AU Small Finance Management Guidance Tracker
12 forward-looking guidance items tracked across 3 quarters.
Margins
Management expects full-year credit cost to be within 1% of average total assets, with H1 at 1.28% annualized and H2 benefiting from seasonal recoveries.
Q2 FY26NIM improvement over next couple of quartersActiveAssuming no further rate cuts, NIM should continue to expand as deposit book reprices, with cost of funds declining further.
Q3 FY26FY26 credit cost guidance of ~1% of average assetsActiveManagement reiterated that full-year credit cost for FY26 is expected to be around 100 basis points of average assets.
Q3 FY26Cost-to-income ratio below 60%ActiveManagement expects cost-to-income ratio to remain below 60%, with a target range of 56-57% for the next year.
Q4 FY26Credit cost around 90bps for FY27TrackedManagement guided to build credit cost around 90bps for next year, with potential savings from normalization in MFI and credit card portfolios.
Q4 FY26Cost-to-assets below 4% in FY27TrackedManagement expects cost-to-assets (ex-CGFMU) to decline below 4% in the current financial year, from 4.1% in FY26.
Growth
The bank targets loan growth in the range of 2 to 2.5 times nominal GDP, with core secured assets growing 22% YoY and unsecured stabilizing.
Q3 FY26ROA target of 1.8% in 4-5 quartersTrackedThe bank aims to achieve a sustainable ROA of 1.8% over the next 4-5 quarters, driven by operating leverage and margin improvement.
Q3 FY26Loan growth of 20-22% for next yearTrackedThe bank targets loan growth of around 20-22% for the next financial year, consistent with 2.25-2.5x nominal GDP growth.
Q4 FY26Sustainably compound at 2-2.5x nominal GDP growthTrackedThe bank aims to grow at 2 to 2.5 times India's nominal GDP growth rate over the long term.