Ujjivan Small Finance Bank has reaffirmed its financial guidance for FY26 during a recent conference call, maintaining confidence in its projected financial performance metrics. The bank's management has provided clear targets for key profitability ratios while also outlining its long-term strategic vision.

FY26 Financial Guidance

The bank has maintained its guidance for the fiscal year 2026, setting specific targets for two critical financial metrics. The management remains committed to achieving these targets despite the challenging operating environment in the financial services sector.

Long-Term Strategic Vision

Beyond the immediate FY26 targets, Ujjivan Small Finance Bank has articulated its long-term growth aspirations. The bank's strategic roadmap extends to FY2030, demonstrating management's commitment to sustainable growth and enhanced profitability over the medium term.

Management Outlook

The reaffirmation of these financial targets during the conference call indicates management's confidence in the bank's operational capabilities and strategic direction. The progressive improvement in ROA targets from the FY26 range of 1.2-1.4% to the FY2030 vision of 1.8-2% reflects the bank's focus on enhancing asset utilization efficiency and overall profitability. This guidance provides stakeholders with clear visibility into the bank's expected financial trajectory and strategic priorities for the coming years.

Ujjivan Small Finance Bank management has shared important guidance regarding the bank's credit cost trajectory during a recent conference call, providing insights into the institution's asset quality outlook.

Credit Cost Reduction Expected

The bank's management has indicated that credit costs are expected to reduce further in the fourth quarter. This guidance suggests an improvement in the bank's asset quality metrics and indicates progress in managing non-performing assets.

Normalization Timeline

According to the management guidance, complete normalization of credit costs is anticipated by the end of Q1 or Q2 FY27. This timeline provides stakeholders with a clear expectation regarding the bank's recovery trajectory and asset quality stabilization.

The guidance reflects the bank's confidence in its credit management strategies and suggests a structured approach toward achieving normalized credit cost levels. This forward-looking statement was shared during the bank's conference call, providing transparency to investors and stakeholders about the expected improvement in key financial metrics.