• Q2 FY26
  • Quarter-2 Results 2025-26

Major Highlights of

Q2FY26

Market share gains across deposits and advances, Deposits up 11% YOY, Advances up 12% YOY, H1 FY26 Core Operating Profit at ₹20,010 crores, up 4% YOY, aided by stable NII, fee growth and positive operating jaws

Steady operating performance aided by stable NII and robust fee income

  • Net Interest Income up 1% QOQ and 2% YOY, Net Interest Margin (NIM) at 3.73%
  • Fee income grew 5% QOQ and 10% YOY, granular fee constituted 91% of overall fees, Retail fee grew 10% YOY
  • Operating revenue up 1% YOY, Operating expenses grew 5% YOY
  • H1FY26 Cost to assets at 2.38%, declined 14 bps YOY, delivered positive jaws

Gained market share on MEB1 deposits, focus on average deposits continues

  • YOY MEB1 | QAB1 basis, total deposits grew 11% | 10%; term deposits grew 12% | 13%, CA grew 13% | 7%, SA grew 6% | 4%, respectively
  • QOQ MEB1 | QAB1 basis total deposits grew 4% | 3%, term deposits grew 4% | 4%, CA grew (1%) | 2%, SA grew 4% | 3%, respectively
  • MEB1 | QAB1 CASA ratio at 40% | 38%, Avg. LCR Outflow rates at 27.2%
  • Q2FY26 cost of funds decreased by 30 bps YOY and 24 bps QOQ

Gained market share on advances, granular book continues to grow steadily

  • Advances grew 12% YOY & 5% QOQ; Bank’s focus segments2 grew by 12% YOY and 5% QOQ
  • SBB+SME+MC at `2,658 bn | 24% of total loans, up ~738 bps in last 4 years
  • SME loans up 19% YOY and 9% QOQ, Corporate loans up 20% YOY and 11% QOQ of which Mid-Corporate (MC) up 28% YOY and 8% QOQ
  • Retail loans grew 6% YOY of which SBB3 book grew 14% YOY and 5% QOQ, and Rural loans grew 2% YOY

Well capitalized with adequate liquidity buffers

  • Overall capital adequacy ratio (CAR) stood at 16.55%, CET 1 ratio at 14.43%, up 31 bps YOY
  • Additional cushion of ~44 bps over the reported CAR, attributable to other provisions of `5,012 crores and additional one-time standard asset provision of ₹1,231 crores, not included in CAR calculation
  • Excess SLR of `101,012 crores
  • Avg. LCR during Q2FY26 was ~119%

Continue to maintain our strong position in Payments and Digital Banking

  • Continue to maintain the market leading position in UPI Payer PSP space with a market share of ~ 37%4 by volume, with lowest technical declines5
  • Continues to be amongst the largest players in Merchant Acquiring business in India with a terminal market share of 20.6%6
  • Acquired 1mn+ cards in Q2FY26 and achieved a key milestone of crossing 15mn+ Cards in force, with a market share of ~14%6
  • Axis Mobile app continue to be among the top rated mobile banking app on Google Play store and iOS store with a rating of 4.7 and 4.8, with ~15 mn MAU7

Stable Asset Quality

  • GNPA at 1.46% up 2 bps YOY and down 11 bps QOQ, NNPA at 0.44% down 1 bps QOQ
  • PCR healthy at 70%, Coverage 8 ratio at 147%
  • Gross slippage ratio (annualized) at 2.11% down 102 bps QOQ , Net slippage ratio (annualized) at 1.05% down 128 bps QOQ
  • Retail asset quality stabilizing, net slippages and net credit costs lower than Q2FY25
  • Net credit cost (annualized) at 0.73%, down 65 bps QOQ

Key subsidiaries delivered steady performance

  • Total H1FY26 annualised PAT of domestic subsidiaries at `936 crores; Return on investments of ~ 49% in domestic subsidiaries
  • Axis Finance H1FY26 PAT at `385 crores up 18% YOY, Stable asset quality metrics with net NPA at 0.42%
  • Axis AMC’s H1Y26 PAT at `271 crores up 11% YOY, Axis Securities H1FY26 PAT at `175 crores
  • Axis Capital H1FY26 PAT at ₹93 crores; executed 9 ECM and 6 non-ECM deals in Q2FY26

1QAB: Quarterly Average Balance, MEB: Month End Balance
2Bank’s focus segments include Small Business Banking (SBB), Small & Medium Enterprises, (SME), Mid Corporate, Rural, Personal Loans (PL) and Credit Card Advances
3 SBB : Small Business Banking;
4 Market share for Q2Y26;
5 NPCI data for top 50 UPI Remitter Members, last 12 months average as of Aug’25;
6 Based on RBI data as of Aug’25;
7 MAU: Monthly Active Users engaging in financial & non-financial transactions;
8 Coverage Ratio = Aggregate provisions (specific + standard + additional + other contingencies) / IRAC GNPA

Key Metrics for Q2FY26

Snapshot (As on September 30th, 2025) (in ` Crores)

Profit & Loss Absolute (in ` Crores) QOQ YOY Growth
  Q2FY26 Q1FY26 H1FY26 Q2FY26 Q2FY26 H1FY26
Net Interest Income 13,745 13,560 27,304 1% 2% 1%
Fee Income 6,037 5,746 11,783 5% 10% 10%
Operating Expenses 9,957 9,303 19,259 7% 5% 3%
Operating Profit 10,413 11,515 21,928 (10%) (3%) 5%
Core Operating Profit 9,915 10,095 20,010 (2%) 3% 4%
Profit after Tax 5,090 5,806 10,896 (12%) (26%) (16%)
Balance Sheet Absolute (in ` Crores) YOY Growth
  Q2FY26  
Total Assets 16,76,614 11%
Net Advances 11,16,703 12%
Total Deposits 12,03,487 11%
Shareholders' Funds 1,89,947 15%

