Ujjivan Small Finance Bank Board Approves Fund Raising of Up to ₹2000 Crore Through Equity Shares

Ujjivan Small Finance Bank 's Board of Directors, at its meeting held on May 08, 2026, approved a significant capital-raising initiative. The board gave its consent to raise funds of up to Rs. 2000 Crore (Rupees Two Thousand Crore only) through the issuance of fully paid-up equity shares. The board meeting commenced at 11:00 am (IST), and the proposal was approved at 2:25 p.m. (IST).

Fund Raising Details

The approval was granted pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The fundraise is structured to offer flexibility in execution, allowing the bank to raise capital in one or more tranches and/or one or more issuances, simultaneously or otherwise. The issuance is to be carried out through one or more permissible modes as allowed under the Companies Act, 2013, and the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

The key details of the proposed securities issuance, as disclosed in Annexure 1 of the board communication, are summarised below:

Parameter: Details Type of Securities: Fully paid-up equity shares Issuance Structure: One or more tranches and/or one or more issuances, simultaneously or otherwise Modes of Issuance: Preferential issue(s), private placement(s), qualified institutions placement(s), and/or any combination thereof, or any other permitted method Total Amount: Up to Rs. 2000 Crores including premium Applicable Regulations: Companies Act, 2013; SEBI (ICDR) Regulations, 2018

Approvals and Next Steps

The fundraising proposal is subject to the receipt of necessary approvals, including the approval of the shareholders of the bank, as well as such other regulatory and statutory approvals as may be required. The bank has noted that the date of its 10th Annual General Meeting (AGM) for FY25-26 will be informed in due course. The intimation has been filed with both the National Stock Exchange of India Limited and BSE Limited in compliance with applicable listing regulations.

Regulatory Compliance

The disclosure was made in accordance with Regulation 30 of the SEBI LODR Regulations, read with SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. The communication was signed by Sanjeev Barnwal, Company Secretary & Head of Regulatory Framework, on behalf of Ujjivan Small Finance Bank Limited.

Ujjivan Small Finance Bank 's Board of Directors, at its meeting held on May 08, 2026, approved the audited financial results for the quarter and year ended March 31, 2026, pursuant to Regulation 30 and 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Joint Statutory Auditors — M/s. Deloitte Haskins and Sells and M/s. Abarna and Ananthan — issued an unmodified audit opinion on the annual financial results for the year ended March 31, 2026.

Quarterly Financial Performance

The bank posted a strong recovery in profitability during Q4FY26. Net profit for the quarter stood at Rs 282 Crore, a 238% surge compared to Rs 83 Crore in Q4FY25, and a 52% sequential increase from Rs 186 Crore in Q3FY26. Total income for Q4FY26 rose 19% YoY to Rs 2,186 Crore from Rs 1,843 Crore in Q4FY25. Pre-Provision Operating Profit (PPOP) grew 43% YoY to Rs 515 Crore from Rs 360 Crore in Q4FY25, while credit cost declined 46% YoY to Rs 144 Crore from Rs 265 Crore.

The following table summarises the key quarterly financial metrics (₹ Crore):

Metric: Q4FY26 Q4FY25 YoY Growth Q3FY26 QoQ Growth Interest Earned: 1,878 1,573 19% 1,752 7% Other Income: 307 270 14% 295 4% Total Income: 2,186 1,843 19% 2,047 7% Interest Expended: 786 709 11% 751 5% Personnel Expenses: 457 426 7% 476 (4%) Operating Expenses: 428 348 23% 380 13% Total Cost: 1,671 1,483 13% 1,608 4% Pre-Provision Operating Profit: 515 360 43% 440 17% Credit Cost: 144 265 (46%) 195 (26%) Net Profit: 282 83 238% 186 52%

Annual Financial Performance

For the full year ended March 31, 2026, total income grew 12% to Rs 8,039 Crore from Rs 7,201 Crore in FY25. Interest earned for FY26 stood at Rs 6,931 Crore compared to Rs 6,354 Crore in FY25, while other income rose 31% to Rs 1,108 Crore from Rs 846 Crore. Net profit for FY26 was Rs 693 Crore, compared to Rs 726 Crore in FY25, a decline of 5%. PPOP for FY26 stood at Rs 1,710 Crore versus Rs 1,689 Crore in FY25, reflecting a 1% improvement.

Metric: FY26 FY25 YoY Growth Interest Earned: 6,931 6,354 9% Other Income: 1,108 846 31% Total Income: 8,039 7,201 12% Total Cost (excl. provisions): 6,329 5,511 15% Pre-Provision Operating Profit: 1,710 1,689 1% Credit Cost: 799 748 7% Net Profit: 693 726 (5%)

Gross Loan Book and Disbursements

The bank's Gross Loan Book (GLB) grew 27% YoY to ₹40,655 Crore as at March 31, 2026, with secured loans comprising 49% of the total book. Disbursements for Q4FY26 totalled ₹9,811 Crore, up 32% YoY, with secured disbursements at 47% of the total. Among key segments, Affordable Housing recorded 35% YoY growth in loan book to ₹8,900 Crore, while MSME expanded 58% YoY to ₹3,230 Crore. Gold Loan grew 292% YoY to ₹769 Crore and Agri Banking rose 127% YoY to ₹731 Crore.

