Federal Bank Ltd. (india) · NSE:FEDERALBNK
Federal Bank Ltd. (india) — The Federal Bank — Q2 FY2026 Earnings Presentation
47 slides from Federal Bank Ltd. (india)'s earnings presentation, Oct 18, 2025
Slide 1: Exchange filing cover letter: Investor Presentation
Secretarial Department SEC/LODR/266/2025-26 October 18, 2025 The Manager The Manager The National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, Bandra-Kurla Complex, BSE Limited, Phiroze Jeejeebhoy Towers, Bandra (E), Mumbai – 400 051. Floor 25, Dalal Street, Mumba
Slide 2: Investor Information Q2 FY 2026
Investor Information Q2 FY 2026
Slide 3: Disclaimer
Disclaimer IMPORTANT: This presentation has been prepared by The Federal Bank Limited (the “Bank”) solely for information purposes, without regard to any specific objectives, financial situations or informational needs of any particular person. All information contained has been prepared solely by t
Slide 4: Table of Content
TABLE OF CONTENT Pages 01 Key highlights 4-12 02 Business parameters 13-22 03 Distribution strategy and digital migration 23-32 04 Appendix 33-45
Slide 5: Operating fundamentals remain strong and steady
Operating fundamentals remain strong and steady Highest Ever Para Banking Net Interest Income Fee Income Fee Income ROA ROE EPS BVPS KEY 1.09 % 11.01 % ₹ 15.42 ₹ 141.58 HIGHLIGHTS NIM Cost to Income Credit Cost Slippage Ratio FOR 3.06 % 54.04 % 50 bps 0.94% Q2FY26 Balance Sheet CRAR PCR Fee Income ₹
Slide 6: Q2FY26 – Executing with Focus
Q2FY26 – Executing with Focus 1.6% 3.1% Asset engine CASA franchise 1.6% 3.1% reshaped for scaling new peaks 31.01% better yield Q2 30.35% Q1 51.5% FY26 43.8% 30.16% 30.23% 52.0% FY26 43.3% 30.07% Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Low Medium High Very High Yielding Yielding Yielding Yielding F
Slide 7: Durable growth strategy anchored in profitability and prudence
Durable growth strategy anchored in profitability and prudence DEPOSITS ADVANCES PROFITABILITY CASA + Dep <3Cr: (₹ in cr) Customer Assets1: (₹ in cr) Profitability: RoE* (%) RoA* (%) 2,51,017 2,55,613 13.65 2,34,702 2,40,508 YoY growth: 11% 2,40,333 2,16,207 QoQ growth: 2.5% 11.01 10.30 YoY growth:
Slide 8: Asset quality trends
Asset quality trends Asset quality continues to hold firm despite adverse macros. GNPA (%) NNPA (%) PCR (%)1 0.57 2.09 0.49 0.48 75.37 1.95 1.91 0.48 1.84 1.83 0.44 74.21 74.41 73.45 71.82 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26
Slide 9: Asset quality trends (contd)
Asset quality trends (contd) Std Restructured Ac Net NPA ₹ in cr Broad resilience in asset quality; portfolio remains well-contained. 1,205 1,255 Provision Coverage Ratio 1,040 at 73% 1,322 2,830 1,165 2,027 1,427 1,637 1,208 Recovery & Upgradation Q4 FY23 Q4 FY24 Q4 FY25 Q2 FY25 Q2 FY26 of ₹ 265 Cr
Slide 10: Key ratios
Key ratios NIM expands by 12 bps QoQ despite yield compression of 14 bps driven by lower cost of funds Cost of Deposits, Cost of Funds, Net interest margin (%)* Cost to income ratio (%) Yield on Advances (%) 3.12 3.11 56.69 54.89 9.39 3.12 3.06 53.01 53.12 54.04 9.35 9.31 2.94 9.04 8.86 5.93 6.01 6.
