AU Small Finance Bank delivered industry-leading deposit growth of 31% YoY in Q1 FY26, significantly outpacing system growth. (Photo Source: Official Website)
AU Small Finance Bank remains an attractive combination of growth and earnings as the bank navigates through the last leg of stress in the MFI and Cards segments. The recovery in credit cost, margins, and loan growth (led by festival demand and GST cuts) will aid earnings, while the transition to a universal bank provides a strong runway for growth.