IDFC First Bank reported a 17% year-on-year deposit growth in the March quarter, a decrease from its usual 20% rate, attributed to a deliberate cut in deposit rates from 7% to 6.5%. CEO V Vaidyanathan stated that this slowdown was anticipated, as some customers withdrew funds in response to the lower rates. However, he expressed confidence that the bank would return to 20% annual deposit growth in FY27, supported by strong April data. The bank's net interest margin (NIM) increased to 5.93%, although Vaidyanathan advised that the effective NIM should be viewed closer to 5.8%. Operating expenses grew at 12.5%, indicating strong operating leverage as the balance sheet expanded by approximately 19%. Credit costs for Q4 were reported at 1.65%, with expectations for further declines in FY27. Vaidyanathan also addressed the potential impacts of the West Asia crisis on borrowers, noting no visible effects yet but emphasizing the bank's proactive monitoring and scenario planning.