Segment: Gross Loan Book (₹ Crore) % of GLB (Q4FY26) YoY Growth QoQ Growth Group Loans: 14,696 36% 12% 7% Individual Loans: 6,014 15% 16% 6% Affordable Housing: 8,900 22% 35% 8% Micro Mortgage: 1,577 4% 118% 19% MSME: 3,230 8% 58% 13% FIG Lending: 3,000 7% 8% 13% Vehicle Loan: 944 2% 102% 15% Gold Loan: 769 2% 292% 38% Agri Banking: 731 2% 127% 20% Others: 795 2% 10% 30% Total: 40,655 100% 27% 10% Secured: 20,079 49% 44% 13%

New Product Performance

The bank's newer business verticals demonstrated strong traction during Q4FY26. Vehicle Finance achieved a disbursement run rate of ₹44.8 Crore per month, with a book yield of 13.1% and NPA of 0.6%. Gold Loan recorded a disbursement run rate of ₹236 Crore with a book yield of 20.5% and NPA of 1.8%. Agri Banking achieved a disbursement run rate of ₹140 Crore, with a book yield of 14.7%, NPA of 0.2%, and an entirely secured portfolio.

Product: Disbursement Run Rate Book Yield NPA LTV Vehicle Finance: ₹44.8 Crore 13.1% 0.6% 65% Gold Loan: ₹236 Crore 20.5% 1.8% 80% Agri Banking: ₹140 Crore 14.7% 0.2% 58%

Key Ratios and Asset Quality

The bank's Capital Adequacy Ratio (CAR) as at March 31, 2026 stood at 21.14%, compared to 23.10% as at March 31, 2025. Gross NPAs as a percentage of gross advances declined to 2.26% in Q4FY26 from 2.38% in Q3FY26, while Net NPAs improved to 0.43% from 0.57% over the same period. The Provision Coverage Ratio stood at 81.41% as at March 31, 2026. The bank's net worth as at March 31, 2026 was Rs 6,816 Crore, up from Rs 6,083 Crore as at March 31, 2025.

Ratio: March 31, 2026 December 31, 2025 March 31, 2025 Capital Adequacy Ratio (CRAR): 21.14% 21.62% 23.10% Tier I CRAR: 19.70% 20.13% 21.38% Tier II CRAR: 1.44% 1.49% 1.72% Gross NPA (%): 2.26% 2.38% 2.18% Net NPA (%): 0.43% 0.57% 0.49% Basic EPS (₹) – Annual: 3.57 — 3.75 Diluted EPS (₹) – Annual: 3.51 — 3.71 Return on Assets (average) – Annual: 1.37% — 1.67% Net Worth (₹ Crore): 6,816 6,519 6,083

Balance Sheet Highlights

As at March 31, 2026, total assets of the bank stood at Rs 57,541 Crore, compared to Rs 47,689 Crore as at March 31, 2025. Advances grew to Rs 39,761 Crore from Rs 31,390 Crore, while deposits increased to Rs 45,668 Crore from Rs 37,630 Crore. Investments as at March 31, 2026 stood at Rs 12,724 Crore versus Rs 11,730 Crore in the prior year. Borrowings stood at Rs 3,736 Crore compared to Rs 2,845 Crore in the prior year.

Balance Sheet Item: March 31, 2026 (₹ Crore) December 31, 2025 (₹ Crore) March 31, 2025 (₹ Crore) Net Worth: 6,816 6,519 6,083 Deposits: 45,668 42,223 37,630 Borrowings: 3,736 2,383 2,845 Investments: 12,724 11,768 11,730 Advances: 39,761 36,228 31,390 Total Assets: 57,541 52,299 47,689

Segment Performance

For the year ended March 31, 2026, retail banking remained the dominant revenue contributor with segment revenue of Rs 6,87,696 lakh, compared to Rs 6,14,056 lakh in FY25. Treasury segment revenue stood at Rs 93,608 lakh versus Rs 86,393 lakh in FY25, while wholesale banking contributed Rs 22,593 lakh against Rs 19,610 lakh in FY25.

Segment: FY26 Revenue (Rs. in Lakh) FY25 Revenue (Rs. in Lakh) Treasury: 93,608 86,393 Retail Banking: 6,87,696 6,14,056 Wholesale Banking: 22,593 19,610

Provisions and Floating Provision

As at March 31, 2026, the bank carries a floating provision of ₹181 Crore. Of this, ₹130 Crore is earmarked for Net NPA/PCR calculation, ₹30 Crore is earmarked as part of Tier II capital, and the balance ₹21 Crore has been earmarked as part of other provisions. The Provision Coverage Ratio stood at 81.41% as at March 31, 2026.

Universal Banking License Update

The bank had submitted an application for a Universal Banking License to the RBI on February 4, 2025, following Board approval on January 23, 2025. The bank received a letter from the RBI dated April 13, 2026, wherein the RBI asked the bank to consider applying again after demonstrating a diversified loan portfolio.

FY27 Guidance

The bank has provided guidance for FY27, targeting approximately 25% loan book growth and a Return on Assets (RoA) of approximately 1.6%.

Guidance Metric: FY27 Target Loan Book Growth: ~25% Return on Assets (RoA): ~1.6%

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