Ujjivan Small Finance Bank Q2 FY27 Results: Profit Rises 200% to ₹365 Crore as Deposits Cross ₹50,000 Crore

Ujjivan Small Finance Bank (SFB) reported its highest-ever quarterly profit after tax (PAT) of ₹365 crore in Q2 FY27, up 199.9% year on year and 15.3% quarter on quarter. Net interest income (NII) increased 35% year on year to a record ₹1,244 crore.

Deposits crossed ₹50,000 crore for the first time, reaching ₹50,643 crore, while quarterly loan disbursements rose 32.3% year on year to ₹10,495 crore. The bank’s board also approved a proposed ₹409 crore capital raise through a preferential issue, subject to shareholder approval.

The Ujjivan Small Finance Bank share price closed at ₹63.25 on 16 October 2026 on the National Stock Exchange (NSE), down 1.94%.

Ujjivan SFB Q2 Results: Lending Business Growth

The gross loan book increased 32.1% year on year to ₹45,699 crore. The secured loan book grew 47% to ₹23,803 crore, taking its share of the total loan book to 52.1%.

Affordable housing loans crossed ₹10,000 crore, reaching ₹10,056 crore, up 31.4%. Micro-mortgage loans grew 85.7% to ₹2,031 crore, while micro, small and medium enterprise (MSME) loans increased 51.3% to ₹3,871 crore. Gold loans rose 209.8% to ₹1,275 crore, and two-wheeler loans grew 64.8% to ₹1,081 crore.

Micro-banking assets stood at ₹22,037 crore. The business added around two lakh customers during the quarter, a 19% increase over the previous quarter.

How Were The Deposits And Asset Quality?

Ujjivan SFB Q2 FY27 deposits grew 29.2% year on year and 5.2% quarter on quarter. Current account and savings account (CASA) deposits reached ₹13,176 crore, up 22.2%, with the CASA ratio at 26%. The cost of funds declined to 6.9%, down 0.4 percentage points year on year, supported by deposit repricing. The bank also introduced an Application Supported by Blocked Amount (ASBA) facility during the quarter.

Gross non-performing assets (GNPA) declined to 2.10% from 2.45% a year earlier, while net non-performing assets (NNPA) fell to 0.31% from 0.67%. Portfolio at risk improved to 3.57% from 4.44%. The provision coverage ratio rose to 85%, and collection efficiency for Group and Individual Loan Bucket-X reached 99.71%.

The capital adequacy ratio stood at 20.69%, while the average daily liquidity coverage ratio was 131%. Net interest margin was 8.4%, up 55 basis points year on year, and the cost-to-income ratio improved to 62%.

The proposed ₹409 crore preferential issue will involve the International Finance Corporation and three domestic life insurers. The bank said the issue price is at a premium to its current book value per share and is expected to add approximately ₹0.80 per share to book value as of September 2026. It also received the first ₹500 crore tranche through direct assignment in October.

During H1 FY27, the bank added 104 branches and 1,335 employees. Its network now comprises 880 branches across 352 districts in 26 states and union territories, serving around one crore customers.

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