Axis Bank Reports 23% Year-on-Year Profit Growth for Quarter Ended June 30, 2026

Axis Bank Reports 23% Year-on-Year Profit Growth for Quarter Ended June 30, 2026​

Axis Bank Limited has reported a significant increase in its financial performance for the quarter ended June 30, 2026. The bank saw its profit after tax (PAT) rise by 23% year-on-year, a growth driven primarily by positive operating jaws and stable asset quality.

The bank's core operating profit stood at ₹11,122 crores, marking a 10% year-on-year increase and a 5% quarter-on-quarter increase. This was supported by an operating profit of ₹11,659 crores, which rose 16% on a quarter-on-quarter basis.

Growth in Deposits and Advances​

Axis Bank reported significant market share gains across both deposits and advances. Total deposits grew 18% year-on-year on a month-end basis. Specifically:

• Savings Accounts (SA) grew 14% year-on-year.
• Current Accounts (CA) grew 13% year-on-year.
• Term Deposits (TD) grew 23% year-on-year.

The bank's advances saw a 19% year-on-year growth, reaching ₹12,61,557 crores. Growth was particularly strong in focus segments:

• Small Business Banking (SBB), SME, and Mid-Corporate (MC) books grew 24% year-on-year.
• SME loans grew 25% year-on-year.
• Corporate loans grew 38% year-on-year.

The SBB, SME, and MC segment currently stands at ₹3,061 bn, representing 24% of total loans, an increase of 911 basis points over the last five years.

Financial Performance Highlights​

The bank maintained a stable Net Interest Margin (NIM) of 3.46%, with Net Interest Income rising 8% year-on-year to ₹14,646 crores. Fee income grew 7% year-on-year to ₹6,156 crores, with Corporate and Commercial banking fees growing 18% year-on-year.

The bank's cost to assets stood at 2.20%, reflecting a 21 basis point decline year-on-year.

Asset Quality and Capital Adequacy​

Axis Bank maintained a healthy asset quality profile during the quarter:

• Gross NPA stood at 1.28%, down 29 basis points year-on-year.
• Net NPA stood at 0.39%, down 6 basis points year-on-year.
• The Provision Coverage Ratio (PCR) remains healthy at 70%.
• Net credit cost was 0.63%, down 75 basis points year-on-year.

The bank's Capital Adequacy Ratio (CAR) stood at 16.67%, with a CET-1 ratio of 14.64%. The bank maintains an additional cushion of approximately 52 basis points over the reported CAR due to other provisions and one-time standard asset provisions totaling ₹8,244 crores.

Digital Banking and Payments Leadership​

The bank continues to hold a market-leading position in the UPI Payer PSP space with a market share of approximately 38% by volume. It also holds a significant presence in the Merchant Acquiring business with a terminal market share of approximately 22.1%.

During Q1FY27, the bank acquired approximately 0.9 million cards, maintaining a market share of approximately 13.4% on cards in force. The Axis Mobile app maintains a rating of 4.8 on both Google Play and the iOS App Store, with approximately 16 million monthly active users (MAU).

Subsidiary Performance​

The bank's domestic subsidiaries reported steady growth:

• Axis Finance: Reported PAT of ₹244 crores, up 29% year-on-year. Assets under finance crossed ₹50,000 crores, growing 21% year-on-year.
• Axis AMC: Reported PAT of ₹134 crores, up 3% year-on-year. Overall AUM grew 10% year-on-year to ₹3,69,030 crores.
• Axis Capital: Reported PAT of ₹65 crores, up 72% year-on-year.
• Axis Securities: Reported PAT of ₹96 crores, up 8% year-on-year.

Strategic Initiatives and Expansion​

The bank focused on digital, AI-led transformation and ecosystem partnerships this quarter. Key highlights include:

• Launching a Digital Locker-focused branch to provide automated security and convenience.
• Introducing Aadhaar Face Authentication for self-service mobile number updates.
• Establishing an Industry Research, Technology & Innovation Park in Hyderabad through a ₹100-crore partnership with BITS Pilani.
• Achieving record growth in its Bharat Banking segment, including a 16% year-on-year growth in Rural advances.

AXISBANK Stock Price Movement​

Axis Bank Limited shares rallied on Friday to settle at ₹1328.5, marking a gain of 1.67% during the session. The stock saw active participation with 11.19 million shares changing hands as it trended toward its intraday high of ₹1333.