IDFC FIRST Bank Reports 4.9% Increase in Q4 Net Profit Amid Improved Asset Quality
IDFC FIRST Bank Q4 PAT rises 4.9% YoY; asset quality improves, provisions ease
Business Standard
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IDFC FIRST Bank's standalone net profit rose 4.9% to ₹318.94 crore in Q4 FY26, driven by a 7.73% increase in total income. The bank's asset quality improved, with gross non-performing assets (NPAs) declining to 1.61%. The board recommended a dividend of ₹0.25 per share.
- 01Net profit increased by 4.9% to ₹318.94 crore in Q4 FY26.
- 02Total income rose by 7.73% to ₹12,182.81 crore.
- 03Gross NPA ratio improved to 1.61% from 1.87% a year ago.
- 04Provisions and contingencies decreased by 40.07% YoY to ₹869.24 crore.
- 05The bank's capital adequacy ratio stood at 15.60%.
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IDFC FIRST Bank reported a 4.9% year-on-year increase in standalone net profit, reaching ₹318.94 crore for the fourth quarter of FY26, with total income rising 7.73% to ₹12,182.81 crore. The normalized profit after tax, excluding one-time items, surged 48.4% YoY to ₹746 crore. The bank fully accounted for the financial impact of a fraud incident at its Chandigarh branch, which resulted in a post-tax impact of ₹483 crore. Despite this setback, asset quality showed improvement, with gross non-performing assets (NPAs) declining to 1.61% as of March 2026, down from 1.87% a year earlier. Provisions and contingencies fell sharply by 40.07% YoY to ₹869.24 crore, reflecting better asset quality trends. The bank's capital adequacy ratio remained strong at 15.60%. Additionally, the board proposed a dividend of ₹0.25 per equity share for FY26. Shares of IDFC FIRST Bank closed at ₹67.23, down 0.88% on April 24, 2026.
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The improved asset quality and reduced provisions may lead to better lending rates and financial stability for customers, potentially benefiting homebuyers and borrowers.
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