1. Opening Hook
Just when Twitter was busy debating whether microfinance cycles ever truly end, Ujjivan SFB quietly dropped a Q3 that screamed, “Relax, we’ve seen worse.”
Deposits surged, profits exploded, asset quality behaved itself, and management walked in with charts, guardrails, and zero panic energy.
This wasn’t a “hope-for-FY27” kind of call. This was a “numbers are finally lining up” call.
Secured loans are growing faster than excuses during earnings season, credit costs behaved unusually well, and CASA decided to cooperate for once.
But before you start daydreaming about ROE nirvana, there are caveats—margin normalization, operating leverage dreams, and that ever-watchful micro-banking beast.
Read on. It gets interesting after the celebration confetti settles.
2. At a Glance
- Deposits up 22% YoY – Retail money showed up, bulk money behaved.
- CASA at 27.3% – Not heroic, but finally respectable.
- PAT up 71% YoY – Profits woke up and chose violence.
- NII crossed ₹1,000 Cr – A psychological milestone, management smiled.
- GNPA at 2.4% – Stress politely stepped aside.
- Secured book at 48% – Slowly but surely, de-risking is real.
3. Management’s
Key Commentary
“This is the highest-ever quarterly profit delivered by the Bank.”
(Translation: Please forget the last few years, focus here 😏)
“Secured portfolio continues to scale up across housing, MSME and gold.”
(Translation: We’re tired of unsecured heartbreak.)
“Credit cost for the quarter was benign.”
(Translation: Don’t get used to it, but enjoy it.)
“CASA growth remains a strategic priority.”
(Translation: Term deposits are expensive, and we know it.)
“Asset quality trends are stable across geographies.”
(Translation: No new fires… for now.)
“Cost-to-income will improve with operating leverage.”
(Translation: Please give us time and a few more branches.)
4. Numbers Decoded
| Metric | Q3 FY26 | What It Really Means |
|---|---|---|
| NII | ₹1,000 Cr | Scale benefits kicking in |
| PAT | ₹186 Cr | Base effect + lower credit cost magic |
| ROA | 1.5% | Finally looking like a bank |
| ROE | 11.5% | Still warming up |
| GNPA | 2.4% | Micro stress kept on a leash |
| Secured Book | 48% | Risk profile improving steadily |
