CSB Bank Q1: net profit up 27% YoY to ₹150 Cr, but slips 26% QoQ as provisions rise

CSB Bank's Q1 FY27 (standalone; the bank has no subsidiaries, so no consolidated statement exists) delivered net profit of ₹150.04 Cr, up 26.5% YoY from ₹118.60 Cr, on total income of ₹1,516.07 Cr (+18% YoY) and net interest income of ₹478.66 Cr (+26% YoY). The year-on-year print is strong and clean — profit grew faster than the 23.7% rise in interest income, and there are no exceptional or extraordinary items on either side. Sequentially, though, profit fell 25.6% from Q4 FY26's ₹201.58 Cr, so the quarter reads as strong YoY growth alongside a normalisation off a seasonally elevated fourth quarter.

Two lines explain the sequential drop. Provisions (ex-tax) more than doubled to ₹49.03 Cr from ₹23.02 Cr in Q4 (still below the ₹60.79 Cr booked a year ago), and other income slipped to ₹228.75 Cr from a seasonally strong ₹306.21 Cr in Q4, where treasury and PSLC gains typically peak. Operating profit at ₹250.77 Cr was up 13.8% YoY but down 14.6% QoQ. Annualised ROA fell to 1.06% from 1.50% in Q4 FY26, running below management's ~1.5% full-year guide; core operating margin (OPM) eased to 19.5% from 21.2% a year earlier, even as reported net margin edged up to 9.9% from 9.2% YoY. So the profitability guideposts (ROA, OPM) compressed while headline net margin held.

The stock went into the print at ₹347.35, down 4.5% over the past month of trading.

For context: revenue is at a 6-quarter high.

Growth, by contrast, is tracking the ~25% loan-and-deposit ambition management laid out on the last call: the pre-result business update showed deposits up 26% YoY to ₹45,415 Cr and gross advances up 24% to ₹40,866 Cr, with the gold loan book up 47% to ₹21,906 Cr. Asset quality held firm — Gross NPA 1.75% (₹715.42 Cr), Net NPA 0.39%, CAR 19.96%. No brokerage consensus is published for this mid-cap, and the bank issued no separate result press release, so the net read is: franchise expansion on target and YoY earnings momentum intact, but profitability running below the guided run-rate as provisioning normalises off Q4 lows. Alongside the results, the board approved a new ESOS 2026 scheme and granted 61,565 options at ₹370.