Fino Payments Bank FY26 Results: Net Profit ₹5,246 Lakhs, CEO Changes
April 29, 2026
Fino Payments Bank reported a 43% decline in net profit to ₹5,246 lakhs for FY26, down from ₹9,253 lakhs in the previous fiscal year. Total income decreased 14% to ₹1,58,793 lakhs, while total assets grew to ₹5,31,190 lakhs. The bank's Capital Adequacy Ratio improved to 83.95%, and deposits reached ₹2,37,949 lakhs. The Board approved the re-appointment of Mr. Aninda Mukherjee as Chief Risk Officer for three years effective May 3, 2026. Notably, Managing Director & CEO Mr. Rishi Gupta was arrested on February 27, 2026, by the DGGI, Hyderabad, and was granted bail on March 26, 2026. Mr. Ketan Merchant was appointed as Interim CEO, and Mr. Anup Agarwal as Interim CFO. The bank received in-principle approval from RBI to transition into a Small Finance Bank.
Fino Payments Bank announced its audited financial results for FY26, reporting a net profit of ₹5,246 lakhs, representing a 43% decline from ₹9,253 lakhs recorded in the previous fiscal year. Despite operational challenges, the bank demonstrated resilience with record deposit levels and improved operational metrics.
Financial Performance Overview
The bank's total income for FY26 stood at ₹1,58,793 lakhs, reflecting a 14% decrease from ₹1,84,710 lakhs in FY25. While interest earned increased to ₹24,818 lakhs from ₹19,523 lakhs, other income declined to ₹1,33,975 lakhs from ₹1,65,187 lakhs in the prior year.
Financial Metrics FY26 (₹ lakhs) FY25 (₹ lakhs) Change Total Income 1,58,793 1,84,710 -14% Interest Earned 24,818 19,523 +27% Other Income 1,33,975 1,65,187 -19% Total Expenditure 1,51,613 1,73,875 -13% Net Profit 5,246 9,253 -43% Basic EPS (₹) 6.30 11.12 -43%
Operational Highlights and Customer Growth
Despite revenue challenges, Fino Payments Bank achieved several operational milestones during FY26. The bank's customer base reached 1.75 crore, with approximately 6.9 lakh new accounts added in Q4'26 alone. Total deposits reached a historic high of ₹2,957 crore on March 14, 2026, demonstrating strong customer confidence.
Key Metrics Q4'26 Performance Net Revenue Margin 40% (highest quarterly) CASA Renewal Income ₹62.2 crore (+12% YoY) Average Deposits ₹2,535 crore (+20% YoY) Total Throughput ₹1,07,798 crore (-17% YoY) Digital Throughput ₹65,269 crore (-13% YoY)
Balance Sheet Strength and Capital Position
The bank's balance sheet showed significant growth with total assets reaching ₹5,31,190 lakhs as of March 31, 2026, compared to ₹4,20,593 lakhs in the previous year. The Capital Adequacy Ratio improved to 83.95% from 80.45%, well above regulatory requirements. Deposits increased to ₹2,37,949 lakhs from ₹1,93,944 lakhs, while borrowings rose to ₹1,53,530 lakhs from ₹83,946 lakhs.
Leadership Changes and Strategic Developments
The Board approved the re-appointment of Mr. Aninda Mukherjee as Chief Risk Officer for three years, effective from May 3, 2026, to May 2, 2029. The bank received in-principle approval from the Reserve Bank of India on December 5, 2025, to transition into a Small Finance Bank and has appointed an external consultant to support this transition.
