Page 2 - Small Finance Banks

Unity Small Finance Bank Q4 results: Profit rises 83% to Rs 264 cr

Unity Small Finance Bank on Monday reported an 83 per cent jump in its net profit to Rs 264 crore for the March quarter. Centrum Financial Services promoted bank had earned a net profit of Rs 144 crore in the year-ago period. During the quarter, the bank's total income rose significantly to Rs 977 crore against Rs 438 crore a year ago, Unity Small Finance Bank said in a statement. Its operating profit rose to Rs 347 crore during the period under review from Rs 166 crore a year ago. For the entire financial year 2024-25, the bank reported a 10 per cent increase in its profit to Rs 482 crore from Rs 439 crore in the previous fiscal. The bank's total income during the financial year rose to Rs 2,837 crore compared to Rs 1,632 crore a year ago.

Jana Small Finance Bank may apply for universal bank licence this month

Jana Small Finance Bank will join AU Small Finance Bank and Ujjivan Small Finance in the list of the small finance banks that are seeking a universal banking licence from the RBI

AU Small Finance Bank raises Rs 770 crore via Tier-II bond issuance

With this fund raise, AU SFB has achieved one of the largest bond issuances by any small finance bank, with the deal closing on the last working day of the financial year FY25

SFBs' Q3 profits erode due to interest cost pressures, uptick in slippages

Bad loans grow sequentially and annually

SFBs ready with systems, governance to become universal banks: MDs & CEOs

One major benefit of becoming a universal bank is that public perception will change

May consider applying for universal bank licence in 2 years: Sarvjit Samra

We achieved an 8 per cent growth in deposits on a quarter-on-quarter basis, maintaining a retail-centric focus, said Sarvjit Singh Samra, MD & CEO, Capital Small Finance Bank

Shivalik Small Finance Bank offers 9.30% interest to senior citizens on FD

Lender offers interest rate of 8.80% on fixed deposits for general citizens and 9.30% on FDs for senior citizens on select tenures

Small Finance Banks' bottom-line to take hit on rising fund, credit costs

Manushree Saggar, Sector Head - Financial Sector Ratings, ICRA said the profitability for the SFBs to remain under pressure in H2 FY2025

HDFC Bank to acquire up to 9.5% in Kotak Mahindra and AU, Capital SFBs

RBI has given approval to HDFC Bank and its group companies to collectively acquire up to 9.5 per cent of paid-up share capital or voting rights in Kotak Mahindra Bank, AU Small Finance Bank

VFS Capital seeks small finance bank licence from RBI under 'on-tap' scheme

The company began microfinance activities in 2006 and was registered with the RBI as an NBFC-MFI in September 2013

RBI allows small finance banks to offer pre-sanctioned credit via UPI

RBI allows Small Finance Banks to offer pre-sanctioned credit lines via UPI, aiming to boost financial inclusion for underserved communities, including small businesses and micro-entrepreneurs

SFBs: The canter on a chequered terrain as deposit challenges loom

All said, growth prospects for SFBs remain buoyant, anchored by comfortable capitalisation and ever-increasing presence in underpenetrated markets

SFBs ready with systems to make the transition, say CEOs at BS BFSI Summit

SFBs have a talent pool of senior managers with over 20 years of experience, ensuring robust succession planning for a professionally managed bank.

BFSI Summit: 'No hurry'- Small finance bank experts weigh on 'going big'

Industry leaders at the Business Standard BFSI Insight Summit discussed the growth potential of small finance banks and their possible evolution into universal banks to expand their public appeal

SFBs should adopt responsible lending practices: RBI DG Swaminathan

The boards are also expected to ensure a proper succession planning for top management

RBI dy guv Swaminathan calls for responsible lending at small finance banks

The RBI has been encouraging banks to strengthen governance standards to prevent financial instability and systemic risks

SFBs should be vigilant, proactive to mitigate risks: RBI deputy guv

Swaminathan highlighted the role of governance in guiding SFBs towards sustainable growth with stability. He also emphasised the importance of sustainable business models

Small Finance Banks' loan growth to lower to 25-27% in FY25: CRISIL Ratings

Small Finance Banks' (SFBs) loan growth will moderate to 25-27 per cent in FY25 against 28 per cent in FY24, a domestic rating agency said on Monday. Crisil Ratings said though a tad lower, the advances growth will be robust and driven by factors like segmental and geographical expansion by the entities. While capital buffers remain healthy, SFBs will face challenges in mobilising deposits and their costs and will explore alternative, non-deposit avenues to fund credit growth, the agency said. The asset growth will be driven by traditional microlending being the most popular and new ones like mortgages, small businesses or even unsecured loans. "Credit growth in new asset classes is seen at 40 per cent this fiscal, while that in traditional segments will be 20 per cent," its senior director Ajit Velonie said. He added that the share of new asset classes will cross 40 per cent by the end of March 2025 on the back of the faster growth and underlined that most of the asset ...

Q1 results: SFBs' net profit growth flat as provisions jump over 2x

Provisions more than double on asset quality pressures

Avoid extra loans to borrowers with over Rs 200,000 MFI exposure

The enhanced guidelines must be issued to lending institutions to protect the interests of the microfinance sector and specifically its clients