Slide 11: Key P&L parameters
Key P&L parameters Fee-to-assets now above 1% — a milestone that reflects steady scaling of the bank’s fee income franchise and improved competitiveness. ₹ in cr Net interest income Fee Income & Other income 1,113 1,082 964 1,006 2,431 2,377 2,495 916 2,367 2,337 197 205 326 180 160 800 886 784 756
Slide 12: Comparison: Y-o-Y
CASA Strength, Fee Momentum, and Lower NPAs Comparison: Y-o-Y Drive YoY Performance ₹ in cr Retail* BuB* CVCE* COB* 1% 3% 28% 25% Advances 68,021 -> 68,837 Gold* 19,043 -> 19,632 Agri & Allied* 3,932 -> 5,048 MFI* 21,368 -> 26,747 CIB* -2% 9% 4% 5% 29,722 -> 32,323 8,026 -> 8,349 4,095 -> 4,023 86,1
Slide 13: Comparison: Q-o-Q
Operational Strength Sustained; Higher CASA, NII and Fee Income Comparison: Q-o-Q Drive Performance ₹ in cr Retail* BuB* CVCE* COB* -0.4% 2% 4% 7% Advances 69,085 -> 68,837 Gold* 19,194 -> 19,632 Agri & Allied* 4,858 -> 5,048 MFI* 25,028 -> 26,747 CIB* 3% 1% 2% 1% 31,262 -> 32,323 8,240 -> 8,349 3,9
Slide 14: Liability trends
Liability trends Sustained Deposit Momentum; Healthy CASA Gains and Double-Digit NRE Growth Deposits : Period End (₹ in cr) CA, SA & CASA End Period (₹ in cr) and CASA ratio (%) CASA + Deposits < 3Cr Other CA SA (Incl Bespoke) XX CASA Ratio (%) 30.23 31.01 2,83,647 2,88,920 29.38 30.07 89,591 2,69,1
Slide 15: Credit portfolio distribution
Credit portfolio distribution Momentum continues in chosen medium yield segments Customer Assets (₹ in cr) Yield on advances (%) Corporate* Commercial* Retail Book* 2,51,017 2,55,613 9.35 2,40,333 2,43,558 2,48,912 9.04 89,422 89,412 90,654 YoY growth: 5% 86,126 85,622 8.86 21,368 22,591 23,723 25,0
Slide 16: Credit portfolio distribution
Credit portfolio distribution Stable and Diversified Loan Portfolio with Strong Retail–SME Contribution Loan book by interest rate type(%) EBM Fixed MCLR Others (Retail, Gold & SME)* as % of loan book (₹ in cr) 49% 3,00,000 62.3% 62.5% 2,50,000 61.8% 62.0% 33% 61.5% 2,00,000 61.5% 61.1% 1,50,000 60.
Slide 17: Retail Banking
Retail Banking Sustaining disciplined growth amid changing macro conditions Retail book mix (Sep-25) Retail advances mix (Excl Gold, BuB, Agri, CV/CE & MFI) (₹ in cr) 4%3% 9,810 9,599 9,292 9,256 9,984 6% 3,396 3,444 3,550 3,850 4,025 Retail* 3,925 3,774 3,789 3,737 3,658 8,256 8,470 8,605 8,629 8,5
Slide 18: Commercial/ Corporate Banking
Commercial/ Corporate Banking Focused Expansion with Improved Mix Portfolio mix incl Cr Substitutes (Sep-25) Non Retail Book (₹ in cr) Q2 FY26, Q2 FY25, Commercial*, Commercial*, 23% Commercial* Corporate* 20% 1,13,145 1,14,439 1,17,401 1,07,494 1,08,213 Q2 FY25, Corporate*, 80% Q2 FY26, YoY growth:
Slide 19: Asset Book – Trend Analysis
Asset Book – Trend Analysis Asset Book Transformation – Focused Rebalancing in Play 3.1% 1.6% 3.1% 1.7% Credit Cards* 4,025 Gross 19% Gross advances 42.5% Sep-24 52.7% Advances 43.8% Sep-25 51.5% YoY growth (INRcr) Share Personal Loans* 3,658 -7% Gross advances YoY growth (INRcr) Small Business loan
Slide 20: Select high/medium margin lending products
Select high/medium margin lending products Disbursements: CV / CE Credit Cards 647 ₹cr ✓ Tie-up with all major OEMs (Q2 FY26) 5,048 Average Ticket Size Portfolio (₹ in cr) 4,858 PSL: 4,025 YoY Portfolio (₹ in cr) 3,932 YoY 3,850 28% 81% 19% ₹11,355 3,396 QoQ QoQ 5% Cards Issued: Qtr: 4% Avg. ticket
Slide 21: Rating distribution
Strong Rating Distribution Highlights Rating distribution Ongoing Focus on Asset Quality Rating distribution (CIB) Rating distribution (advances excluding CIB) External rating of CIB advances Internal rating of advances excluding CIB 14% Q2 FY26 1% 14% 9% 2% 10% 4% Q2 FY26 Q1 FY26 5% 15% 32% 15% 31%
Slide 22: Fee income / other income
Fee income / other income Diversified and granular fee income ₹ in Cr Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 QoQ YoY Commissions & Exchanges 83 84 89 91 98 8% 18% Insurance distribution income 64 53 78 65 108 66% 69% Processing fees & Other charges from loans 193 181 177 155 190 23% -1% Other servi
