Shares of Ujjivan Small Finance Bank fell over 4% after the lender reported a steep 75% year-on-year drop in net profit for the quarter ended March 31, 2025. Net profit declined to Rs 83.4 crore, down from Rs 329.6 crore in Q4 FY24, mainly due to a significant rise in provisions and contingencies.
Provisions surged to Rs 264.5 crore in Q4 FY25, compared to just Rs 79 crore in the same quarter last year, overshadowing the growth in total income. The bank’s total income rose to Rs 1,843 crore from Rs 1,764 crore in Q4 FY24, driven by interest earnings of Rs 1,573 crore, with Rs 1,359 crore coming from advances and bills.
However, rising costs added pressure on profitability. Operating expenses jumped to Rs 774 crore, up from Rs 651 crore a year ago, with employee expenses at Rs 419.6 crore and other operational costs at Rs 354.6 crore. Tax expenses declined to Rs 11.9 crore from Rs 109.9 crore, offering some cushion to the bottom line.
For the full year FY25, the bank’s net profit dropped to Rs 726.1 crore from Rs 1,281.5 crore in FY24, despite an increase in total income to Rs 7,200.6 crore. Total expenditure surged to Rs 5,511.4 crore, up from Rs 4,546.8 crore.
Ujjivan Small Finance Bank shares opened at ₹43.00 today, hitting a high of ₹44.05 and a low of ₹41.05 during trading. The stock remains volatile but shows resilience within its 52-week range of ₹30.88 to ₹56.15.
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