Equitas Small Finance Bank Limited (NSE: EQUITASBNK, BSE: 543243) announced its unaudited financial results for the quarter and nine months ended December 31, 2024. The bank’s Board of Directors approved the financials at a meeting held on January 31, 2025.
Key Financial Highlights (₹ in Lakhs)
Particulars
Q3 FY25
Q2 FY25
Q3 FY24
9M FY25
9M FY24
FY24 (Audited)
Total Interest Earned
1,61,193.02
1,55,487.11
1,42,879.65
4,66,775.45
4,04,175.01
5,48,640.34
Other Income
23,840.90
23,893.11
20,547.55
68,604.39
55,821.58
79,867.06
Total Income
1,85,033.92
1,79,380.22
1,63,427.20
5,35,379.84
4,59,996.59
6,28,507.40
Interest Expended
79,353.75
75,256.19
64,365.36
2,24,556.72
1,74,788.13
2,40,664.28
Operating Expenses
72,394.70
69,152.46
63,031.23
2,08,526.29
1,84,947.25
2,50,106.68
Operating Profit
33,285.47
34,971.57
36,030.61
1,02,296.83
1,00,261.21
1,37,736.44
Provisions & Contingencies
24,311.42
32,965.60
8,438.02
87,740.73
20,764.08
31,423.97
Profit Before Tax (PBT)
8,974.05
2,005.97
27,692.59
14,556.10
79,497.13
1,06,312.47
Net Profit (PAT)
6,630.24
1,288.25
20,200.08
10,494.22
59,133.94
79,896.02
Segment-Wise Performance (₹ in Lakhs)
Segment
Q3 FY25
Q2 FY25
Q3 FY24
9M FY25
9M FY24
FY24 (Audited)
Treasury
22,661.03
23,452.60
18,468.39
66,608.69
47,779.67
67,027.72
Retail Banking
1,57,545.30
1,51,422.87
1,39,841.92
4,55,196.14
3,96,909.43
5,39,191.92
Wholesale Banking
1,594.63
1,659.67
2,388.61
4,787.09
8,038.10
10,107.47
Other Banking Ops
3,232.96
2,845.08
2,728.28
8,787.92
7,269.39
12,180.29
Key Financial Ratios
Ratio
Q3 FY25
Q2 FY25
Q3 FY24
9M FY25
9M FY24
FY24 (Audited)
Capital Adequacy Ratio (CAR) - Basel II
20.29%
19.36%
20.24%
20.29%
20.24%
21.70%
Gross NPA (%)
2.97%
2.95%
2.53%
2.97%
2.53%
2.61%
Net NPA (%)
0.96%
0.97%
1.13%
0.96%
1.13%
1.17%
Return on Assets (RoA)
0.13%
0.03%
0.48%
0.22%
1.49%
1.96%
Earnings Per Share (EPS) - Basic
0.58
0.11
1.79
0.92
5.28
7.12
Earnings Per Share (EPS) - Diluted
0.58
0.11
1.77
0.92
5.20
7.01
Corporate Announcements & Regulatory Updates
Capital Raising: During Q3 FY25, the bank raised ₹500 crore in Tier II capital via non-convertible debentures (NCDs).
Employee Stock Options: The bank granted 88.97 lakh stock options under the ESFB ESOP Scheme 2019.
Loan Provisions: A floating provision of ₹180 crore was made in line with RBI guidelines.
Investment Portfolio Transition: Under new RBI norms, the bank reported net transition gains of ₹2.59 crore, with an additional appreciation of ₹6.38 crore in the AFS reserve.
Management Commentary
PN Vasudevan, Managing Director & CEO of Equitas Small Finance Bank, stated: "While we have seen strong growth in interest income and a steady expansion in our retail and treasury businesses, we are mindful of higher provisioning requirements impacting our bottom line. The bank continues to strengthen its capital base and maintain a disciplined approach toward asset quality."
Strategic Outlook
The bank remains focused on expanding its retail lending portfolio, particularly in MSME and affordable housing segments.
Strengthening digital banking capabilities will be a priority, leveraging technology for enhanced customer engagement.
Efforts will continue to improve asset quality while ensuring robust provisioning levels.
Stock Performance & Investor Takeaways
With YoY revenue growth but higher provisions impacting profitability, investors may closely watch asset quality and future loan book growth. The NPA ratios remain stable, indicating controlled risk exposure. The bank's capital adequacy remains strong, ensuring sufficient buffer for expansion.
