Utkarsh Small Finance Bank released its Q2 business update in the post-market hours on Tuesday, announcing that its total disbursements stood at Rs 3,525 crore during the July-September quarter of FY27. This marks a sharp 55% surge from the Rs 2,275 crore reported in the second quarter of FY26. Sequentially, total disbursements grew nearly 5% quarter on quarter from Rs 3,370 crore reported in Q1 of the same financial year.
The sharp surge in disbursements was driven by a 94% YoY surge in non-Joint Liability Group (JLG) loans to Rs 2,602 crore. JLG loans, which are mostly loans taken by an informal group of 4-10 individuals, however declined a little over 1% YoY to Rs 923 crore during the quarter under review.
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Utkarsh Small Finance Bank’s deposits grew at a slower pace, rising nearly 7% YoY to Rs 23,869 crore during the second quarter of FY27. CASA deposits grew more than 14% YoY to Rs 5,121 crore, while retail term deposits increased around 12% YoY to Rs 14,442 crore. Bulk term deposits however dipped 13.5% YoY to Rs 4,307 crore.
The small finance bank’s current account saving account (CASA) ratio stood at 21.5% in Q2 FY27, as against 20% in the corresponding period of FY26 and 21.1% in Q1 of FY27. CASA, retail term and deposits ratio together stood at 82% in Q2 FY27, as against 77.8% in Q2 FY26 and 82.8% in Q1 FY27.
Utkarsh Small Finance Bank share price
Utkarsh Small Finance Bank shares have fallen around 2% in a week and 10% in a month, with the stock being overall down more than 8% in 2026 so far.In the longer term, the shares of the company delivered negative returns of around 28% in one year and more than 73% in three years. The company has a market capitalisation of nearly Rs 2,406 crore.
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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.
