Jana Small Finance Bank reported a 35% year-on-year decline in full-year FY26 net profit after tax (PAT), logging ₹326 crore compared to ₹501 crore in the previous fiscal. The dip was primarily driven by elevated provisioning requirements during the earlier quarters of the financial year.

Despite the pressure on bottom-line earnings, the bank demonstrated resilience in its core operations. Net interest income (NII) expanded by 10% to ₹2,593 crore, supported by a robust 23% growth in the advances under management portfolio to ₹36,289 crore. Total deposits also grew by 23% to ₹35,784 crore, indicating sustained customer trust and liability franchise strength.

Operational Performance

The bank’s asset quality showed clear signs of improvement, a key focus area for management. Gross non-performing assets (GNPA) moderated to 2.33% from 2.71% in FY25, while net NPAs remained stable at 0.87%. The provision coverage ratio stood at 63%, reflecting prudent risk management practices.

Strategic Shifts

A significant structural change in the loan book was observed, with secured assets growing by 28% to constitute 73% of the total lending portfolio. This shift from unsecured to secured lending aims to enhance balance sheet stability and reduce credit risk exposure. The bank also recorded its highest-ever quarterly disbursement of ₹7,894 crore in Q4 FY26, up 16% quarter-on-quarter.

What the Numbers Show

While full-year profitability contracted, the fourth quarter revealed a strong recovery trajectory. Q4 FY26 PAT surged to ₹140 crore, marking the strongest quarter of the year with a return on assets (ROA) of 1.3%. This divergence between the weak full-year result and robust Q4 performance suggests that the peak of the provisioning cycle has passed, setting the stage for improved earnings momentum in FY27. Management has guided for PAT growth exceeding 80% in the coming fiscal year, leveraging normalizing credit costs and improving net interest margins.

Jana Small Finance Bank has scheduled its 20th Annual General Meeting (AGM) for Tuesday, September 29, 2026. The meeting will be conducted via video conferencing or other audiovisual means.

The primary agenda includes approving the remuneration structure for key management personnel for FY27 and the re-appointment of directors.

Key Agenda Items

Shareholders will vote on several ordinary and special business resolutions during the meeting.

Remuneration Approvals

The Board seeks shareholder approval for the annual remuneration of Managing Director and CEO Ajay Kanwal and Executive Director K S Raman, effective April 1, 2026.

The fixed pay components include corporate club membership fees up to ₹1,20,000 per annum plus applicable GST. For K S Raman, an additional reimbursement of ₹6,78,000 is included in fixed pay following RBI approval.

Director Re-appointments

The meeting will consider the re-appointment of Rahul Khosla as a Non-Executive Director liable to retire by rotation. Additionally, shareholders will vote to re-appoint K S Raman as Executive Director for a three-year term starting January 1, 2027, subject to RBI approval.

Meeting Logistics

The cut-off date for determining voting eligibility is Wednesday, September 23, 2026. Remote e-voting will commence on September 26, 2026, at 9:00 am and conclude on September 28, 2026, at 5:00 pm.

Members holding shares in demat mode can vote via NSDL or CDSL platforms. The facility for joining the AGM via video conference is available to 1,000 members on a first-come, first-served basis, excluding large shareholders and institutional investors.