June 26, 2026 05:45 pm (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
Ram Mandir Trust chief Champat Rai resigns as alleged donation siphoning row escalates | Ram Mandir fund row deepens: 8 arrested days after BJP called allegations 'false narrative' | 'Who tied the hands of CBI?': Calcutta HC on RG Kar case; victim's mother, now BJP MLA, says she is 'deeply disturbed' | Construction comes to a standstill at nearly 700 Kolkata projects after Taratala warehouse tragedy kills 15 | World Cup shocker! Ecuador stun Germany 2-1, storm into Round of 32 | Iran-US conflict: Cargo vessel hit near Strait of Hormuz, UN agency pauses evacuation operations | Amazon's massive India bet! Andy Jassy announces $48 billion investment after meeting PM Modi | Taratala warehouse collapse: Death toll climbs to 8, five arrested as SIT launches probe | Oil prices crash, IndiGo takes off! Aviation and fuel stocks emerge as biggest winners | Passport is a travel document, not conclusive proof of citizenship: MEA

Jana Small Finance Bank Q2FY26 profit drops 22.7% YoY to ₹75 cr; deposits up 31%, loan book grows 20%

| @indiablooms | Oct 17, 2025, at 11:44 pm

Bengaluru: Jana Small Finance Bank Limited (Jana SFB) reported a net profit of ₹75 crore for the quarter ended September 30, 2025, marking a 22.7 percent year-on-year decline, even as the lender posted strong growth in deposits and advances, according to its financial results approved by the board on Friday.

The bank’s gross loan portfolio (GLP) expanded 20 percent year-on-year to ₹31,655 crore, while deposits surged 31 percent to ₹32,532 crore.

Secured loans rose 34 percent and now make up 73 percent of the total book. The bank’s capital adequacy ratio remained healthy at 19.7 percent, with Tier-I capital at 18.8 percent.

During the quarter, Jana SFB’s interest income rose to ₹1,305 crore from ₹1,166 crore in the year-ago period.

Net interest income increased modestly to ₹618 crore from ₹594 crore, while operating income stood at ₹866 crore.

Operating expenses climbed to ₹587 crore, leaving an operating margin of ₹279 crore.

Provisions and contingencies were ₹204 crore, up marginally from ₹196 crore in the previous quarter, leading to a profit before tax of ₹75 crore.

Gross non-performing assets (GNPA) and net NPA were stable at 2.8 percent and 0.9 percent, respectively, with a provision coverage ratio (PCR) of 82 percent including technical write-offs.

The bank’s profitability metrics softened during the quarter, with net interest margin easing to 6.6 percent from 7.7 percent a year earlier.

Cost-to-income ratio rose to 67.8 percent from 61.2 percent in Q2FY25. Return on average assets (annualised) dropped to 0.7 percent, and return on average equity fell to 7.1 percent.

Managing Director and CEO Ajay Kanwal said the first half of FY26 “reflects strong business momentum” supported by growth in deposits and advances.

He noted that profitability was “relatively softer due to accelerated provisioning” undertaken to maintain NNPA below one percent, and added that the shift toward a predominantly secured portfolio would help lower credit costs going forward.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.
Related Videos
RBI announces repo rate cut Jun 06, 2025, at 10:51 am
FM Nirmala Sitharaman presents Budget 2025 Feb 01, 2025, at 03:45 pm
Nirmala Sitharaman on Budget 2024 Jul 23, 2024, at 09:30 pm