IDFC First Bank Sees Record Profit Continuing Through FY27

IDFC First Bank's managing director and CEO V Vaidyanathan is optimistic about the bank's future performance, citing falling credit costs and a lower cost of funds as key drivers.

The bank reported its highest-ever quarterly profit of Rs 1,075 crore in the first quarter, with Vaidyanathan attributing it to the combination of decreasing provisions and rising income due to lower funding costs.

Vaidyanathan expects this performance to sustain for the rest of the year, but acknowledges that the bank will closely monitor potential risks from monsoons and oil price volatility.

The bank aims to reduce its credit cost to 1.5% to 1.6% in FY27, down from the current 2.13%, which would further boost profitability.