IDBI Bank Q1 FY27 results were approved by the Board of Directors of IDBI Bank Ltd. at its meeting held in Mumbai on July 18, 2026.
The bank reported a 5% year-on-year increase in net profit to ₹2,115 crore for the quarter ended June 30, 2026, compared with ₹2,007 crore in the corresponding quarter of the previous fiscal.
According to the IDBI Bank Q1 FY27 announcement, net profit also rose 9% quarter-on-quarter from ₹1,943 crore in Q4 FY26. Operating profit stood at ₹2,168 crore during the quarter.
The bank’s total business increased 15% year-on-year to ₹5,84,725 crore, while total deposits rose 10% to ₹3,25,757 crore.
Net Interest Income rises 10%
In the IDBI Bank Q1 FY27 performance, Net Interest Income (NII) increased to ₹3,486 crore from ₹3,166 crore in Q1 FY26, registering a 10% year-on-year growth. Net Interest Margin (NIM) stood at 3.61%.
The bank also reported improvement in funding costs. Cost of deposits declined to 4.59% in Q1 FY27 from 4.84% a year ago, a reduction of 25 basis points. Cost of funds decreased to 4.68% from 4.98%, reflecting a 30 basis point year-on-year reduction.
Return on Assets (ROA) stood at 1.89%, improving by 14 basis points sequentially.
Deposits and CASA growth
As part of the IDBI Bank Q1 FY27 business update, total deposits increased to ₹3,25,757 crore as on June 30, 2026, compared with ₹2,96,782 crore a year earlier.
Current Account Savings Account (CASA) deposits grew 7% year-on-year to ₹1,42,162 crore, while the CASA ratio stood at 43.64%.
Advances grow 22% year-on-year
The IDBI Bank Q1 FY27 report showed strong credit growth. Net advances rose 22% year-on-year to ₹2,58,968 crore from ₹2,11,907 crore. On a sequential basis, advances grew 2% from ₹2,53,626 crore as on March 31, 2026.
The composition of the gross advances portfolio remained skewed towards retail lending, with the corporate-to-retail mix at 30:70 as on June 30, 2026.
Asset quality improves further
A key highlight of IDBI Bank Q1 FY27 was the continued improvement in asset quality. Gross NPA ratio declined to 2.30% as on June 30, 2026, from 2.93% a year earlier and 2.32% in the previous quarter.
Net NPA ratio stood at 0.16% compared with 0.21% in Q1 FY26. Provision Coverage Ratio (including technical write-offs) remained robust at 99.31%, with PCR consistently above 99% since September 2023.
Also Read: Axis Bank Q1 FY27: Net Profit Jumps 23% YoY to ₹7,114 Crore; Deposits Rise 18%
Strong capital position
The IDBI Bank Q1 FY27 results also reflected a strong capital base. Capital Adequacy Ratio (CRAR) improved to 26.92% from 25.39% a year ago and 26.65% in the previous quarter.
Tier 1 Capital rose to 26.38% compared with 23.71% in Q1 FY26 and 25.56% in Q4 FY26. Risk Weighted Assets (RWA) stood at ₹2,30,728 crore as on June 30, 2026, against ₹1,92,965 crore a year earlier.
Credit-deposit ratio improves
In IDBI Bank Q1 FY27, the credit-deposit ratio improved significantly to 79.50%, compared with 71.40% in Q1 FY26 and 73.06% in Q4 FY26, indicating stronger deployment of deposits into advances.
IDBI Bank Q1 FY27: Key quarterly highlights
- Net Profit: ₹2,115 crore (up 5% YoY, 9% QoQ)
- Net Interest Income: ₹3,486 crore (up 10% YoY)
- Total Business: ₹5,84,725 crore (up 15% YoY)
- Total Deposits: ₹3,25,757 crore (up 10% YoY)
- Net Advances: ₹2,58,968 crore (up 22% YoY)
- CASA: ₹1,42,162 crore (up 7% YoY)
- Gross NPA: 2.30%
- Net NPA: 0.16%
- PCR: 99.31%
- ROA: 1.89%
- CRAR: 26.92%
Significant developments
As part of the IDBI Bank Q1 FY27 update, the bank highlighted several strategic developments:
APY Annual Award of Ultimate Achiever: IDBI Bank received the award from the Department of Financial Services, Ministry of Finance, for achieving Atal Pension Yojana enrolment targets for FY 2025-26. The award was presented at an event organised by the Pension Fund Regulatory and Development Authority (PFRDA) in May 2026.
IDBI Innovate 2026: The bank launched a nationwide hackathon to encourage innovation and accelerate digital transformation in the banking ecosystem, inviting participation from start-ups, fintech companies, developers, and innovators across India.
Internal Audit Excellence Awards 2026: IDBI Bank was recognised for its AI-enabled i Netra system, which is being used to strengthen internal audit processes and enhance risk oversight.
The Board of Directors approved the financial results for the quarter ended June 30, 2026, at its meeting held in Mumbai on July 18, 2026. The announcement was issued for representatives of print, wire, and electronic media.
