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ESAF Bank Swings to Profit, Boosts Capital
30 Jan
Summary
- ESAF Bank reported a ₹7 crore net profit, a significant turnaround from a year-ago loss.
- Gross NPAs improved to 5.65% and net NPAs to 2.73% sequentially.
- The bank raised ₹15,000 lakh in Tier II capital during the quarter.
ESAF Small Finance Bank announced a net profit of ₹7 crore for the third quarter ending December 31, 2025. This marks a significant turnaround from the ₹210 crore loss recorded in the same period last year. The bank's net interest income, however, saw a slight decline of 10.6% year-on-year, reaching ₹433 crore.
Significant improvements were observed in asset quality. Gross non-performing assets (GNPAs) fell to 5.65% from 8.54% in the previous quarter, and net NPAs decreased to 2.73% from 3.83% sequentially. During the quarter, ESAF Bank raised ₹15,000 lakh in Tier II capital, contributing to a total of ₹26,500 lakh raised in the nine months leading up to December 31, 2025.
Total deposits increased by 7.10% year-on-year to ₹24,006 crore as of December 31, 2025. Term deposits grew by 6.85% and CASA deposits rose by 7.83%, with the CASA ratio slightly improving to 25.12%. The bank's customer base expanded to 99.85 lakh, supported by a network of 788 branches and 1,045 customer service centres across 24 states and two union territories.
