Q3 2026 Bandhan Bank Ltd Earnings Call Transcript
Key Points
- Bandhan Bank Ltd (BOM:541153) reported a healthy year-on-year growth of 10% in gross advances, reaching INR1.45 lakh crore.
- The bank's deposit granularity improved, with retail deposits growing by 17% year-on-year, indicating stronger customer trust.
- Asset quality trends showed improvement with a significant reduction in gross and net NPA ratios to 3.3% and 1%, respectively.
- The bank's net interest margin improved to 5.9% from 5.8% in the previous quarter, aided by a reduction in the cost of funds.
- Bandhan Bank Ltd (BOM:541153) continues to expand its distribution network, adding 20 new branches during the quarter, enhancing customer reach.
- The bank's CASA ratio declined to 27% from 31% a year ago, reflecting challenges in maintaining low-cost deposits.
- Despite improvements, the credit cost remains elevated, with a slight moderation to 3.3% from 3.4% in the previous quarter.
- The microfinance (EEB) portfolio showed a year-on-year decline of 11%, indicating ongoing challenges in this segment.
- Operating expenses increased by 6% sequentially, driven by a provision for gratuity following new labor codes.
- The bank's profitability ratios remain low, with a return on assets of 0.4% and return on equity of 3% for the quarter.
Laadies and gentlemen, good day, and welcome to the Bandhan Bank Limited Q3 FY26 earnings conference call. (Operator Instructions)
Please note that this conference is being recorded. I now hand the conference over to Mr. Vikash Mundra, Head of Investor Relations team. Thank you, and over to you, sir.
Thank you, Sade. Good evening, everyone, and a warm welcome. It's a great pleasure to have you with us as we review Bandhan Bank's business and financial performance for the quarter and nine months ended December 2025. We truly appreciate your time, your continued support and your participation on today's call. I hope the year has begun on a positive note for you and your families, and I wish all of you a healthy, successful 2026.
Joining me today are Mr. Partha Pratim Sengupta, MD and CEO; Mr. Ratan Kumarkesh, Executive Director and Chief Operating Officer; Mr. Rajinder Kumar Babar, Executive Director and Chief Business Officer; Mr. Rajeev Mantri, Chief Financial Officer; and I'm Vikash
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
