The private sector lender's interest income rose 4.7 per cent year-on-year to Rs 32,724 crore in Q4FY26, compared with Rs 31,243 crore in the same period last year.

The lender reported interest expenses of Rs 18,267 crore in the quarter under review, up 4.7 per cent year-on-year from Rs 17,432 crore in Q4FY25.

The bank's Board of Directors has recommended a dividend of Rs 1 per share for the financial year ended March 31, 2026, subject to shareholders' approval at the upcoming Annual General Meeting.

The bank reported Net Interest Income (NII) of Rs 14,457 crore for Q4FY26, marking a 5 per cent year-on-year increase, while its Net Interest Margin (NIM) stood at 3.62 per cent for the quarter.

Axis Bank reported an operating profit of Rs 10,013 crore for the quarter, while core operating profit came in at Rs 10,619 crore, according to its regulatory filing. Operating expenses rose 6 per cent year-on-year in Q4FY26. Meanwhile, profit after tax (PAT) increased 9 per cent sequentially from Rs 6,490 crore in Q3FY26.

Highlights

• Profit After Tax (PAT) rose 9 per cent QoQ, reaching ₹7,071 crores, supported by steady fee income growth and stable margins.
• Deposits grew 14 per cent YoY and 6 per cent QoQ, while Advances increased 19 per cent YoY and 6 per cent QoQ, led by strong SME and corporate lending.
• Core operating profit grew 4 per cent YoY, with Net Interest Income (NII) up 5 per cent YoY and fee income rising 8 per cent QoQ, indicating resilient core earnings.
• Gross NPA and Net NPA improved to 1.23 per cent and 0.37 per cent, with credit costs declining significantly, reflecting better risk management.
• Capital Adequacy Ratio stood at a healthy 16.42 per cent, with robust liquidity buffers ensuring balance sheet resilience.
• The bank continues to lead in digital payments with 36 per cent UPI market share, alongside strong growth in digital transactions and mobile banking adoption.
• Fee income remains well-diversified with 92 per cent granular contribution, reducing dependence on bulk or volatile income streams.
• The bank added ~1 million credit cards in the quarter, maintaining a strong 14 per cent market share in cards-in-force.
• CASA deposits grew 11 per cent YoY and 7 per cent QoQ, maintaining a strong 40 per cent ratio and supporting a stable, low-cost funding base.

(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)

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