Board Approves Unaudited Financial Results for Quarter and Nine Months Ended December 31, 2025
The Board of Directors of IDFC FIRST Bank has approved the unaudited financial results for the quarter and nine months ended December 31, 2025, reflecting continued momentum across lending, deposits, and core banking operations.Business Growth Remains Robust
The bank’s total customer business expanded to Rs. 5,62,090 crore as of December 31, 2025, marking a year on year growth of 22.62 percent and a sequential growth of 4.93 percent.Loans and advances rose to Rs. 2,79,428 crore, registering a 20.93 percent year on year increase and a 4.82 percent quarter on quarter rise. The growth was largely driven by mortgage loans, vehicle loans, consumer loans, business banking, and wholesale loans, which together accounted for 89 percent of the annual loan growth.
Customer deposits increased to Rs. 2,82,662 crore, up 24.35 percent year on year and 5.04 percent sequentially. CASA deposits grew at a faster pace of 32.96 percent year on year to Rs. 1,50,350 crore, lifting the CASA ratio to 51.64 percent.
Asset Quality Continues to Improve
Asset quality indicators showed sustained improvement during the quarter. Gross NPA declined to 1.69 percent as of December 31, 2025, improving by 25 basis points year on year and 17 basis points sequentially. Net NPA stood at 0.53 percent.SMA 1 and SMA 2 levels for retail, rural, and MSME segments reduced to 0.88 percent, reflecting improving early stress trends.
Profitability Strengthens in Q3 FY26
Net interest margin for the quarter stood at 5.76 percent. Core operating profit increased to Rs. 1,937 crore, posting an 11.59 percent year on year growth and a 6.16 percent sequential rise.Net profit for Q3 FY26 surged to Rs. 503 crore, compared to Rs. 339 crore in the same quarter last year, reflecting a strong year on year growth of 48.05 percent. On a quarter on quarter basis, net profit grew by 42.64 percent.
Provisions for the quarter declined by 3.7 percent sequentially to Rs. 1,398 crore.
Capital Position Remains Comfortable
The capital adequacy ratio stood at 16.22 percent as of December 31, 2025, improving by 188 basis points sequentially. The ratio includes profits of the interim periods.Key Operational Highlights
Credit cards in force reached 4.3 million during Q3 FY26.The bank’s wealth management business grew 31 percent year on year to Rs. 58,957 crore.
Cost of funds declined to 6.11 percent, reflecting the impact of a higher CASA mix and savings rate revisions.
Management Commentary
Commenting on the performance, V Vaidyanathan, Managing Director and CEO, said the bank is witnessing strong business momentum across lending, deposits, wealth management, and transaction banking. He highlighted the improvement in asset quality and stated that the recent revision in savings rates is expected to further reduce the cost of funds, supporting expansion of the lending franchise.About IDFC FIRST Bank
IDFC FIRST Bank is a fast-growing private sector bank in India, offering a comprehensive range of services across retail, MSME, rural, startups, corporate banking, wealth management, credit cards, and treasury solutions. As of December 31, 2025, the bank served 35 million customers through 1,066 branches, reaching over 60,000 cities, towns, and villages. The bank continues to focus on ethical banking, digital-first platforms, customer-friendly services, and social impact initiatives aimed at inclusive growth.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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