News

Banking stocks traded largely lower on Monday following the release of lenders’ Q4 business updates over the weekend. The Nifty Bank index declined nearly 0.9%, with nine out of its fourteen constituent stocks trading in negative territory.

Kotak Mahindra Bank and IndusInd Bank shares led the decline, falling over 2% each. This was followed by ICICI Bank, Punjab National Bank (PNB), and IDFC First Bank, which slipped more than 1% each.

Meanwhile, HDFC Bank, AU Small Finance Bank, and Yes Bank were also trading in the red.

HDFC Bank’s average advances under management in Q4FY26 grew 10% year-on-year (YoY) to ₹29.64 lakh crore, while gross advances increased 12% YoY to ₹29.60 lakh crore. Period-end deposits rose 14.4% YoY to ₹31.05 lakh crore.

HDFC Bank reported robust business growth, with advances expanding largely in line with Street expectations, while deposit growth surpassing estimates. Consequently, on a gross advances basis, the CD ratio declined sharply to 95.3% from 99.5% in Q3FY26.

Axis Bank’s Q4 gross advances grew 18.4% YoY to ₹12.44 lakh crore and total deposits increased 13.9% YoY to ₹13.35 lakh crore. CASA deposits rose 10.6% YoY to ₹5.28 lakh crore.

Yes Bank reported Q4 loans and advances growth of 10.70% YoY to ₹2.72 lakh crore, while its deposits jumped 12.1% to ₹3.19 lakh crore. Credit to deposit ratio dipped to 85.4% from 86.5%.

Kotak Mahindra Bank reported strong credit growth aided by revival in unsecured segments. Fiscal-end CASA growth aided in healthy deposit accretion during the quarter. Its end of period net advances increased 16.2% to ₹4.95 lakh crore and deposit-end of period rose 14.7% to ₹5.72 lakh crore.

Union Bank of India’s advances growth has remained healthy with strong traction sequentially, in-line with the management’s strategy. Deposit growth remains weak for the bank, resulting in elevated CD ratio at 82.5% in March 2026 versus 77.3% in March 2025.

Bank of Baroda posted strong advances growth driven by the RAM segment, exceeding stated guidance of 11-13% YoY growth for FY26. Deposit growth continued to sustain traction during the quarter, remaining marginally higher than the industry growth.

Bandhan Bank’s advances grew 12.6% YoY and 6.2% QoQ to ₹1,54,235 crore. Deposits grew 10% YoY and 6.1% QoQ to ₹1,66,344 cr, aided by revival in CASA accretion.

According to SBI Securities, Bandhan Bank reported sustained traction in advances growth amid subsiding stress in the micro-finance loan segment. Deposit growth was strong sequentially, driven by robust growth in the CASA deposits.

IDFC First Bank reported a healthy credit traction during the quarter. Although, deposit growth moderated sharply from the 25%+ trend in the past quarters. Deposit outflows from State government accounts after an incident of fraud at one branch and reduction in savings account rates (50-200 bps across buckets) weighed down on deposit accretion.

Catch Stock Market Live Updates here

Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.

Download the Mint app and read premium stories