The June-quarter earnings season kept India’s banking stocks firmly in the news as lenders reported a mixed set of numbers on profitability, margins and loan growth. Here is a detailed look at how the major banks fared in Q1FY27:

HDFC Bank

HDFC Bank‘s net profit for the quarter ended June rose 5% year-on-year to Rs 19,060 crore. Net interest income (NII) grew 7% on-year to Rs 33,534 crore while the net interest margin eased to 3.26% from 3.40% in the previous quarter.

Other income fell sharply, down 41% year-on-year and 3% sequentially to Rs 12,822 crore, weighed down by weaker fees and commissions, forex and derivative income, and trading gains. The bank’s total balance sheet size stood at Rs 43.97 lakh crore as on June 30, up from Rs 39.54 lakh crore a year earlier, with gross advances growing 15.4% and deposits up 14.7% on-year.

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IDBI Bank

IDBI Bank reported a 5% year-on-year rise in net profit to Rs 2,115 crore for the June quarter, aided by a provision write-back of Rs 636.89 crore against provisions of Rs 285 crore in the previous quarter. Net interest income grew 10% on-year to Rs 3,486 crore, though it was down 9% sequentially.

Margins came under pressure, with the net interest margin at 3.61%, down 7 basis points year-on-year and 54 basis points from the previous quarter’s 4.15%. Net advances grew 22% year-on-year to Rs 2.58 lakh crore, while deposits rose 10% to Rs 3.25 lakh crore; sequentially, advances were up 2% but deposits fell 6%.

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ICICI Bank

ICICI Bank posted a 16% year-on-year rise in net profit to Rs 14,804.50 crore for Q1FY27, up from Rs 12,768.21 crore a year earlier. Net interest income grew 12.7% to Rs 24,384 crore from Rs 21,635 crore, while the net interest margin improved to 4.36%, compared with 4.32% in the previous quarter and 4.34% a year ago.

Total advances grew 19.6% year-on-year and 5% sequentially, with the retail loan book up 12% and comprising 49.2% of the total portfolio. The business banking and rural portfolios grew 28.2% and 35.4% year-on-year, respectively. 

Axis Bank

Axis Bank reported a 23% jump in Q1FY27 net profit to Rs 7,113.92 crore, up from Rs 5,806 crore a year earlier, helped by stable asset quality and a favourable operating environment. Net interest income rose 8% year-on-year to Rs 14,646 crore from Rs 13,560 crore, though the net interest margin slipped to 3.46%, its lowest in nearly 19 quarters, even as loan growth touched a 10-quarter high.

Provisions fell 43.7% year-on-year to Rs 2,222.54 crore from Rs 3,947.66 crore, supporting the sharp rise in net profit. Advances grew 19% year-on-year, led by a 38% jump in corporate loans, while retail loans rose just 8%.

State Bank of India

State Bank of India, the country’s largest lender, is yet to announce its June-quarter numbers, with results expected in August. The Fortune 500 lender, headquartered in Mumbai, has built a legacy of over 200 years and remains the largest banking and financial services organisation in the country, with an asset base of more than Rs 61 lakh crore.

As per the company website, SBI serves over 50 crore customers through a network of over 23,288 branches, 63,580 ATMs and ADWMs, and 82,900 business correspondent outlets. Its business is also diversified through subsidiaries such as SBI General Insurance, SBI Life Insurance, SBI Mutual Fund and SBI Card, with a presence across 241 offices in 29 foreign countries. The bank’s Q1FY27 results, once announced, will be watched closely for cues on margin trends and credit growth across the sector.

Conclusion

The June-quarter earnings showed a lot of varied responses from the banks. HDFC Bank disappointed on earnings, IDBI Bank grappled with margin pressure, and ICICI Bank delivered steady profit growth, while Axis Bank reported a sharp rise in its bottom line.