IDBI Bank Profit Rises Despite Slight Revenue Dip in Q1
IDBI Bank's first-quarter profit grew over 5% year-on-year, even as revenue softened slightly from the previous quarter.
IDBI Bank reported a 5.3% year-on-year profit increase in Q1 FY27, reaching ₹2,131 crore. Revenue grew 7.4% YoY but dipped sequentially, while the net profit margin held steady above 28%.
IDBI Bank delivered a steady start to fiscal 2027, with profit growing year-on-year despite a sequential dip in revenue. The bank's profit after tax for the quarter ended June 2026 rose 5.3% from the same period last year to ₹2,131 crore. This came even as total revenue softened by 3.3% compared to the preceding March quarter, though it was still up 7.4% year-on-year.
The mixed performance highlights a quarter of resilience. While top-line revenue retreated from the previous quarter's high, the bank managed to convert a greater portion of it into profit, pushing the net profit margin to 28.2%. This is a meaningful improvement from the 25.5% margin in Q4 FY26, though it remains slightly below the 28.8% margin achieved in Q1 of last year.
A look at the last five quarters shows a generally stable revenue base and volatile profitability, largely influenced by an exceptionally strong Q2 FY26.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Revenue (₹ Cr) | 7,549.28YoY +7.4% | 7,803.71 | 7,026.62 |
| Profit (₹ Cr) | 2,130.57YoY +5.3% | 1,987.44 | 2,023.87 |
| Net Profit Margin (%) | 28.2YoY -2.1% | 25.5 | 28.8 |
Key Points
- The trailing twelve-month (TTM) net profit margin stands at a robust 31.5%, indicating sustained profitability over a longer horizon.
- The bank maintains a strong balance sheet with a low debt-to-equity ratio of 0.46 and a healthy Return on Equity (ROE) of 16.5%.
- The stock trades at a price-to-earnings (P/E) ratio of 7.2, a significant discount to the industry average of 12.2.
Overall, IDBI Bank's latest earnings reflect controlled operations and efficient profit conversion. The key question for the coming quarters is whether it can reignite revenue growth while preserving its improved margin structure.
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· IDBI
(BSE)
ISIN: INE008A01015
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