Ujjivan Small Finance Bank Reports Q3 Performance With Stable Asset Quality

Ujjivan Small Finance Bank has announced its financial performance for the third quarter, showcasing a balance between earnings growth and prudent risk management. The bank earned 17.52 billion rupees in interest income, underscoring strong lending activity and customer engagement. At the same time, provisions and contingencies rose to 1.95 billion rupees, reflecting a cautious approach to asset quality amid evolving market conditions.  

Gross NPA levels were reported at 2.38 percent, indicating stable asset quality compared to industry peers. The bank’s ability to maintain relatively low NPAs while expanding its interest income highlights effective credit monitoring and disciplined lending practices. Analysts note that the higher provisioning signals preparedness for potential stress, ensuring long-term stability.  

Earnings Performance  
Interest earned stood at 17.52 billion rupees, reflecting strong lending activity and customer demand.  

Risk Management Strategy  
Provisions and contingencies rose to 1.95 billion rupees, showing a cautious approach to asset quality.  

Asset Quality  
Gross NPA levels reported at 2.38 percent, highlighting stability and effective credit monitoring.  

Key Highlights  

• Provisions and contingencies stood at 1.95 billion rupees in Q3  
• Interest earned reached 17.52 billion rupees, reflecting strong lending activity  
• Gross NPA reported at 2.38 percent, showing stable asset quality  
• Higher provisioning indicates cautious risk management strategy  
• Results highlight resilience in earnings and operational discipline  

Future Outlook  
With steady interest income and controlled NPAs, Ujjivan Small Finance Bank is expected to continue strengthening its financial position. The bank’s focus on risk management and customer-centric growth will be crucial in sustaining momentum in the coming quarters.  

Sources: Reuters, Business Standard, Economic Times