Financial Services · NSE: RBLBANK
RBL Bank
Q2 FY27 earnings call · Guided by management
Call held 12 Oct 2026 · Read the filing on NSEFiling
- M.Cap
- ₹60,359Cr
- P/E
- 50.1×
- 1Y return
- +21.73%
- From 52W high
- −9.4%
Highlights are read by AI from the company's filing and can contain mistakes. Check the source page linked to each line.
Share price
Results Q2 FY27, as filed · consolidated · ₹ Cr
| Q2 FY27 | Q2 FY26 | YoY | Q1 FY27 | QoQ | |
|---|---|---|---|---|---|
| Interest earned | 4,322 | 3,508 | +23.2% | 3,840 | +12.5% |
| Net interest income | 2,131 | 1,552 | +37.4% | 1,655 | +28.8% |
| Operating profit | 1,417 | 745 | +90.2% | 909 | +55.8% |
| Net profit | 498 | 192 | +158.9% | 234 | +112.8% |
| EPS (₹) | 3.19 | 3.11 | +2.6% | 3.08 | +3.6% |
From the company's own results filing on NSE. Net profit is the owners' share. Growth and the dotted lines are worked out from the filed figures.
Guidance
Margin expected slightly lower next quarter, then to inch up in Q4
Jaideep Iyer · Executive Director · Q&A · p. 7
Margin expected slightly lower next quarter, then to inch up in Q4
“But on the margin, I would imagine that we should be slightly lower next quarter, and then, probably inch up in Q4.”
credit cards: Credit card slippages expected to come down to around 400 plus-minus for Q3, Q4
Jaideep Iyer · Executive Director · Q&A · p. 8
credit cards: Credit card slippages expected to come down to around 400 plus-minus for Q3, Q4
“So, we would expect credit card slippages to come down to around a 400 plus-minus number for Q3, Q4 kind of numbers.”
cards: Cards expected to stop de-growing within a quarter
Jaideep Iyer · Executive Director · p. 17
cards: Cards expected to stop de-growing within a quarter
“So, in cards, we expect to stop de-growing in a quarter.”
Overall growth early to mid-20s; unsecured high single to low double digits
Jaideep Iyer · Executive Director · Q&A · p. 20
Overall growth early to mid-20s; unsecured high single to low double digits
“So, you can look at an overall growth of, let's say, early to mid-20s, and an unsecured growth of, let's say, high single digits or low double digits.”
More figures from the call
“Around the same range of 7% to 8%.”
“Yes, around 2.5, 3 years, you can put it that way. Because if you just have around 30, 40 branches, it will become 1,000, as tone of 3 years maximum.”
“So, our cards provisioning for the quarter was approximately INR575 crores, and yes, this should come off a reasonable bit.”
“I think we have approximately INR300 crores plus-minus of income per annum. And I would imagine based on plain reading of this, I think that will get substantially impacted, and I would imagine anywhere between 50% to 60% impact should be minimum to be penciled in.”
“Normally, we would want to be in the 120 to 125 zone on LCR, because there'll always be some cushion that we will want to keep.”
“The share will be more or less in the same range. You can just keep it that way, 19%, 20%.”
In short
- 01Advances grew 42% year-on-year to Rs 1,42,314 crore; net profit rose 170% to Rs 482 crore.
- 02Loan growth baseline of 22% to 25% is kept; model 5% to 6% a quarter.
- 03Margin expected slightly lower next quarter, then to inch up in Q4.
- 04Card slippages expected near Rs 400 crore for Q3 and Q4; card credit cost to 5.5% to 6%.
- 05Draft bancassurance rules could cut about Rs 300 crore banca income by at least 50% to 60%.
- 06Plan to add 30 to 50 branches a quarter, reaching 1,000 in about 2.5 to 3 years.
- 07ENBD India amalgamation filed with RBI; expected within this financial year.
