Equitas Small Finance Bank has reported a significant increase in its gross advances, recording a 21.58% year-on-year (YoY) growth and a 6.74% quarter-on-quarter (QoQ) rise for the quarter ending March 31, 2026. The bank’s gross advances reached ₹46,183 crore, up from ₹37,986 crore in the same period last year.
The growth in gross advances was driven by robust disbursements amounting to ₹7,347 crore, marking a 12.05% increase QoQ and a substantial 72.19% increase YoY. The microfinance and micro loans segment also saw a notable rise, with advances growing by 27.18% YoY and 11.58% QoQ to ₹5,757 crore.
Total deposits for the bank increased by 7.96% YoY and 6.56% QoQ, reaching ₹46,533 crore as of March 31, 2026. However, the Current Account Savings Account (CASA) ratio decreased to 26% from 29% in the previous year.
The bank’s cost of funds improved, reducing from 7.54% in March 2025 to 6.93% in March 2026. The Credit-Deposit (CD) ratio also showed an upward trend, reaching 93.69% in March 2026 from 84.09% in September 2025.
In the microfinance and micro loans segment, the 1-90 days past due (DPD) trend showed a consistent reduction, with the percentage dropping from 4.34% in October 2025 to 1.43% in March 2026. The X-bucket collection efficiency improved to 99.71% in Q4FY26, indicating strengthening asset quality and stabilising credit stress.
The bank also reported a reduction in the principal outstanding of loans slipping from the X bucket to the overdue bucket, which is currently at its lowest level, reflecting a normalisation of slippage behaviour.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).