Q1 results: Small finance banks’ net profit falls 0.6% to Rs 1,300 crore

Listed small finance banks (SFBs) reported a 0.6 per cent year-on-year (YoY) decline in net profit to Rs 1,300 crore in the first quarter of FY25 as provisions and contingencies more than doubled YoY to Rs 1,277 crore. Subsequently, the decline in net profit of SFBs was more pronounced at 14.6 per cent.

The asset quality of small banks deteriorated with gross non-performing assets rising 47.4 per cent year-on-year to around Rs 5,976 crore in the first quarter of FY25, according to data compiled by BS Research Bureau for eight listed SFBs.

AM Karthik, Senior Vice President and Co.