Utkarsh SFB Q2 FY27: Net Loss ₹70 Cr, down 80% YoY

Utkarsh Small Finance Bank announced its unaudited financial results for the quarter and half-year ended September 30, 2026. Key highlights for Q2 FY27 include a 55.0% YoY growth in disbursements and a 7.5% YoY increase in the Gross Loan Portfolio to ₹20,062 crore, with secured lending now at 52%. Deposits grew 6.6% YoY to ₹23,869 crore, and the CASA ratio improved to 21.4%. The Cost of Funds decreased by approximately 50 bps YoY to 7.5%, leading to a Net Interest Margin (NIM) expansion of about 120 bps YoY to 6.3%. Gross Non-Performing Assets (GNPA) improved significantly by ~630 bps YoY to 5.9%, and credit cost also improved by ~630 bps YoY to 3.3%. The bank reported a pre-provision operating profit of ₹85 crore, compared to a loss of ₹3 crore in Q2 FY26. The Net Loss for Q2 FY27 was ₹70 crore, an 80% reduction from the ₹348 crore loss in Q2 FY26. The bank operates across 27 States & UTs with 1,110 branches.