Kolkata: Bandhan Bank has reported 35% year-on-year growth in net profit at Rs 501.6 crore for the first quarter this fiscal. This was largely due to around 40% reduction in provisions during the period, the bank said. However, it witnessed an 18.6% year-on-year fall in operating profit to Rs 1,358.1 crore for Q1FY27 due to a sharp rise in operating expenses.Last fiscal, the lender posted a net profit of Rs 371.9 crore in the first quarter.Operating expenses rose around 19% on the back of increase in employee cost owing to the new labour codes, and the West Asia crisis led to an increase in prices of many tech products, the bank said.During a news conference, Bandhan Bank MD and CEO Partha Pratim Sengupta said the quarter was marked by a continued focus on balance sheet quality, business resilience and execution. “Traditionally, the first quarter has been the softest quarter for our business, characterised by seasonal moderation in growth and pressure on asset quality metrics. However, in Q1FY27, we demonstrated significantly better resilience compared to the same period of the previous year,” Sengupta said.During the first quarter of this financial year, the bank’s EEB (erstwhile microfinance segment) book witnessed a marginal decline compared to the same period last year. Overall, gross advances grew 16% year on year, while deposits rose 7%.
