Axis Bank (AXISBANK) Q3 25/26 earnings summary

Executive summary

• Achieved strong year-over-year growth: deposits up 15%, advances up 14%, and PAT up 3% YoY and 28% QoQ, supported by resilient net interest income and healthy fee income momentum.

• Expanded distribution footprint, surpassing 6,000 branches, and maintained robust digital and payments leadership, including a 39% UPI market share and 14% credit card market share.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, were approved and subjected to limited review with unmodified reports by joint statutory auditors.

• The bank continues to maintain a strong capital adequacy ratio and robust asset quality.

• Focused on building a resilient franchise, competitive advantage through digital initiatives, and future-ready banking solutions.

Financial highlights

• Deposits grew 5% QoQ and 15% YoY; advances up 4% QoQ and 14% YoY.

• Net interest income for Q3 FY26 at INR 14,287 crore, up 5% YoY and 4% QoQ; NIM at 3.64%.

• PAT at INR 6,490 crore, up 28% QoQ and 3% YoY; consolidated net profit at ₹7,010.65 crore.

• Core operating profit at INR 10,815 crore, up 7% YoY; standalone operating profit for Q3FY26 was ₹10,875.70 crore.

• Cost to assets at 2.33%, improved 15 bps YoY.

Outlook and guidance

• Confident in maintaining through-cycle NIM guidance of 3.8%, regardless of rate environment.

• Expect deposit growth to stabilize and converge with credit growth over the next 15-18 months, contingent on sustained liquidity.

• Plan to rebalance loan book towards a 58-60% retail, 23-25% wholesale, and balance SME mix over the planning horizon.

• Focus remains on growing granular deposits, digital banking, and expanding in rural and semi-urban markets.

• The bank is monitoring the implementation of new labour codes and has made provisions for potential impacts.