Total disbursements rose 30.1% year-on-year (YoY) to Rs 4,207 crore in Q4 FY26, compared with Rs 3,235 crore in the corresponding quarter last year. On a sequential basis, disbursements jumped 46.1% from Rs 2,880 crore in Q3 FY26.

JLG (joint liability group) disbursements grew 2% YoY to Rs 1,425 crore, while non-JLG disbursements surged 51.4% to Rs 2,782 crore, highlighting a shift towards diversified lending.

The gross loan portfolio stood at Rs 19,333 crore as of 31 March 2026, down 1.7% YoY but up 5.6% sequentially. The JLG loan book declined 37.1% YoY to Rs 5,789 crore, while the non-JLG portfolio rose 29.5% to Rs 13,544 crore.

On the liabilities front, total deposits remained stable at Rs 21,654 crore, up 0.4% YoY and 2.7% QoQ. CASA deposits grew 10.6% YoY to Rs 5,196 crore, while retail term deposits increased 19.6% to Rs 12,720 crore. Bulk term deposits declined 40% YoY to Rs 3,738 crore, indicating a shift towards granular funding.

The CASA ratio improved to 24.0% from 21.8% a year ago, while the CASA plus retail term deposits ratio rose to 82.7%.

Asset quality in the micro-banking segment improved, with X-bucket collection efficiency rising to 99.7% in Q4 FY26 from 99.1% in the previous quarter. The SMA pool declined to 1.3% from 3.2%, reflecting better repayment trends.

The company's liquidity position remained strong, with a liquidity coverage ratio (LCR) of 177% as of 31 March 2026.

Utkarsh Small Finance Bank is engaged in providing banking and financial services with a focus on providing financial services to the underserved and unserved sections. The bank's microfinance lending activities are primarily focused in rural and semi-urban locations of the country, while its other services are spread across the country.

The bank had reported a net loss of Rs 375 crore in Q3 FY26 as against a net loss of Rs 168 crore in Q3 FY25. Operating income declined by 27% year-on-year (YoY) to Rs 429 crore in Q3 December 2026.