19-Jul-2026Today's Market Indicators

Total income increased 6.26% year on year (YoY) to Rs 40,721.05 crore in Q1 FY27.

Operating profit rose 1.25% to Rs 11,659.10 crore in Q1 FY27, compared with Rs 11,515.16 crore posted in the corresponding quarter last year.

The bank's net interest income (NII) for Q1 FY27 stood at Rs 14,646 crore, up 8% on a YOY basis. Net Interest Margin (NIM) for Q1 FY27 stood at 3.46%.

The bank reported an operating profit of Rs 11,659 crore for the quarter. Core operating profit stood at Rs 11,122 crore, while operating costs increased 5% year-on-year in Q1 FY27.

On the provisioning front, the bank reported provisions and contingencies of Rs 2,223 crore for Q1 FY27, including specific loan loss provisions of Rs 2,079 crore. The bank held cumulative provisions, comprising standard and additional provisions other than NPA provisioning, of Rs 15,608 crore as of June 30, 2026. These provisions, over and above the NPA provisioning considered for provision coverage ratio (PCR) calculations, translated into a standard asset coverage of 1.24%. On an aggregate basis, the provision coverage ratio, including specific, standard and additional provisions, stood at 161% of GNPA as of June 30, 2026. Annualised credit cost for the quarter stood at 0.63%.

On the advances front, the bank's loan book grew 19% year-on-year to Rs 12.62 lakh crore as of June 30, 2026. Retail loans increased 8% year-on-year to Rs 6.76 lakh crore, accounting for 54% of net advances. Secured retail loans constituted around 73% of the retail portfolio, with home loans contributing 26%.

Within retail, Small Business Banking (SBB) grew 18% year-on-year, while loans against property increased 11%, personal loans rose 7%, credit card advances grew 5%, and the rural loan portfolio expanded 16% year-on-year. The SME portfolio remained diversified across geographies and sectors, growing 25% year-on-year to Rs 1.52 lakh crore.

The corporate loan book increased 38% year-on-year, while the mid-corporate portfolio grew 27% year-on-year. Around 91% of the corporate loan book was rated A- and above, with 87% of incremental sanctions during Q1 FY27 being to corporates rated A- and above.

The bank's investment portfolio stood at Rs 4.39 lakh crore as of June 30, 2026, comprising Rs 3.62 lakh crore in government securities, Rs 51,938 crore in corporate bonds, and Rs 25,083 crore in other securities, including equities and mutual funds. Of the total investments, 74% were classified under the Held to Maturity (HTM) category, 11% under Available for Sale (AFS), 13% under Fair Value through Profit & Loss (FVTPL), and 2% represented investments in subsidiaries and associates.

On the wealth management front, the bank's assets under management (AUM) stood at Rs 7.54 lakh crore as of June 30, 2026, growing 20% year-on-year. The bank's high and ultra-high net worth client proposition, Burgundy Private, catered to 17,408 families, with AUM rising 16% year-on-year to Rs 2.68 lakh crore.

On capital adequacy, the bank's shareholders' funds increased 15% year-on-year to Rs 2.12 lakh crore as of June 30, 2026. The capital adequacy ratio (CAR) and Common Equity Tier-1 (CET1) ratio stood at 16.67% and 14.64%, respectively. Additionally, provisions of Rs 7,013 crore and one-time additional standard asset provisions of Rs 1,231 crore, which are not considered for CAR computation, provided an additional cushion of around 52 basis points over the reported CAR. The book value per equity share increased to Rs 681 from Rs 596 a year earlier.

On asset quality, the bank's gross non-performing assets (GNPA) declined to 1.28% as of June 30, 2026, from 1.57% a year earlier, while net non-performing assets (NNPA) improved to 0.39% from 0.45%. Recoveries from written-off accounts during the quarter stood at Rs 961 crore. Net slippages, adjusted for recoveries from the written-off pool, stood at Rs 2,479 crore.

Gross slippages during the quarter stood at Rs 5,566 crore, compared with Rs 8,200 crore in Q1 FY26. Recoveries and upgrades from NPAs amounted to Rs 2,126 crore, while the bank wrote off NPAs worth Rs 2,399 crore during the quarter. Provision coverage ratio (PCR) stood at 70% of gross NPAs as of June 30, 2026, compared with 71% a year earlier.

The fund-based outstanding of standard restructured loans under the COVID-19 resolution framework declined to Rs 913 crore as of June 30, 2026, accounting for 0.07% of gross customer assets. The bank maintained a provision coverage of around 17% on these restructured loans, above regulatory requirements.

On the distribution front, the bank's network expanded to 6,295 domestic branches and extension counters and 315 Business Correspondent Banking Outlets (BCBOs) across 3,352 centres as of June 30, 2026, compared with 5,879 branches and extension counters and 235 BCBOs across 3,192 centres a year earlier. The bank had 12,564 ATMs and cash recyclers across the country as of June 30, 2026. Its Axis Virtual Centre operated across eight centres with 1,700 Virtual Relationship Managers.

Amitabh Chaudhry, MD & CEO, Axis Bank said, 'As customer expectations evolve and technology continues to reshape financial services, our focus remains on building a franchise that combines trust, innovation and resilience at scale. This quarter, we continued to invest across these priorities - strengthening digital security, deploying AI to simplify customer journeys, expanding growth platforms and supporting ecosystems that drive economic progress. With these investments we hope to create enduring value for our customers, stakeholders and the communities we serve.'

Axis Bank is a private sector bank. It has the third-largest network of branches among private sector banks and an international presence through branches in DIFC (Dubai) and Singapore along with representative offices in Abu Dhabi, Sharjah, Dhaka and Dubai and an offshore banking unit in GIFT City.

Shares of AXIS Bank rose 1.86% to end at Rs 1,328.95 on the BSE on Friday, 17 July 2026.

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