Investor Presentation

Here's the summary of the Q1FY26 earnings update: **1. Financial Highlights:** Gross Advances hit ₹13,362 Cr (+6.4% YoY), Deposits ₹15,467 Cr (+16.1% YoY). Net Interest Income (NII) was ₹2,760 Cr (flat QoQ). Profit After Tax (PAT) rebounded 17% QoQ to ₹370 Cr.

Gross NPA increased to 5.0% (Net NPA 1.4%), with Provision Coverage Ratio (PCR) at 73.7%. Capital Adequacy Ratio (CRAR) stood at 19.4%. **2. Strategic Initiatives & Growth Drivers:** The bank is diversifying its loan portfolio, reducing its Emerging Entrepreneurs Business (EEB) share while growing Housing, Retail, and Wholesale segments.

Digital adoption is high, with 98% of retail transactions now digital, leveraging its 6,300+ banking units for extensive outreach. **3. Business Developments:** Loan book rebalancing is evident, showing a strategic shift towards a higher secured book and robust growth in the non-EEB portfolio, indicating a move to more diversified and secured lending. **4. Market Position & Competitive Advantage:** With extensive outreach and strong capital, the bank's diversified portfolio underpins stability.

Digital engagement and consistent collection efficiency (EEB 97.6%) enhance its competitive edge in client management. **5. Investor Implications:** Q1FY26 shows mixed profitability (QoQ rebound, YoY dip) and rising NPAs.

However, the strategic shift to secured lending, robust digital initiatives, and strong capital suggest a focus on risk mitigation and sustainable growth potential.