IDFC First Bank Limited — Q1FY27 earnings call summary

Filed 26 July 2026 · Company audio recording

FY27 margin guidance revised up to ~5.8% from 5.75%, factoring in asset mix shifts and stable cost of funds (~6%).
OPEX growth guidance maintained at 13-14% for FY27 with continued operating leverage; cost-to-income ratio expected below 70% by year-end.
Credit cost guidance lowered to 150-160 bps from 170-180 bps, driven by strong Q1 performance and stable asset quality.
ROA target of ~1% for FY27, with structural potential to reach 1.7-1.8% as corporate book grows and credit costs normalize.
Macroeconomic and geopolitical factors remain monitored; credit cost guidance reflects cautious optimism.
Asset mix changes (more corporate loans, some NIM-dilutive segments) may slightly pressure margins but offset by cost efficiencies.
NIM improved 3 bps QoQ to 5.96% (adjusted ~5.9%), aided by lower cost of funds (6% to 5.96%) and income tax refund benefit.
Asset mix shift towards some NIM-dilutive segments may pressure margins.