Notably, during the financial year 2025-26, Mr. Rishi Gupta, Managing Director & CEO of the Bank was arrested on February 27, 2026, by the Directorate General of GST Intelligence (DGGI), Hyderabad, under Sections 132(1)(a) and 132(1)(i) of the CGST and SGST Act, 2017 in relation to the investigation of the program managers associated with various banking institutions including the Bank and not related to the Bank's own GST compliance. To ensure administrative and operational continuity, the Board appointed Mr. Ketan Merchant (CFO & Head of the Organisation) as the Interim CEO for a period of three months w.e.f. February 27, 2026. Mr. Rishi Gupta was granted bail by the Special Judge for Economic Offences, Hyderabad, on March 26, 2026. Additionally, Mr. Anup Agarwal was appointed as an Interim Chief Financial Officer for a period not exceeding 4 months w.e.f. March 06, 2026.
Fino Payments Bank has successfully completed its Core Banking System migration to Finacle, marking a significant milestone in the bank's digital transformation journey. The strategic initiative involved an investment of approximately ₹200 crore to establish a scalable, modular, and future-ready technology platform supporting the bank's transition to Small Finance Bank status.
Strategic Investment and Implementation
The migration was executed through a carefully phased approach, with temporary moderation in business volumes during implementation to prioritise system stability and data integrity. Despite the scale and complexity involved, the transition was completed within the anticipated timeline, demonstrating strong execution and operational discipline.
Investment Details: Specifications Total Investment: ₹200 crore Implementation Approach: Phased migration Timeline: Completed within anticipated schedule Focus Areas: System stability and data integrity
Leadership Perspective on Digital Transformation
Ketan Merchant, Interim CEO, commented on the development: "This migration represents a strategic investment of over ₹200 crore in building a robust digital foundation for the future. The new modular architecture allows efficient growth across liabilities, lending, and payments. It also significantly accelerates product launches, strengthening our readiness for the SFB journey."
Vinod Kumar, Chief Information Officer, added: "Finacle CBS delivers a step change in our technology capabilities. Its agile, scalable design enhances transaction throughput, improves system resilience, and shortens time-to-market across UPI, CASA transactions, merchant portal solutions, and upcoming lending platforms, creating a more integrated digital ecosystem."
Enhanced Technology Capabilities
The upgraded architecture introduces a decoupled, modular framework that allows independent scaling of business lines while improving processing efficiency. Key technological enhancements include:
Enhanced transaction throughput and system resilience
Shortened time-to-market for new products and services
Improved integration across merchant platforms
Support for virtual cards and National Common Mobility Card (NCMC)
Extended Finacle license for upcoming Loan Management System (LMS)
The bank's 'Hollow the Core' (HTC) initiative further strengthens the architecture by offloading high-frequency transactions from the core system, improving performance and reducing failure rates.
Business Performance and Market Position
Fino Payments Bank processed ₹3.60 lakh crore in transactions, representing an 8.00% year-over-year increase, with 55.00% digital throughput. The bank operates as a technology-led, asset-light digital bank serving emerging India, backed by marquee investors including ICICI Group, BPCL, Blackstone, LIC, and IFC.
Performance Metrics: Results Transaction Volume: ₹3.60 lakh crore YoY Growth: 8.00% Digital Throughput: 55.00% Business Model: High-volume, low-cost
Small Finance Bank Transition
The bank received 'In-principle' approval from RBI to convert into a Small Finance Bank, making it the first Payments Bank to achieve this distinction. The Finacle CBS migration positions the bank strategically for this transition, providing the technological foundation necessary for expanded banking services and enhanced financial inclusion capabilities.
We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better.
Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians.
As financial services are becoming more accessible, there is now a large set of Indians today who are financially aware and literate. They value time and seek high quality products & services. Most screening, trading, investing platforms available today are more or less similar to each other, and they have not evolved with time. While both traders & investors have gotten smart about how they make money and build wealth, as users they have continued to use the same products, features, and platforms that were available for years with little or no innovation. We plan to change that - a technology-led platform built for super traders and long term investors.
Financial Performance Overview
The bank's total income for FY26 stood at ₹1,58,793 lakhs, reflecting a 14% decrease from ₹1,84,710 lakhs in FY25. While interest earned increased to ₹24,818 lakhs from ₹19,523 lakhs, other income declined to ₹1,33,975 lakhs from ₹1,65,187 lakhs in the prior year.
