growth momentum.

The next key update for market participants will be subsequent quarterly disclosures and any formal communication on leadership transition beyond the interim arrangement described in the call materials.