 

Key Ratios Absolute (in ` Crores)  
  Q2FY26 / H1FY26 Q2FY25 / H1FY25
Diluted EPS (Annualised in `)(Q2/H1) 64.75 / 69.70 88.20 / 83.04
Book Value per share (in `) 612 532
Standalone ROA (Annualised %) 1.23 / 1.35 1.84 / 1.75
Standalone ROE (Annualised %) 11.06 / 12.09 17.58 / 16.97
Cons ROA (Annualised %) 1.30 / 1.39 1.92 / 1.80
Cons ROE (Annualised %) 11.51 / 12.53 18.08 / 17.43
Gross NPA Ratio 1.46% 1.44%
Net NPA Ratio 0.44% 0.34%
Basel III Tier I CAR^ 14.83% 14.54%
Basel III Total CAR^ 16.55% 16.61%

^ including profit after tax for H1

Deposits 11% YOY (a)   10% YOY (b)
CASA (a)

9% YOY (a) | 5% YOY (b)

(a) Period end balances (b) Quarterly average balance

Advances 12% YOY
Retail
SME
Corporate

6% YOY | 19% YOY | 20% YOY

 

Operating Profit (in ` Crores) 3% YOY
  • Q2FY26
    10,413
  • Q2FY25
    10,712
Profit After Tax (in ` Crores) 26% YOY
  • Q2FY26
    5,090
  • Q2FY25
    6,918

We have a very well distributed branch network

Domestic Branch Network*  
  • Sep-25
    5,976
  • Mar-25
    5,876
  • Mar-24
    5,377
  • Mar-23
    4,903
  • Mar-22
    4,758

* Includes extension counters

Q2FY26 Performance at a Glance

Q2FY26 Performance at a Glance

Steady operating performance aided by stable NII and robust fee income

  • Net Interest Income up 1% QOQ and 2% YOY, Net Interest Margin (NIM) at 3.73%
  • Fee income grew 5% QOQ and 10% YOY, granular fee constituted 91% of overall fees, Retail fee grew 10% YOY

Gained market share on MEB deposits, Focus on average deposits continues

  • QOQ MEB1 | QAB1 basis total deposits up 4% | 3%, term deposits up 4% | 4%, SA up 4% | 3%, CA up (1%) | 2%
  • MEB1 | QAB1 CASA ratio at 40% | 38%, Avg. LCR2 Outflow rates at 27.2%
  • Q2FY26 cost of funds decreased by 30 bps YOY and 24 bps QOQ

Gained market share on advances, granular book continues to grow steadily

  • Advances grew 12% YOY and 5% QOQ; Bank's focus segments4 grew by 12% YOY and 5% QOQ
  • SBB3+SME+MC at `2,658 bn | 24% of total loans, grew 20% YOY, up ~738 bps in last 4 years
  • Retail loans grew 6% YOY of which SBB book grew 14% YOY and 5% QOQ, and Rural loans grew 2% YOY

Well capitalized with adequate liquidity buffers

  • Overall capital adequacy ratio (CAR) stood at 16.55%, CET 1 ratio of 14.43% up 31 bps YOY
  • Additional cushion of ~44 bps over the reported CAR, attributable to other provisions5 of `5,012 crores and additional one-time standard asset provision5 of `1,231 crores
  • Excess SLR of `101,012 crores
  • Average LCR during Q2FY26 was ~ 119%

Continue to maintain our strong position in Payments and Digital Banking

  • open by Axis Bank remains among the world’s top rated6 Mobile banking app on Google Play store and iOS app store with a rating of 4.7 and 4.8 respectively; ~15 mn MAU7
  • Continues to be amongst the largest player in Merchant Acquiring business with terminal market share8 of ~20.6%

Stable asset quality

  • GNPA at 1.46% down 11 bps QOQ and up 2 bps YOY, NNPA at 0.44% down 1 bps QOQ
  • PCR healthy at 70%; On an aggregated basis9, Coverage ratio at 147%
  • Gross slippage ratio10 at 2.11%, down by 102 bps QOQ, Net slippage ratio10 at 1.05%, down 128 bps QOQ
  • Retail asset quality stabilising, retail business net slippages and net credit costs lower than Q2FY25
  • Net credit cost10 at 0.73%, down 65 bps QOQ

Key domestic subsidiaries11 delivered steady performance

  • H1FY26 total profit at `936 crores, with a return on investment in domestic subsidiaries of ~ 49%
  • Axis Finance H1FY26 PAT grew 18% YOY to `385 crores; asset quality metrics stable with net NPA of 0.42%
  • Axis AMC H1FY26 PAT grew 11%YOY to `271 crores
  • Axis Securities customer base grew 15% YOY and H1FY26 PAT stood at `175 crores
  • Axis Capital H1FY26 PAT stood at `93 crores; Executed 9 ECM and 6 non-ECM deals in Q2FY26

1MEB: Month End Balance, QAB: Quarterly Average Balance
2Liquidity Coverage Ratio;
3 SBB : Small Business Banking;
4 Bank’s focus segments include Small Business Banking (SBB), Small & Medium Enterprises, (SME), Mid Corporate, Rural, Personal Loans (PL) and Credit Card Advances;
5 not included in CAR calculation;
6 with 3.2mn+ reviews;
7 Monthly active users, engaging in financial and non-financial transactions;
8 Based on RBI data as of Aug’25;
9 (specific+ standard+ additional + other contingencies) / IRAC GNPA;
10 Annualized;
11 Figures of subsidiaries are as per Indian GAAP, as used for consolidated financial statements of the Group;

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