Conference Call with Federal Bank Management and Analysts on Q1FY27 Performance and Outlook. Listen to the full earnings transcript.
Federal Bank announced Q1FY27 results Standalone Financial Highlights: Total Income: For Q1FY27, total income stood at Rs 8,28,669 lakh, marking a growth of 6.24% YoY from Rs 7,79,961 lakh in Q1FY26 and a decline of 3.01% QoQ from Rs 8,54,404 lakh in Q4FY26. Interest Earned: The bank earned Rs 7,23,831 lakh in interest during Q1FY27, an increase of 8.25% YoY compared to Rs 6,68,663 lakh in Q1FY26, but a decrease of 2.17% QoQ from Rs 7,39,909 lakh in Q4FY26. Other Income: Standalone other income was Rs 1,04,838 lakh in Q1FY27, down 5.80% YoY from Rs 1,11,298 lakh in Q1FY26 and down 8.43% QoQ from Rs 1,14,495 lakh in Q4FY26. Operating Profit: Operating profit reached Rs 1,89,733 lakh in Q1FY27, growing 21.91% YoY from Rs 1,55,629 lakh in Q1FY26, though it saw a QoQ decline of 16.65% from Rs 2,27,641 lakh in Q4FY26. Net Profit: The standalone net profit for Q1FY27 was Rs 1,17,693 lakh, representing a strong YoY growth of 36.57% from Rs 86,175 lakh in Q1FY26, and a QoQ decrease of 6.53% from Rs 1,25,910 lakh in Q4FY26. Asset Quality: Gross NPA ratio improved to 1.52% in Q1FY27 from 1.91% in Q1FY26 and 1.62% in Q4FY26. Net NPA ratio stood at 0.18% in Q1FY27 compared to 0.48% in Q1FY26 and 0.20% in Q4FY26. Capital Adequacy: Capital Adequacy Ratio (Basel III) was 16.97% in Q1FY27, compared to 16.03% in Q1FY26 and 17.25% in Q4FY26. Earnings Per Share (EPS): Basic standalone EPS for Q1FY27 was Rs 4.77, up from Rs 3.51 in Q1FY26 but down from Rs 5.11 in Q4FY26. Consolidated Financial Highlights: Total Income: Consolidated total income for Q1FY27 reached Rs 8,94,311 lakh, up 7.55% YoY from Rs 8,31,533 lakh in Q1FY26 and down 2.07% QoQ from Rs 9,13,247 lakh in Q4FY26. Interest Earned: Consolidated interest earned was Rs 7,86,158 lakh in Q1FY27, showing a YoY growth of 9.94% from Rs 7,15,084 lakh in Q1FY26 and a QoQ decline of 1.07% from Rs 7,94,661 lakh in Q4FY26. Operating Profit: Consolidated operating profit for Q1FY27 stood at Rs 2,09,424 lakh, representing an increase of 22.68% YoY from Rs 1,70,704 lakh in Q1FY26 and a decrease of 15.39% QoQ from Rs 2,47,524 lakh in Q4FY26. Net Profit: Consolidated net profit (attributable to owners) was Rs 1,25,609 lakh in Q1FY27, a YoY growth of 36.78% from Rs 91,832 lakh in Q1FY26 and a QoQ decline of 6.33% from Rs 1,34,097 lakh in Q4FY26. Earnings Per Share (EPS): Consolidated basic EPS was Rs 5.09 in Q1FY27, compared to Rs 3.74 in Q1FY26 and Rs 5.44 in Q4FY26. Business Highlights: Segment Performance: Retail Banking: The segment recorded the highest revenue of Rs 8,22,894 lakh in Q1FY27. Segment results (net of provisions) for Retail Banking were Rs 61,245 lakh. Corporate/Wholesale Banking: This segment generated revenue of Rs 3,32,908 lakh in Q1FY27, with segment results of Rs 60,870 lakh. Treasury: Treasury revenue was Rs 1,49,487 lakh in Q1FY27, yielding segment results of Rs 26,109 lakh. Other Banking Operations: Revenue from other operations was Rs 10,779 lakh with segment results of Rs 9,162 lakh. Equity Allotment: The Bank allotted 37,56,655 equity shares of Rs 2 each during Q1FY27 following the exercise of stock options by employees. Co-Lending Arrangements (CLA): As of June 30, 2026, the number of accounts outstanding under CLAs was 67,672, with a total quantum of Rs 16,354.72 lakh. Geographical Concentration: The business operations are substantially concentrated in India, and the Bank is considered to operate only in the domestic segment for reporting purposes. Asset Management: Net Worth of the bank increased to Rs 39,95,117 lakh in Q1FY27 from Rs 33,99,408 lakh in Q1FY26. KVS Manian, Managing Director & CEO, said: “This quarter demonstrates something important about the franchise we have been building. Our profit grew nearly 37% in a period when treasury had a challenging period, which tells you that the earnings are coming from the core business, not from market gains. Net interest income growing 26% against advances growth of 15% represents the expansion in our NIMs, which has been a core focus for the bank.” “Our net NPA at 0.18% is the lowest in the Bank's recent history, and simultaneously and provision coverage ratio stands at 87%. We are building a resilient balance sheet through a combination of lower credit cost and a strong buffer out of our current earnings.” “Our chosen advance segments are delivering as intended, and the NR and CASA franchises continue to deepen. We enter the rest of the year with our capital position strong, our asset quality at its decadal best,, and good momentum in our core business.” Result PDF