Concern
Net interest margin compressing
Net interest margin fell from 6.0% to 5.2% year on year.
Importance 42 / 95 · profitability
AU Small Finance Bank Limited · Research view
AU Small Finance Bank Limited
NSE: AUBANKBSE: 540611ISIN INE949L01017Face value ₹10standalone
₹991
−2.40% · 2026-10-01 · 52-wk ₹725–₹1,129
Financials to FY2026 · 8 years of history · prices to 2026-10-01consolidatedstandalone
Section 02 · Synthesis
What stands out?
The strongest observations the engine found, ranked. Every line is generated from the filed numbers by a fixed rule — no opinion, no estimate.
StrengthConcernWatchContext
Strength
Loan book growing double-digit
Advances grew 25.4% year on year (FY2025 → FY2026).
Importance 38 / 95 · growth
Section 03 · The company
Who is this company?
Classified by the exchange under Financial Services › Financial Services › Banks › Other Bank.
- Market cap
- ₹74,123 cr
- FY2026 total income
- ₹21,614 cr
- FY2026 net profit
- ₹2,641 cr
- Net worth
- ₹19,974 cr
- Advances
- ₹1,34,276 cr
- EPS (basic)
- ₹35.40
- Listed
- NSE · BSE
- Reporting
- Banking (Sch. III)Apr–Mar
Peer set used on this page: 17 banks.
Section 04 · Business performance
Is the business growing?
Total incomeNet profit
Advances (loans)Deposits
Strength
Advances grew 25.4% year on year (FY2025 → FY2026).
Rule BANK_LOAN_GROWTH_STRONG
- Advances growth per year
- +28.8%over 7 years
- Advances growth
- +25.4%vs last year
- Deposits growth
- +22.8%vs last year
- Net profit growth
- +25.4%vs last year
Section 05 · Recent activity
What changed recently?
Quarterly results, the trailing-twelve-months snapshot, and verified corporate actions — kept separate from each other and from the annual story above. Every figure traces to a filed number; nothing here is external news or commentary.
Strength
Q1 FY27 net profit was ₹796 cr, up 37.0% from ₹581 cr a year earlier.
Rule QTR_PROFIT_GROWTH_YOY
Strength
Q1 FY27 total income was ₹5,992 cr, up 15.5% from ₹5,189 cr in Q1 FY26 a year earlier.
Rule QTR_REVENUE_GROWTH_YOY
Strength
Q1 FY27 net profit grew 37.0% while total income grew 15.5% vs the same quarter last year — a gap of 21.6 percentage points.
Rule QTR_PROFIT_VS_REVENUE_GROWTH
A. Quarterly results
Total incomeNet profit
| Quarter | Total income | YoY | Net profit | YoY |
|---|---|---|---|---|
| Q2 FY25 | 4,549 | — | 571 | — |
| Q3 FY25 | 4,732 | +48.5% | 528 | +40.8% |
| Q4 FY25 | 5,031 | +48.6% | 504 | +35.9% |
| Q1 FY26 | 5,189 | +20.3% | 581 | +15.6% |
| Q2 FY26 | 5,224 | +14.8% | 561 | −1.8% |
| Q3 FY26 | 5,451 | +15.2% | 668 | +26.3% |
| Q4 FY26 | 5,750 | +14.3% | 832 | +65.2% |
| Q1 FY27 | 5,992 | +15.5% | 796 | +37.0% |
B. TTM snapshot
Trailing twelve months to 30 Jun 2026 · sum of the last 4 contiguous quarters
- Total income
- ₹22,417 crTTM
- PBT
- ₹3,759 crTTM
- Net profit
- ₹2,856 crTTM
C. Corporate actions
31 Jul 2026DividendFinal Dividend - Rs. - 1.0000 — ₹1.00/share
4 Jul 2025DividendFinal Dividend - Rs. - 1.0000 — ₹1.00/share
12 Jul 2024DividendFinal Dividend - Rs. - 1.0000 — ₹1.00/share
14 Jul 2023DividendFinal Dividend - Rs. - 1.0000 — ₹1.00/share
28 Jul 2022DividendFinal Dividend - Rs. - 0.5000 — ₹0.50/share
9 Jun 2022Bonus issueBonus issue 1:1 — 1:2
18 Jul 2019DividendFinal Dividend - Rs. - 0.7500 — ₹0.75/share
30 Jul 2018DividendDividend - Rs. - 0.5000 — ₹0.50/share
Section 06 · Business performance
Is it becoming more profitable?
Net interest margin (left)Return on equity (right)
Concern
Net interest margin fell from 6.0% to 5.2% year on year.
Rule BANK_NIM_COMPRESSED_YOY
- NIM FY2026
- 5.21%
- Cost-to-income
- 57.9%
- ROE FY2026
- 14.2%
- ROA FY2026
- 1.51%
Section 07 · Financial health
Is financial health improving?
Gross NPA %Net NPA %
Asset quality and capitalisation over the loaded history are shown above.
Net worth (capital + reserves)
- Gross NPA FY2026
- 2.03%
- Net NPA
- 0.74%
- Credit cost
- 1.34%of advances
- Credit / deposit
- 88%
Section 08 · Relative position
How does it compare with peers?
Ranked against 17 banks (FY2026, consolidated). No peer-relative rule fired for this company.
Return on equity
AUBANK · 7th of 17 · set median 13.2%
P/E ratio
AUBANK · 15th of 17 · set median 13.6×
- P / E
- 26.0×TTM to Jun 26
- P / B
- 3.7×latest book
- P / S
- 3.3×TTM sales
- Earnings yield
- 3.9%TTM to Jun 26
On the trailing twelve months. Last full year: P/E 28.1× · P/S 3.4× · ROE 14.2%.
