Axis Bank Q1 FY27 Results: Net Profit Jumps 23% to ₹7,114 Crore, NII Rises 8%, Asset Quality Improves

18 Jul 2026 , 12:55 PM

Axis Bank Q1 FY27 Results: Axis Bank reported a strong set of earnings for the first quarter of FY27, with standalone net profit rising 23% year-on-year (YoY) to ₹7,114 crore. The private sector lender witnessed healthy growth in net interest income (NII), steady business expansion, and improved asset quality during the April-June 2026 quarter.

Axis Bank Q1 FY27 Profit Rises 23% YoY

Axis Bank posted a standalone net profit of ₹7,114 crore in Q1 FY27, marking a 23% increase from ₹5,806 crore reported in the corresponding quarter last year.

The bank’s Net Interest Income (NII), a key measure of core lending performance, increased 8% YoY to ₹14,646 crore from ₹13,560 crore. Meanwhile, the Net Interest Margin (NIM) stood at 3.46% during the quarter.

Fee income also registered healthy growth, rising 7% YoY to ₹6,156 crore, while total non-interest income came in at ₹6,735 crore.

Axis Bank reported an operating profit of ₹11,659 crore, while core operating profit increased 10% YoY to ₹11,122 crore, reflecting resilient operating performance.

Axis Bank Q1 FY27 Asset Quality Improves

The bank continued to strengthen its asset quality during the June quarter.

Its Gross Non-Performing Asset (GNPA) ratio improved to 1.28%, compared with 1.57% in the year-ago period. Similarly, the Net NPA (NNPA) ratio declined to 0.39% from 0.45%.

Gross slippages reduced significantly to ₹5,566 crore, compared with ₹8,200 crore in Q1 FY26, while net credit cost moderated to 0.63%.

The Provision Coverage Ratio (PCR) remained stable at 70%.

During the quarter, provisions and contingencies stood at ₹2,223 crore, including ₹2,079 crore towards specific loan loss provisions.

Axis Bank also retained its additional one-time provision of ₹2,001 crore, created in the previous quarter to address macroeconomic and geopolitical uncertainties. The bank did not utilize any part of this buffer during the quarter.

Strong Business Growth Across Segments

Axis Bank continued to deliver healthy balance sheet growth across lending and deposit businesses.

• Total deposits increased 18% YoY to ₹13.73 lakh crore.
• Net advances rose 19% YoY to ₹12.62 lakh crore.
• Corporate loan book expanded 38% YoY.
• SME advances grew 25% YoY.
• Retail loans increased 8% YoY.
• The bank’s balance sheet size expanded 20% YoY to ₹19.22 lakh crore.

The diversified growth across retail, corporate, and SME segments highlights sustained credit demand and business momentum.

Capital Position Remains Strong

Axis Bank maintained a comfortable capital position during the quarter.

Its Basel III Capital Adequacy Ratio (CAR) stood at 16.67%, while the Common Equity Tier-1 (CET-1) ratio was 14.64% as of June 30, 2026.

The bank also reported an additional capital cushion of around 52 basis points, supported by provisions that are not included in regulatory capital calculations.

Axis Bank Share Price Performance

Ahead of the Q1 FY27 earnings announcement, Axis Bank shares gained 1.6% to close at ₹1,328.5 on the NSE.

The stock has delivered a 4.3% year-to-date (YTD) return, outperforming the benchmark Nifty 50, which has declined 6.9% during the same period.

 

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