IDFC First Bank Q1 FY26 PAT Down 32% YoY, Despite 25.5% Increase in Customer Deposits

IDFC First Bank has reported a 32% year-over-year (YoY) decline in Profit After Tax (PAT) for the first quarter of FY26, despite a significant 25.5% increase in customer deposits. The bank's retail deposits grew by 24.5% YoY, contributing to 80% of total customer deposits. The bank's loans and advances also increased by 21.0% YoY, driven by mortgage loans, vehicle loans, business banking, MSME loans, and wholesale loans. However, the bank's net interest margin reduced due to the impact of repo, asset mix change, and decline in investment yields. The bank's capital adequacy ratio, including profits for Q1 FY26, stands at 15.01% with a CET-I ratio of 12.80%.