Section 09 · The stock
How has the stock performed?
Long-term price performance is shown above.
- 1-year return
- +36.7%
- 3-year return
- +38.8%
- 5-year return
- +67.3%
- From 52-wk high
- −12.2%
Section 10 · Technical data
What does the technical data say?
Price-action indicators as of 2026-10-01. Secondary to the fundamentals above — included for timing context, not as a signal.
- vs 50-day avg
- Below₹1,057
- vs 200-day avg
- Below₹1,005
- RSI (14)
- 36.9neutral
- MACD histogram
- -4.7
- From 52-wk high
- −12.2%
- From 52-wk low
- +36.7%
- 30-day volatility
- 24.7%ann.
- 6-month return
- +17.6%
Section 11 · Open questions
What should I investigate further?
Observations the engine tagged watch or deteriorating — prompts for your own research, not conclusions.
- ConcernNet interest margin compressingNet interest margin fell from 6.0% to 5.2% year on year.BANK_NIM_COMPRESSED_YOY · conviction 42
- Cash-flow-statement facts are unavailable for FY2019, FY2020 — those filings predate SEBI's Cash Flow Statement disclosure requirement. All other loaded years carry full P&L, balance sheet and cash-flow data.
Section 12 · Reference
The numbers
The full statements, kept deliberately secondary. Every figure traces to a BSE Integrated Filing (inline XBRL); ratios are recomputed from the normalised facts.
| Metric | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|---|---|---|
| Total income | 3,411 | 4,992 | 6,402 | 6,915 | 9,240 | 12,301 | 18,590 | 21,614 |
| Interest earned | 2,949 | 4,286 | 4,950 | 5,922 | 8,205 | 10,555 | 16,064 | 18,636 |
| Interest expended | 1,606 | 2,377 | 2,585 | 2,688 | 3,780 | 5,398 | 8,052 | 9,524 |
| Net interest income | 1,342 | 1,909 | 2,365 | 3,234 | 4,425 | 5,157 | 8,012 | 9,113 |
| Pre-provision operating profit | 722 | 1,197 | 2,159 | 1,815 | 2,019 | 2,515 | 4,581 | 5,089 |
| Provisions & contingencies | 142 | 283 | 700 | 361 | 155 | 439 | 1,793 | 1,615 |
| Profit before tax | 580 | 914 | 1,459 | 1,454 | 1,865 | 1,999 | 2,788 | 3,474 |
| Net profit | 382 | 675 | 1,171 | 1,130 | 1,428 | 1,535 | 2,106 | 2,641 |
| EPS (₹) | 13.2 | 22.8 | 38.2 | 36.1 | 21.9 | 23.0 | 28.3 | 35.4 |
| Net worth | 3,163 | 4,377 | 6,275 | 7,514 | 10,977 | 12,560 | 17,166 | 19,974 |
| Total debt | 8,613 | 10,335 | 7,030 | 5,991 | 6,299 | 5,479 | 11,660 | 13,872 |
| Advances | 22,819 | 26,992 | 34,609 | 46,095 | 58,422 | 73,163 | 1,07,092 | 1,34,276 |
| Deposits | 19,422 | 26,164 | 35,979 | 52,585 | 69,365 | 87,182 | 1,24,269 | 1,52,661 |
| Borrowings | 8,613 | 10,335 | 7,030 | 5,991 | 6,299 | 5,479 | 11,660 | 13,872 |
| Investments | 7,162 | 10,668 | 10,815 | 15,307 | 20,072 | 27,133 | 37,848 | 44,794 |
| Gross NPAs | 470 | 458 | 1,503 | 924 | 981 | 1,237 | 2,477 | 2,756 |
| Net NPAs | 295 | 217 | 755 | 231 | 245 | 401 | 791 | 990 |
| Operating cash flow | — | — | 5,056 | 6,849 | 5,494 | 2,608 | 5,462 | 1,829 |
| Ratio | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|---|---|---|
| Growth | ||||||||
| Advances growth YoY | — | 18.3 | 28.2 | 33.2 | 26.7 | 25.2 | 46.4 | 25.4 |
| Deposits growth YoY | — | 34.7 | 37.5 | 46.2 | 31.9 | 25.7 | 42.5 | 22.8 |
| Profit growth YoY | — | 76.7 | 73.5 | -3.5 | 26.4 | 7.5 | 37.2 | 25.4 |
| Profitability | ||||||||
| Net interest margin % | 4.1 | 5.1 | 5.0 | 5.4 | 5.6 | 5.2 | 6.0 | 5.2 |
| Cost-to-income % | 60.0 | 54.2 | 43.4 | 57.1 | 63.0 | 63.6 | 56.5 | 57.9 |
| Return on equity % | 12.1 | 17.9 | 22.0 | 16.4 | 15.4 | 13.0 | 14.2 | 14.2 |
| Return on assets % | 1.2 | 1.8 | 2.5 | 1.9 | 1.8 | 1.5 | 1.6 | 1.5 |
| Asset quality | ||||||||
| Gross NPA % | 2.0 | 1.7 | 4.3 | 2.0 | 1.7 | 1.7 | 2.3 | 2.0 |
| Net NPA % | 1.3 | 0.8 | 2.2 | 0.5 | 0.4 | 0.5 | 0.7 | 0.7 |
| Credit cost % | 0.6 | 1.1 | 2.3 | 0.9 | 0.3 | 0.7 | 2.0 | 1.3 |
| Credit / deposit % | 117.5 | 103.2 | 96.2 | 87.7 | 84.2 | 83.9 | 86.2 | 88.0 |