Axis Bank Earnings Summary — Q1 FY2027
Axis Bank Reports Record Quarterly Standalone Net Profit of ₹7,114 Crores for Q1 FY2027
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 4 consecutive quarters.
- Revenue of ₹35,542 Cr is 9.9% higher year-on-year.
- Revenue has compounded at 7.5% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹7,632 Cr is 22.2% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 0.2% annualised across the period.
- Operating margin stands at 63.9% in Q1 FY2027.
- Operating margin expanded by 711 bps year-on-year.
- Over the last two years operating margin has expanded by 204 bps.
- PBT margin is 28.6%.
- Expense growth of -8.2% remained below revenue growth of 9.9%.
- Operating profit of ₹22,705 Cr is 23.6% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 81/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 35,542 | 34,171 | 33,709 | 32,310 | 32,348 | 32,452 | 32,162 | 31,601 | 31,159 | 30,231 |
| Expenses | Stable | 12,837 | 14,816 | 12,743 | 14,302 | 13,983 | 11,943 | 11,913 | 12,412 | 11,892 | 11,124 |
| Operating Profit | Stable | 22,705 | 19,355 | 20,967 | 18,007 | 18,366 | 20,510 | 20,249 | 19,189 | 19,267 | 19,107 |
| Operating Margin | Stable | 63.9% | 56.6% | 62.2% | 55.7% | 56.8% | 63.2% | 63.0% | 60.7% | 61.8% | 63.2% |
| Other Income | Stable | 7,671 | 6,972 | 7,189 | 7,460 | 8,053 | 7,506 | 6,797 | 7,603 | 6,637 | 7,606 |
| Interest | Stable | 20,215 | 19,080 | 18,785 | 17,971 | 18,239 | 18,121 | 18,040 | 17,615 | 17,261 | 16,727 |
| Depreciation | Insufficient data | — | — | — | — | — | — | — | — | — | — |
| Profit Before Tax | Accelerating | 10,161 | 7,247 | 9,371 | 7,496 | 8,180 | 9,895 | 9,007 | 9,177 | 8,643 | 9,985 |
| Tax | Volatile | 2,505 | -385 | 2,326 | 1,938 | 1,920 | 2,405 | 2,244 | 1,768 | 2,193 | 2,371 |
| Net Profit | Accelerating | 7,632 | 7,603 | 7,011 | 5,528 | 6,244 | 7,475 | 6,742 | 7,401 | 6,436 | 7,599 |
| Net Margin | Stable | 21.5% | 22.3% | 20.8% | 17.1% | 19.3% | 23.0% | 21.0% | 23.4% | 20.7% | 25.1% |
Key Takeaways
- Axis Bank delivered a standalone net profit of ₹7,114 crores for Q1 FY2027, representing a 22.5% YoY growth despite seasonal pressures.
- Asset quality remains robust with Gross NPA at 1.28% and Net NPA at 0.39%, compared to 1.57% and 0.45% respectively in the same quarter last year.
- Advances grew to ₹12,61,557 crores, up from ₹10,59,724 crores YoY, indicating steady credit demand across retail and corporate segments.
- The Bank's subsidiary, Axis Finance Limited, received a significant equity infusion of ₹1,499 crores and subsequently diluted its stake through a Kedaara Capital investment.
- Net Worth significantly improved to ₹2,03,435 crores as of June 30, 2026, strengthening the bank's capital adequacy (CAR at 16.67%).
- Operating expenses showed a sequential decline to ₹9,722 crores from ₹10,466 crores in Q4 FY26, aiding profit margins.
Management Guidance
Management emphasizes a 'GPS' strategy—Growth, Profitability, and Sustainability—focusing on high-quality retail expansion and digital banking sub-segments.
Sentiment Shift
Improving
The bank has effectively transitioned past its historical asset quality issues, maintaining high RoE and stabilizing margins following the Citibank integration.
Outlook
Axis Bank is positioned to maintain a mid-teens growth trajectory in advances, supported by a healthy 18% RoE and improved systemic market share in deposits.
From the Annual Report (Key Quotes)
“The Bank took the initiative to further strengthen its balance sheet by voluntarily enhancing its prudent provisioning framework for standard assets.”
“Total Income for the quarter stood at ₹40,721 crores, up 6% YoY, driven by sustained momentum in core banking operations.”
“Management remains focused on granular retail advances which now constitute a major share of the total loan book.”
Official Quarterly Documents
Ask AI about this quarter
This summary is AI-generated from Axis Bank's latest quarterly filing and earnings call. For informational purposes only — not investment advice.