IDFC First Bank more than doubled its fiscal first quarter net profit to Rs 1,075 crore due to strong growth in net interest income (NII) and lower provisions, while loan-deposit growth has remained balanced.

The private sector lender had posted a 132.4% lower net profit at Rs 463 crore in the year-ago June quarter.

NII jumped 21.1% year-on-year (y-o-y) to Rs 5,972 crore in the June 2026 quarter from Rs 4,933 crore a year earlier.

IDFC FIRST Bank’s board has approved an enabling resolution to raise up to Rs 20,000 crore through a mix of equity and debt instruments, according to an exchange filing on Saturday.

Net interest margin (NIM) widened to 5.96% from 5.75% in Q1 FY26. The bank has upgraded its NIM guidance for FY27 to 5.8% from earlier 5.75%. The bank’s pre-provisioning operating profit stood at Rs 2,553 in the June quarter, up 14% y-o-y.

Provisions fell to Rs 1,144 crore from Rs 1,659 in the same quarter last year. The bank’s asset quality improved, with gross non-performing assets (NPAs) at 1.51% versus 1.97% a year ago and 1.61% in the preceding March quarter.

Net NPA improved to 0.44% from 0.55% a year earlier and 0.48% in the preceding quarter.

Loans and advances grew 20% y-o-y to Rs 2.98 lakh crore in the June quarter, while deposits rose 18% to Rs 3.12 lakh crore.

CASA (current account savings account) deposits grew 25% y-o-y to Rs 1.58 lakh crore. The CASA share improved by 283 basis points y-o-y and 102 basis points (bps) to stand at 50.8% as on June 30.

The bank’s return on assets (RoA) improved by 52 bps YoY and 73 bps quarter-on-quarter to 1.06% at the June-end quarter. The bank expects the RoA to settle at 1% by the end of FY27.