Chandigarh, July 27: The Board of Directors of AU Small Finance Bank Limited at its meeting held today approved the financial results for the quarter ended 30th June 2026.
Operating environment in Q1 remained uncertain impacted by geopolitical developments in West Asia, higher currency volatility and tighter liquidity conditions. Despite these challenges, India’s domestic growth momentum remained healthy and credit demand continued to be resilient.
Bank delivered another quarter of strong operating performance with disciplined execution and continued focus on strengthening the quality of its balance sheet. The Bank continued to deepen customer relationships, expand its secured lending businesses and invest in technology-led capabilities while maintaining prudent risk management.
With a strong capital position, healthy liquidity profile and continued progress towards becoming a Universal Bank, AU remains well positioned to deliver sustainable and profitable long-term growth.
Commenting on the performance, Mr. Sanjay Agarwal, Founder, MD & CEO, AU Small Finance Bank said, “Indian economy continues to remain resilient despite a challenging quarter marked by geopolitical uncertainties. I thank the Government and regulators for their proactive measures in safeguarding the economy from any major direct impact.
Against this macroeconomic backdrop, the Bank delivered a strong and well-rounded performance, with healthy growth in both deposits and advances alongside improved profitability. This reflects the investments made in strengthening the franchise, particularly over the last two years, through expanded distribution, enhanced technology capabilities, stronger product offerings and high-quality talent pool build-out.
What is particularly encouraging is the continued improvement in both the quality of growth and the quality of earnings. Our performance is increasingly being driven by the underlying strength of the franchise and disciplined execution, rather than cyclical or one-off factors.
While we remain mindful of the evolving macro environment, our strong capital and liquidity buffers, robust underwriting capabilities, and deepening franchise strengths provide the resilience to manage uncertainties and the flexibility to capture opportunities responsibly. As we continue to build a stronger, more diversified institution, we remain committed to delivering consistent, high-quality growth and creating enduring value for all our stakeholders.”