Axis Bank announced Q2FY26 results Steady operating performance aided by stable NII and robust fee income. The Bank’s Net Interest Income (NII) stood at Rs 13,745 crore up 1% QoQ and 2% YoY basis. Net Interest Margin (NIM) for Q2FY26 stood at 3.73%. The Bank’s operating profit for the quarter stood at Rs 10,413 crore down 3% YoY. Core operating profit stood at Rs 9,915 crore. Operating cost grew 5% YoY in Q2FY26. Net profit down 26% YoY to Rs 5,090 crore in Q2FY26. Fee income grew 5% QoQ and 10% YoY, granular fee constituted 91% of overall fees, Retail fee grew 10% YoY. Gained market share on MEB deposits, Focus on average deposits continues. QoQ MEB | QAB basis total deposits up 4% | 3%, term deposits up 4% | 4%, SA up 4% | 3%, CA up (1%) | 2%. MEB | QAB CASA ratio at 40% | 38%, Avg. LCR Outflow rates at 27.2%. Q2FY26 cost of funds decreased by 30 bps YoY and 24 bps QoQ. Gained market share on advances, granular book continues to grow steadily: Advances grew 12% YoY and 5% QoQ; Bank’s focus segments grew by 12% YoY and 5% QoQ. SBB+SME+MC at Rs 2,658 bn | 24% of total loans, grew 20% YoY, up ~738 bps in last 4 years. Retail loans grew 6% YoY of which SBB book grew 14% YoY and 5% QoQ, and Rural loans grew 2% YoY. Well capitalized with adequate liquidity buffers Overall capital adequacy ratio (CAR) stood at 16.55%, CET 1 ratio of 14.43% up 31 bps YoY. Additional cushion of ~44 bps over the reported CAR, attributable to other provisions of Rs 5,012 crore and additional one-time standard asset provision5 of Rs 1,231 crore. Excess SLR of Rs 101,012 crore. Average LCR during Q2FY26 was ~ 119%. Stable asset quality GNPA at 1.46% down 11 bps QoQ and up 2 bps YoY, NNPA at 0.44% down 1 bps QoQ. PCR healthy at 70%; On an aggregated basis9 , Coverage ratio at 147%. Gross slippage ratio at 2.11%, down by 102 bps QoQ, Net slippage ratio at 1.05%, down 128 bps QoQ. Retail asset quality stabilising, retail business net slippages and net credit costs lower than Q2FY25. Net credit cost at 0.73%, down 65 bps QoQ. Amitabh Chaudhry, MD&CEO;, Axis Bank said: "This quarter, we continued to push ourselves as an institution to deliver meaningful progress. From enhancing digital safety to expanding access to credit and empowering entrepreneurs, our innovations are designed to serve real needs with precision and scale. We believe true transformation is not just about technology, it’s about relevance, strength, and responsibility. As we move forward, our focus remains on building a bank that is agile, inclusive, and an all-weather franchise. One that leads with purpose in a rapidly evolving world." Result PDF