• Asset quality improvement: Gross NPA decreased to 2.95% while net NPA dropped to 0.29%, supported by a provision coverage ratio above 97% and total recoveries of ₹15,500 crore, which were nearly double the slippages. Slippages stood at 0.60% and overall SMA 0, 1, and 2 accounts declined to 3.30% of the portfolio.
• Deposit strategy: CASA grew by 6.2% led by a 9.2% rise in individual savings accounts following revamped schemes that added 47 lakh accounts and ₹23,000 crore in deposits. Incremental deposit costs are decreasing by 3 to 4 basis points each month, which is expected to support future net interest margins.
• ECL transition readiness: The bank is well-prepared for the April 1, 2027 ECL norms due to a CRAR of 17.74%, CET1 of 13.62%, high provision coverage, and an existing floating provision buffer of ₹2,045 crore.
• Growth and profitability guidance: For the upcoming financial year, the bank is targeting 12–13% credit growth, 9–10% deposit growth, net interest margin between 2.60–2.70%, and a return on assets above 1.0%. Gross NPA is guided below 2.50%, net NPA below 0.30%, and target recoveries are set at ₹13,000 crore.