Capital Small Finance Bank delivered a steady performance in the third quarter ended December 31, 2025, supported by healthy loan growth, stable asset quality, and improving deposit traction.
As of December 31, 2025, the bank’s gross advances stood at ₹8,164 crore, marking a strong year-on-year growth of 19.8% and a quarter-on-quarter growth of 3.3%. This expansion reflects sustained demand across the bank’s diversified retail loan portfolio. During the quarter, disbursements increased to ₹919 crore, compared with ₹737 crore in the same quarter last year, registering a growth of 24.7%. Importantly, the loan book remains largely secured, with 98.7% of advances backed by collateral, in line with the bank’s conservative, retail-centric lending strategy.
Asset quality remained stable during the quarter. Gross NPAs were steady at 2.7% as of December 31, 2025, unchanged from the previous quarter and the corresponding period last year. This consistency underscores the bank’s disciplined underwriting standards, strong recovery processes, and the granular nature of its loan book, which continues to demonstrate healthy repayment behaviour.
On the liabilities side, total deposits aggregated to ₹9,931 crore as of December 31, 2025, registering a year-on-year growth of 18.5% and a quarter-on-quarter growth of 6.6%. The bank also reported an improvement in its CASA ratio, which rose to 35.9% from 33.9% as of September 30, 2025. The improvement reflects the bank’s sustained efforts to build a stable, low-cost, and diversified deposit base.
Liquidity and balance sheet metrics remained comfortable. The average credit-deposit ratio for the quarter stood at 80.4%, compared with 81.6% in the previous quarter and 81.1% in the year-ago period, indicating balanced growth between advances and deposits. The liquidity coverage ratio was robust at 215.82% as of December 31, 2025. Along with a higher capital adequacy ratio, this provides sufficient headroom for the bank to support future growth while maintaining financial stability.