Slide 23: Capital position
Capital position Strong Capital Position Supporting a Self-Funded Growth Strategy ₹ in Cr Jun-25 Sep-25 Risk weighted assets Credit risk 1,92,594 1,95,837 Market risk 2,903 4,034 Operational risk 20,619 20,619 Total RWA 2,16,116 2,20,490 Tier-I capital funds 31,737 31,674 Tier-II capital funds 2,896
Slide 24: Distribution: Deriving efficiency from footprint
Distribution: Deriving efficiency from footprint Continuous investment in expanding Pan India footprint 1 Sep-25 Sep-24 Sep-25 1 14% 17% Banking 1,595 40 14% 17% 1,533 3 4 Outlets# 33 27 2 ATMs/ 2,082 Jun-25 2,052 15 36 17 20% 20% Recyclers* 11 3 3 49% LITE BRANCH 67 18 10 36 2 2 49% HEAVY DISTRIBUT
Slide 25: Innovation through partnerships
Innovation through partnerships Liability Instant Digital Partners Loans EMIs and Credit Merchant Cards Payments Gold Loan and Cross Border Priority Remittance Lending Partners Support Support Systems Systems Collaborative Partnerships Powering Innovation and Customer Value
Slide 26: Growth through partnerships
Growth through partnerships Partners Business Share in FY’26 Key metrics1 Cards Issued: ENR: 1.41 1.27 1.17 Co-branded 1.05 1.10 credit cards 1.00 1.00 1.00 0.97 0.97 Card programs under CUG2 68% Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 TD Balance CASA Balance: 1.22 1.13
Slide 27: Digitization as a Multiplier
Digitization as a Multiplier HUMAN AT THE CORE Feddy is Live on 680 Edu. Institutions 356 Approx 10 Lakh onboarded to Fee collection 92.57% RPA Processes Queries answered by Feddy in this Transactions running QTR Solution Serviced “Careerbook” Digitally (Retail + Digital Assistant - Feddy 25K(Cr) Co
Slide 28: Digitization Major Initiatives: Banking Connect
Digitization Major Initiatives as a Multiplier Launched at Global FinTech Festival (GFF) Banking Connect: Transforming Digital Payments with Interoperability: Banking Connect is an Interoperable Net & Mobile Banking (IBMB) solution that revolutionizes traditional net banking by making it seamless, s
Slide 29: Digitization Major Initiatives: Biometric UPI Authentication
Digitization Major Initiatives as a Multiplier Launched at Global FinTech Festival (GFF) Biometric Authentication for UPI Transactions: Key Features & Benefits: • Seamless & Secure Authentication: Utilizes smartphone's biometrics, like fingerprint or facial recognition, for UPI transactions, ensurin
Slide 30: Digitization Major Initiatives: Face Authentication for UPI PIN
Digitization Major Initiatives as a Multiplier Launched at Global FinTech Festival (GFF) Face Authentication for UPI PIN Set/Reset: Key Features & Benefits: • Card-Free Authentication: Enables users to set or reset their UPI PIN using facial biometrics, eliminating the need for debit card details or
Slide 31: Digital migration
Digital migration Branch vs. Digital Transactions (in Lakhs) 200 189.90 93.50% 161.80 161.30 93.28% 93.00% 150 92.57% 92.50% 100 92.02% 92.00% 50 14.26 12.90 13.68 91.50% - 91.00% Mar-25 Jun-25 Sep-25 Transactions through Branch (Lakhs) Transactions through Digital Channels (Lakhs) Digital Share *QT
Slide 32: Corporate Digital Products
Corporate Digital Products Active Users Corporate Txn Vol (₹ in Cr) 70,0 00 61,064 31,194 40,282 60,0 00 52,191 53,203 6,936 50,0 00 40,0 00 30,0 00 43,573 6,513 3,199 20,0 00 10,0 00 7561 5,998 7,216 3200 1,357 830 - 7,303 6,512 8,005 Mar-25 Jun-25 Sep-25 Mar-25 Jun-25 Sep-25 FEDONE FEDCORP CORPFED
Slide 33: Digital lending and card spends
Digital lending and card spends Digital Personal Card spends (₹ in Cr)1 Loans Credit Cards – Market share 1,390 1,50,000 15 00 1,41,788 1,41,605 1,347 4,40 0 1,309 Cards O/s: Spends: 2,20 0 1,40,000 1,32,843 1,30,664 13 00 1,201 1,30,000 1,24,237 4,20 0 1,106 1,941 1,901 1.89% 1.35% 2,00 0 11 00 1,2
Slide 34: Appendix
Appendix FEDERAL BANK YOUR PERFECT BANKING PARTNER
Slide 35: Balance sheet & shareholding pattern