Segments
wholesale banking: Liquidity expected to be fully deployed in wholesale banking over the medium term
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 3
wholesale banking: Liquidity expected to be fully deployed in wholesale banking over the medium term
“Given the large liquidity still on the balance sheet, we expect to continue this for the next few months. Over the medium term, we expect this liquidity to be fully deployed in the wholesale banking segment”
JLG: JLG back to normal with bucket-X efficiency close to 99.5%
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
JLG: JLG back to normal with bucket-X efficiency close to 99.5%
“In our unsecured retail business, we have seen JLG return to normalcy for a few months now, with bucket-X efficiency consistently close to 99.5%.”
microfinance: Microfinance to grow only to meet PSL needs
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 20
microfinance: Microfinance to grow only to meet PSL needs
“We wanted to grow only to the extent what we wanted as a PSL. This is not an engine which is going to add up the numbers, it's primarily for PSL.”
savings accounts: SA growth expected from branch expansion and NR segment in coming quarters
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 13
savings accounts: SA growth expected from branch expansion and NR segment in coming quarters
“we are going to expand the branches, we are getting into NR segment, which is hitherto, we were not able to penetrate much. And this will see a lot of positive growth in SA as we move forward in coming quarters.”
wholesale: No specific sector trend being chased or seen in wholesale lending
Jaideep Iyer · Executive Director · p. 19
wholesale: No specific sector trend being chased or seen in wholesale lending
“But I don't think there is any specific sectoral trend that we are either chasing or seeing.”
Demand
FY27 GDP growth expectations revised up to around 7.1%
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 2
FY27 GDP growth expectations revised up to around 7.1%
“The GDP growth expectations for FY27 have been revised upwards to around 7.1%, reflecting the strength of underlying economic activity.”
Margins and costs
NIM at 4.61% for the quarter, up 48 basis points sequentially
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
NIM at 4.61% for the quarter, up 48 basis points sequentially
“Our NIM for the quarter was at 4.61%, an increase of 48 basis points sequentially.”
Opex grew 3% year-on-year and 7% sequentially to 1,812 crore
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
Opex grew 3% year-on-year and 7% sequentially to 1,812 crore
“Our opex grew 3% year-on-year and 7% sequentially to 1,812 crores.”
Cost to income ratio 56.5% versus 70.7% in Q2 FY26
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
Cost to income ratio 56.5% versus 70.7% in Q2 FY26
“Cost to income ratio for the quarter was 56.5% versus 70.7% in Q2 FY26.”
Liquidity between FCNR and equity is fixed rate; tailwind to margins and growth
Jaideep Iyer · Executive Director · p. 11
Liquidity between FCNR and equity is fixed rate; tailwind to margins and growth
“it's very interesting to have a situation where there is a significant amount of liquidity between FCNR and equity, which is effectively fixed rate in a rising rate environment. So, there will be tailwind to margins. There is tailwind to growth.”
Aim to stay at elevated NIM levels using two levers
Bhavin Lakhpatwala · Chief Financial Officer · p. 12
Aim to stay at elevated NIM levels using two levers
“There are two levers here, and we'll try and play both of them, with the hope that we continue to be in an elevated net interest margin levels from where we are”
Debt and working capital
Deposits grew 34% year-on-year to INR 1,56,272 crore
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
Deposits grew 34% year-on-year to INR 1,56,272 crore
“Similarly, our deposits grew 34% year-on-year to INR1,56,272 crores in the quarter.”
Average CASA ratio 24%; 28.1% excluding FCNR deposits
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
Average CASA ratio 24%; 28.1% excluding FCNR deposits
“As a result, our average CASA ratio stood at 24% as of 30th September. It would have been 28.1% ex-FCNR deposits.”
Capital adequacy ratio 30.1% and CET1 ratio 29%
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
Capital adequacy ratio 30.1% and CET1 ratio 29%
“Our capital adequacy ratio was at 30.1% and CET1 ratio was at 29%.”
FCNR deposits at period end around INR 32,300 crore
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 11
FCNR deposits at period end around INR 32,300 crore
“FCNR, EOP only is around INR32,300 crores, something like that.”
retail term deposits: Retail term deposits grew around 16% this quarter
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 6
retail term deposits: Retail term deposits grew around 16% this quarter
“This time, again, it grew around 16%. That will again continue to grow and support our deposit growth”
Fund raising
Capital raise and FCNR deposits added 35% of balance sheet as of 31 May 2026
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 3
Capital raise and FCNR deposits added 35% of balance sheet as of 31 May 2026
“For context, between both, we have added 35% of our balance sheet as of 31st May 2026.”
