DCB Bank has received approval from the Reserve Bank of India (RBI) for the reappointment of M/s Varma & Varma, Chartered Accountants and the appointment of M/s Deloitte Haskins & Sells, Chartered Accountants as Joint Statutory Auditors of the Bank for FY 2026-27. The RBI communicated its approval — subject to certain conditions — vide its letter Ref CO.DOS.RPD.No. S915/08.37.005/2026-27 dated May 07, 2026. The Bank disclosed this development to the stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Auditor Appointments at a Glance

The key details of the auditor reappointment and appointment are summarised below:

Profile of M/s Varma & Varma, Chartered Accountants

Varma & Varma is a registered partnership firm of Chartered Accountants established on June 17, 1935. The firm currently has 35 partners and operates from 9 offices across 5 states in India. It employs more than 500 trained staff members, including qualified accountants. The firm is empanelled with the ICAI and various regulators in India, and carries BFSI sector audit experience of more than 50 years.

Profile of M/s Deloitte Haskins & Sells, Chartered Accountants

Deloitte Haskins & Sells (DHS) is registered with the Institute of Chartered Accountants of India (ICAI) with Registration No. 117365W and is part of the Deloitte Haskins & Sells & Affiliates network of firms registered with the ICAI. The firm's registered office is located at 19th Floor, Shapath – V, S G Highway, Ahmedabad – 380 015, India. Formed in 1997, DHS has been engaged in statutory audits of financial statements of banks — including private and foreign banks in India — and other financial institutions for a number of years. The firm holds a valid peer review certificate issued by the ICAI. Key highlights of the firm include:

• Professional Staff: 3400+ across Deloitte Haskins & Sells and its network firm
• Partners and Executive Directors: 103
• Peer Review Certificate: Valid certificate issued by ICAI
• Audit Experience: Statutory audits of banks and financial institutions

Regulatory and Shareholder Approval

The RBI's approval for both auditor appointments is subject to certain conditions as mentioned in the RBI's letter. Additionally, the reappointment of M/s Varma & Varma and the appointment of M/s Deloitte Haskins & Sells are subject to the approval of the Members of DCB Bank at the ensuing Annual General Meeting. The intimation was signed by Rubi Chaturvedi, Company Secretary & Compliance Officer of DCB Bank, on May 07, 2026.

DCB Bank delivered exceptional Q4FY26 performance with net profit rising 16% year-on-year to ₹206 crores, marking the highest quarterly profit in the bank's history. The full-year profit after tax reached ₹732 crores compared to ₹615 crores in the previous year, representing a 19% year-on-year increase. This is the third successive quarter of registering the highest quarterly profit, demonstrating consistent operational performance. The bank's return on equity for the full year stood at 12.77%, the highest in the last 11 years and the highest ever since the bank became a full tax-paying entity.

Q4 Financial Performance Highlights

DCB Bank's Q4 standalone net profit reached ₹206 crores against ₹177 crores in the corresponding quarter of the previous year. The bank's quarterly revenue stood at ₹1,910 crores compared to ₹1,742 crores in the same period last year, reflecting strong business momentum. Advances grew by 18% on a year-on-year basis and 6% sequentially, while deposits increased by 21% year-on-year and 7% sequentially. The net interest margin improved to 3.39% in Q4, 12 basis points higher than the sequential quarter and 10 basis points higher than the same period last year.

Asset Quality Improvements

The bank achieved remarkable improvements in asset quality with gross NPA ratio declining to 2.45% in Q4 from 2.72% in the previous quarter, representing a 27 basis points improvement quarter-on-quarter. Net NPA ratio improved substantially to 0.89% from 1.10% on a quarter-on-quarter basis. Both GNPA and NNPA are at 7-year lows. The absolute gross NPA stood at ₹1,496 crores at the end of the year, lower than at the beginning of the year. The slippage ratio improved to 2.28% from 3.09%, and upgrades and recoveries during the quarter were 109% of fresh slippage.

Management Commentary and Strategic Outlook

During the earnings conference call held on April 24, 2026, Managing Director and CEO Praveen Kutty emphasized the bank's focus on consistency, predictability, and repeatability. He highlighted that the bank continues to ensure deposit growth outpaces advances growth, with improved granularity in the portfolio. The top 20 ratios remained well under 7% at 6.55% against 6.61% in the previous year. The cost of deposits in Q4 was 44 basis points lower compared to Q4 of the previous year.

Annual Performance and Board Decisions

For the full financial year, DCB Bank's profit after tax reached ₹732 crores, up 19% year-on-year. The board of directors approved audited financial results and recommended a dividend of ₹1.45 per equity share, subject to shareholder approval at the upcoming Annual General Meeting. The full-year operating profit grew by 25%, the highest in the last 8 years. The cost-to-income ratio decreased by 300 basis points compared to the previous year.

Strategic Fund Raising and Growth Initiatives

The board approved significant fund raising proposals totaling ₹2,000 crores subject to shareholder and regulatory approvals. Management indicated plans to raise funds in the next 2-3 quarters, possibly around ₹1,100-1,200 crores rather than the full enabling provision of ₹1,500 crores. The fund raising includes issuing Tier II bonds up to ₹500 crores through private placement and raising ₹1,500 crores through equity shares or convertible securities via Qualified Institutions Placement.

The bank plans to increase employee headcount to around 13,000 from current levels, with most additions focused on liability and deposit acquisition. Management expects to cross the 500-branch mark during the current year. The bank remains cautious about the West Asia crisis impact but has overstocked on liquidity as a precautionary measure.