Balance sheet & shareholding pattern ₹ in Cr Jun-25 Sep-25 Share holding pattern (Sep-25) LIABILITIES Capital 491 492 Reserves & surplus 33,928 34,564 Deposits 2,87,436 2,88,920 23% Borrowings 19,776 17,967 38% Other liabilities & provisions 11,667 14,137 TOTAL 3,53,298 3,56,080 2% ASSETS Cash & bal
Slide 36: Financials
Financials ₹ in Cr Q2 FY25 Q1 FY26 Q2 FY26 Q-o-Q Y-o-Y Interest income 6,577 6,687 6,742 1% 3% Interest expenses 4,210 4,350 4,247 -2% 1% Net interest income 2,367 2,337 2,495 7% 5% Other income 964 1,113 1,082 -3% 12% Operating expense 1,766 1,894 1,933 2% 9% Total income 7,541 7,800 7,824 0.3% 4%
Slide 37: Key Indicators
Key Indicators Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Book Value 126.86 130.69 134.87 138.35 141.58 (Per Share in ₹) Shareholder value EPS 17.11 15.45 17.02 14.07 15.42 (annualized) CASA + Deposits < ₹3Cr Granularity (% of Total Deposits) 80% 82% 81% 82% 83% ROA % 1.28 1.14 1.24 1.00 1.09 Profitabi
Slide 38: Fresh slippages break up
Fresh slippages break up ₹ in cr Fresh slippages NPA Composition Retail Agri BuB CV/CE CoB CIB Q2 FY25 Q1 FY26 Q2 FY26 Business NPA NPA NPA 658 13 3 Gross NPA 22 579 Retail 1,841 1,868 1,583 77 23 Agri/MFI 969 1,288 1,378 48 486 483 BuB 948 768 765 23 41 26 CV/CE 66 96 113 428 18 60 19 5 17 37 CoB 6
Slide 39: Top Sectors in Advance Portfolio as per Basel 3 Disclosure
Top Sectors in Advance Portfolio as per Basel 3 Disclosure# Infrastructure (Pertaining to Industries 10.13% Sector Only) Industry 30.77% All Engineering 2.82% Chemicals and Chemical Products 2.82% Services 28.74% (Dyes, Paints, etc.) Food Processing 2.59% Retail Loans 28.92% Textiles 2.54% Basic Met
Slide 40: Top 20 concentration as a percentage of portfolio
Top 20 concentration as a percentage of portfolio Steady Decline in Top 20 Concentration Enhances Balance Sheet Resilience 10.89 10.65 10.32 10.11 10.03 8.43 7.93 7.88 7.51 7.43 6.87 7.03 7.09 6.66 5.92 5.47 4.81 4.85 Q2FY24 Q3FY24 Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 % Top 20 Borrowers
Slide 41: Group companies
Group companies Federal Operations & Services (FedServ) Subsidiary 100% ▪ A wholly owned subsidiary company of Federal Bank ▪ Provides operational & technology-oriented services to Federal Bank ▪ Located at Bangalore, Visakhapatnam, Indore & Kochi ▪ Designed to deliver excellence in service, mitigat
Slide 42: Fedbank Financial Services
Fedbank Financial Services Subsidiaries – Q2FY26 update NPAs Gross NPA and Net NPA stands Disbursals at 1.9% & 1.3%, respectively. ₹5,205 Cr disbursed in Q2FY26, reflecting growth of 36.6% YoY. KEY HIGHLIGHTS ❑ 60.88% stake held by Federal Bank Limited ❑ ROA and ROE reported at 2.4% and Low Credit C
Slide 43: Corporate governance & ESG snapshot
Corporate governance & ESG snapshot Strong & Diverse 11 73% Total Board Independent Strong Board & Diverse Board Members Directors Women Women Focus on Gender 42% 9% Representation Representation diversity in workforce in the Board Cybersecurity Awareness Social Responsibility Governance Structure S
Slide 44: Public Commitments
ESG performance snapshot Finance women Public Commitments Grow green portfolio In-house solar power Water conservation Bank Premises to be Gender diversity ratio entrepreneurs – size generation capacity capacity green certified (Women) BC Channel Greater than or Target metric ₹ 13,000 Cr 750kWp 2 La
Slide 45: Award-winning franchise & other initiatives / highlights
Award-winning franchise & other initiatives / highlights Circling Back : Savings Ki Vidya Campaign CSR Campaign - Twice is Wise Awards / Recognitions Federal Bank receives the Best AI/ML in Cloud Operations at the Data Centre and Cloud Innovation Summit 2025 44
Slide 46: External ratings
External ratings Fixed Deposit A1+ (Short term) Fixed Deposit AAA Certificate of Deposit A1+ India Ratings Tier 2 (Capital) Bonds & Research Pvt Ltd, IND AA+ CARE AA+ CARE Infrastructure Bonds IND AA+ CARE AA+ Fixed Deposits (short term) and Certificate of Deposits enjoy highest rating in that class
Slide 47: Thank You
Thank You 46