Acquisitions and new business
ENBD India amalgamation application with RBI; expected in this financial year
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 16
ENBD India amalgamation application with RBI; expected in this financial year
“This is amalgamation application has been submitted to Reserve Bank of India. Once the application is approved by them, thereafter, it will start. Definitely in this financial year.”
wealth: Early steps into a wealth proposition; build will take time
Management · p. 17
wealth: Early steps into a wealth proposition; build will take time
“we're taking early step into investing in a wealth proposition for our customers. It's very, very early.”
One-offs
One-off behind 12% sequential fee rise; not expected on an ongoing basis
Bhavin Lakhpatwala · Chief Financial Officer · p. 16
One-off behind 12% sequential fee rise; not expected on an ongoing basis
“So, there is a one-off, which is why you see sequentially fee going up by 12%, right? That’s you cannot expect that to happen on ongoing basis.”
Q2 fee included an FCNR currency swap one-off
Bhavin Lakhpatwala · Chief Financial Officer · p. 16
Q2 fee included an FCNR currency swap one-off
“No, there will be a little bit on an FCNR on the fee because of the currency swap that took that happened, the fixed to floating swap as well.”
Risks
retail: Watchful on deficient monsoons in certain districts; no Middle East impact so far
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 3
retail: Watchful on deficient monsoons in certain districts; no Middle East impact so far
“However, given deficient monsoons in certain districts, we continue to remain very watchful. We have also not seen any material impact on our portfolio arising from the conflict in the Middle East so far.”
retail: No change in retail bounce rates seen in first week of October collections
Jaideep Iyer · Executive Director · p. 8
retail: No change in retail bounce rates seen in first week of October collections
“including the October first week collections that we have on retail assets, we've not seen any change in bounce rates or anything like that.”
Investment book kept light on duration; no mark-to-market problem
Management · p. 9
Investment book kept light on duration; no mark-to-market problem
“So, we stayed light on duration. So, Rikin, no problems on that, on mark-to-market.”
RBI raised repo rate 25 bps to 6.5%; further increases possible
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 2
RBI raised repo rate 25 bps to 6.5%; further increases possible
“In response, the Reserve Bank of India has raised the repo rate by 25 basis points to 6.5%, and shifted its policy stance to calibrated tightening”
Market expects possible further rate increases; system liquidity to normalise
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 2
Market expects possible further rate increases; system liquidity to normalise
“Market expectations point to the possibility of further rate increases, while the system liquidity is expected to gradually normalize, as surplus liquidity is absorbed.”
Other
Advances grew 42% year-on-year to INR 1,42,314 crore; average advances up 33%
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
Advances grew 42% year-on-year to INR 1,42,314 crore; average advances up 33%
“Our advances grew this quarter by 42% year-on-year to INR1,42,314 crores and average advances grew 33% year-on-year.”
Advances include INR 10,300 crore leverage given to customers for FCNR deposits
R. Subramaniakumar · Managing Director and Chief Executive Officer · p. 4
Advances include INR 10,300 crore leverage given to customers for FCNR deposits
“This includes leverage we provided to the customers of INR10,300 crores for FCNR deposits”
Net profit up 170% year-on-year and 90% sequentially to INR 482 crore
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
Net profit up 170% year-on-year and 90% sequentially to INR 482 crore
“Our net profit for the quarter was up 170% year-on-year and 90% sequentially to INR482 crores.”
NII up 37% year-on-year and 29% sequentially to 2,131 crore
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
NII up 37% year-on-year and 29% sequentially to 2,131 crore
“Now, on our operating performance: Our NII was up 37% year-on-year and 29% sequentially to 2,131 crores.”
Fee income grew 12% year-on-year to INR 1,040 crore
Bhavin Lakhpatwala · Chief Financial Officer · p. 5
Fee income grew 12% year-on-year to INR 1,040 crore
“Fee income grew 12% year-on-year and 13% sequentially to INR1,040 crores.”
Sources
- Earnings call transcript, Q2 FY27 Filed 16 Oct 2026 · 21 pages
Management's own statements, quoted from its NSE filings. This page was read by AI and can contain mistakes: check the source pages before relying on any figure. No forecast or opinion of ours. Not investment advice.