Kolkata, Apr 28 (PTI) Bandhan Bank on Tuesday reported a 68 per cent year-on-year jump in net profit for the quarter ended March to Rs 534 crore, driven largely by strong performance in its retail banking and treasury segments, along with improved asset quality.

Retail banking registered a profit of around Rs 434 crore in the quarter, a sharp turnaround from losses in the preceding quarters and the year-ago period.

Treasury operations also remained strong, contributing around Rs 206 crore to profits, the lender informed the bourses.

These gains helped offset continued losses in the wholesale banking segment, which reported a loss of about Rs 80 crore in the quarter to March.

The improvement in retail profitability reflects stabilisation in the microfinance-led portfolio, better collection efficiency and a shift towards secured and granular lending, it said.

The bank’s asset quality also improved significantly, with gross NPA declining to 3.3 per cent from 4.7 per cent a year ago, while net NPA fell to 1.0 per cent from 1.3 per cent.

Lower slippages and improved recoveries reduced incremental stress, aiding profitability despite provisions of Rs 677 crore during the quarter.

Advances grew 12.6 per cent on-year to Rs 1.54 lakh crore, while deposits rose 10 per cent to Rs 1.66 lakh crore. The share of secured loans increased to around 56 per cent, supporting margin stability and risk reduction.

Net interest income rose 1.4 per cent on-year to Rs 2,796 crore, while total income increased 3.2 per cent to Rs 3,567 crore, the bank said.

For 2025-26, the lender reported a net profit of Rs 1,224 crore, down from Rs 2,745 crore a year earlier, as higher provisions during the year weighed on earnings.

"We will continue to pursue customer-centric, digital-led growth by enhancing distribution channels, expanding our product suite, and leveraging data-driven insights to deliver sustainable, risk-adjusted growth,” Bandhan Bank MD & CEO Partha Pratim Sengupta said. PTI BSM RBT

Retail banking-led profitability improves as Bandhan Bank reports stronger quarterly earnings and better asset quality Bandhan Bank reported a sharp year-on-year rise in quarterly net profit, driven mainly by stronger retail banking and treasury performance and improved asset quality. Retail banking returned to profit, treasury income stayed robust, and these gains offset wholesale banking losses. Better collection efficiency, stabilisation of the microfinance-led portfolio, and a shift toward secured lending supported profitability. Asset quality strengthened as gross and net NPAs declined, while lower slippages and improved recoveries reduced stress despite continued provisions. Advances and deposits grew, the secured-loan share increased, and net interest income and total income also rose.