AU Small Finance Bank Q2 Updates: Total Deposits Rise 12.7% Sequentially

AU Small Finance Bank's total deposits in the quarter ended Sept. 30, 2024 rose by 12.7% quarter-on-quarter to Rs 1.09 lakh crore, as per the provisional data shared by the public lender on Friday.

The year-on-year values could not be used to evaluate the bank's performance due to its merger with Fincare Small Finance Bank which came into effect on Aug. 1, 2024.

The total deposits, in the quarter ended June 2024 period, stood at Rs 97 thousand crore.

The current account-saving accounts deposits rose 10.9% sequentially, to Rs 35,000 crore.

The lender's gross advances jumped 5.9% sequentially to stand at Rs 96 thousand crore for the second quarter of fiscal 2025.

CASA ratio—the proportion of deposits that come from low-cost current and savings accounts—decreased marginally from 32.9% to 32.4% sequentially, to Rs 35 thousand crore. A lower CASA ratio indicates that the bank relies heavily on costlier wholesale funding, which can hurt the bank's margin.

The Bank's securitised portfolio + inter bank participation certificates stood at 9 thousand crores for the second quarter of fiscal 2025.

The gross loan portfolio jumped to 1.05 lakh crore as of Sept. 30, 2024 with a 5.2% increase QoQ.

In the quarter ended June 2024, AU Small Finance Bank's ned deposits were at 97.2 thousand crore. The gross advance stood at 90.7 thousand crore respectively.

Share Price of AU Small Finance Bank closed 1.60% lower at Rs 718.95 apiece on the NSE, compared to a 0.93% decline in the benchmark Nifty 50.

The stock has fallen 3.09% on a year-to-date basis, and 8.23% over the past 12 months. The relative strength index was at a downturn of 46.45.

Out of the 27 analysts tracking the company, 15 have a 'buy' rating on the stock, seven suggest a 'hold' and five recommend 'sell', according to Bloomberg data. The average of 12-month analysts' consensus price targets implies a potential upside of 0.8%.