Synopsis: IDFC First Bank will absorb the Rs 590 crore Haryana fraud yet expects Q4 profit, backed by strong loan growth, stable margins, easing credit stress, and robust depositor confidence.
The shares of this company, which offer services like savings accounts, Lifetime Free Credit Cards, personal loans, home loans, and wealth management, came into focus after management’s outlook on Q4
With a market capitalization of Rs 53,078 crore, IDFC First Bank Ltd’s shares on Friday are trading at Rs 61.71, down by 2.42 percent from its previous day’s close price of Rs 63.24 per share. The share of this company has given a negative return of 9 percent over the last year.
Management on Q4 Outlook Amid Haryana Fraud
IDFC First Bank will absorb the entire Rs 590 crore cost of the Haryana fraud in this quarter’s P&L, reflecting its commitment to transparency and accountability. Despite this setback, the bank expects to report a profit in Q4, demonstrating resilience and underlying business strength.
Multiple agencies are investigating the Haryana incident, while the bank has strengthened internal controls and monitoring mechanisms to prevent any future collusion or operational lapses, reinforcing depositor trust and risk management practices.
Loan & Deposit Strength: IDFC First Bank’s loan book is growing at 19–20 percent, supported by lower credit costs this quarter. Easing stress in the microfinance segment is expected to further improve credit costs next year, reflecting healthier asset quality and a more stable lending environment.
Depositor confidence remains strong, with 8 million accounts retained. For enhanced security, cheques above certain limits are now cleared only through regional offices, strengthening internal controls and safeguarding customer funds while maintaining operational efficiency.
Future Growth & Margins: IDFC First Bank expects NIMs to remain stable this quarter, while FY27 is seen as a breakout year with consistent quarterly profit growth. Strong lending performance is being reinvested in branch expansion, supporting long-term growth and improving market reach across key segments.
Return on assets is projected to approach 1 percent by Q4FY27, with margins around 5.76 percent. Strategic reinvestments and efficient operations are expected to sustain profitability, strengthen balance sheet metrics, and drive shareholder value in the coming fiscal year.
About the Company
IDFC FIRST Bank is a fast-growing Indian private sector bank formed in 2018 through the merger of Capital First and IDFC Bank. With a strong focus on retail banking, MSME, and rural segments, it operates over 1,000 branches and emphasizes digital innovation, offering zero-fee, high-interest savings accounts and lifetime-free credit cards.
Financial highlights: The revenue from operations grew by 12 percent to Rs 10,417 crore in Q3 FY26 from Rs 9,343 crore in Q3 FY25. EBIDT grew by 11 percent to Rs 3,411 crore in Q3 FY26 from Rs 3,083 crore in Q3 FY25. This was accompanied by a net profit growth of 41 percent to Rs 479 crore in Q3 FY26 from Rs 340 crore in Q3 FY25, resulting in an EPS growth of 22 percent to Rs 0.56 per share in Q3 FY26.
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