Fino Payments Bank FY26: Net profit fell 43.3% to Rs. 5,246 lakhs
RESULTS
▼ Concern Flagged
MEDIUM RISK
📅 Filed on BSE: 29 Apr 2026, 07:14 PM IST · BSE ID: 2739067a-d29c-4b6a-9880-543bf068be28
View Original BSE Filing (PDF)
💡
In Simple Terms
The bank's profits fell by nearly half this year, though deposits grew. The company also re-hired its Chief Risk Officer.
🤖 AI Summary
- FY26 net profit declined 43.3% to Rs. 5,246 lakhs from Rs. 9,253 lakhs YoY
- Other income fell 19% to Rs. 1,33,975 lakhs; deposits hit record Rs. 2,37,949 lakhs
- EPS fell to Rs. 6.30 from Rs. 11.12; debt-equity ratio worsened to 1.91x from 1.12x
- Aninda Mukherjee re-appointed Chief Risk Officer for three-year tenure from May 3, 2026
- Capital Adequacy Ratio strengthened to 83.95% from 80.45%; Return on Assets declined to 1.10%
🔢 Key Numbers — exact figures from BSE filing, not rounded
FY26 Net Profit
Rs. 5,246 lakhs
-43.3%
FY26 Other Income
Rs. 1,33,975 lakhs
-19%
FY26 Deposits
Rs. 2,37,949 lakhs
+22.7%
FY26 Borrowings
Rs. 1,53,530 lakhs
+82.7%
FY26 EPS (Basic)
Rs. 6.30
-43.3%
Capital Adequacy Ratio
83.95%
Return on Assets
1.10%
-54.7%
🏢 How This Affects the Company
Other income, the primary revenue driver, declined 19% to Rs. 1,33,975 lakhs. Deposits grew to Rs. 2,37,949 lakhs, but revenue contraction indicates structural headwinds in the business model during the transition to Small Finance Bank status.
Net profit fell 43.3% to Rs. 5,246 lakhs. Return on Assets halved to 1.10% from 2.43%. Debt-equity ratio deteriorated to 1.91x from 1.12x, signaling increased financial leverage amid lower profitability and higher borrowings at Rs. 1,53,530 lakhs.
Employee costs remained stable at Rs. 22,229 lakhs. Fixed assets increased to Rs. 36,414 lakhs from Rs. 29,758 lakhs, reflecting infrastructure investment for Small Finance Bank transition.
Leverage increased materially with debt-to-assets rising to 28.90% from 19.96%. Operating profit before provisions fell 33.8% to Rs. 7,180 lakhs, indicating tighter margins and elevated risk from compressed income.
👥 What This Means For Shareholders
✅
Action Required
No action required on governance. Review Small Finance Bank transition timeline and expected return to profitability in shareholder communications.
👤
Who Is Affected
All equity shareholders. EPS fell 43.3% to Rs. 6.30. Return on Assets compressed to 1.10%, reducing dividend sustainability.
🔍
Management Signal
Elevated leverage and income headwinds accepted during transition period. Capital preservation prioritized via 83.95% CAR. Focus shifted from profitability to balance sheet strength.
For information only. Not investment advice. ForgeUp is not SEBI-registered.
👁 Watch List — track these upcoming events
Small Finance Bank approval implementation — track regulatory compliance filings for operational transition status
Q1 FY27 results — monitor if other income stabilizes and profitability returns post-transition completion
Leverage reduction trajectory — watch quarterly borrowing levels and debt-equity ratio for deleveraging signs
MEDIUM RISK
Profit halved and leverage doubled during transition. Business model revenue pressure evident. CAR buffer adequate but profitability recovery timeline unclear.
💡 Investor Takeaway
FY26 net profit fell 43.3% to Rs. 5,246 lakhs on 19% other income decline. Deposits grew to Rs. 2,37,949 lakhs. Debt-equity ratio worsened to 1.91x. Return on Assets halved to 1.10%. Bank remains in transition to Small Finance Bank status.
⚖️ Strengths & Concerns
✅ Positives
- Deposits grew 22.7% to Rs. 2,37,949 lakhs, reaching all-time high; deposit base stable through transition period
- Capital Adequacy Ratio at 83.95%, well above regulatory minimum; no NPA ratios disclosed — asset quality concerns absent
⚠️ Concerns
- Net profit fell 43.3% to Rs. 5,246 lakhs; EPS halved to Rs. 6.30 from Rs. 11.12 — severe earnings compression
- Other income collapsed 19% to Rs. 1,33,975 lakhs; operating profit fell 33.8% to Rs. 7,180 lakhs — core business margin erosion
📅 Company Track Record
FY25 net profit was Rs. 9,253 lakhs with 2.43% ROA. FY26 deposits hit Rs. 2,37,949 lakhs, all-time high. Small Finance Bank transition approved by RBI post-FY26. Q4FY26 showed transaction business decline of 30% and renewal income at Rs. 62.2 crore.
Based on publicly available historical data. For context only.