Financial Metrics FY26 (₹ lakhs) FY25 (₹ lakhs) Change Total Income 1,58,793 1,84,710 -14% Interest Earned 24,818 19,523 +27% Other Income 1,33,975 1,65,187 -19% Total Expenditure 1,51,613 1,73,875 -13% Net Profit 5,246 9,253 -43% Basic EPS (₹) 6.30 11.12 -43%
Operational Highlights and Customer Growth
Despite revenue challenges, Fino Payments Bank achieved several operational milestones during FY26. The bank's customer base reached 1.75 crore, with approximately 6.9 lakh new accounts added in Q4'26 alone. Total deposits reached a historic high of ₹2,957 crore on March 14, 2026, demonstrating strong customer confidence.
Key Metrics Q4'26 Performance Net Revenue Margin 40% (highest quarterly) CASA Renewal Income ₹62.2 crore (+12% YoY) Average Deposits ₹2,535 crore (+20% YoY) Total Throughput ₹1,07,798 crore (-17% YoY) Digital Throughput ₹65,269 crore (-13% YoY)
Balance Sheet Strength and Capital Position
The bank's balance sheet showed significant growth with total assets reaching ₹5,31,190 lakhs as of March 31, 2026, compared to ₹4,20,593 lakhs in the previous year. The Capital Adequacy Ratio improved to 83.95% from 80.45%, well above regulatory requirements. Deposits increased to ₹2,37,949 lakhs from ₹1,93,944 lakhs, while borrowings rose to ₹1,53,530 lakhs from ₹83,946 lakhs.
Leadership Changes and Strategic Developments
The Board approved the re-appointment of Mr. Aninda Mukherjee as Chief Risk Officer for three years, effective from May 3, 2026, to May 2, 2029. The bank received in-principle approval from the Reserve Bank of India on December 5, 2025, to transition into a Small Finance Bank and has appointed an external consultant to support this transition.
Notably, during the financial year 2025-26, Mr. Rishi Gupta, Managing Director & CEO of the Bank was arrested on February 27, 2026, by the Directorate General of GST Intelligence (DGGI), Hyderabad, under Sections 132(1)(a) and 132(1)(i) of the CGST and SGST Act, 2017 in relation to the investigation of the program managers associated with various banking institutions including the Bank and not related to the Bank's own GST compliance. To ensure administrative and operational continuity, the Board appointed Mr. Ketan Merchant (CFO & Head of the Organisation) as the Interim CEO for a period of three months w.e.f. February 27, 2026. Mr. Rishi Gupta was granted bail by the Special Judge for Economic Offences, Hyderabad, on March 26, 2026. Additionally, Mr. Anup Agarwal was appointed as an Interim Chief Financial Officer for a period not exceeding 4 months w.e.f. March 06, 2026.
Fino Payments Bank has successfully completed its Core Banking System migration to Finacle, marking a significant milestone in the bank's digital transformation journey. The strategic initiative involved an investment of approximately ₹200 crore to establish a scalable, modular, and future-ready technology platform supporting the bank's transition to Small Finance Bank status.
Strategic Investment and Implementation
The migration was executed through a carefully phased approach, with temporary moderation in business volumes during implementation to prioritise system stability and data integrity. Despite the scale and complexity involved, the transition was completed within the anticipated timeline, demonstrating strong execution and operational discipline.
Investment Details: Specifications Total Investment: ₹200 crore Implementation Approach: Phased migration Timeline: Completed within anticipated schedule Focus Areas: System stability and data integrity
Leadership Perspective on Digital Transformation
Ketan Merchant, Interim CEO, commented on the development: "This migration represents a strategic investment of over ₹200 crore in building a robust digital foundation for the future. The new modular architecture allows efficient growth across liabilities, lending, and payments. It also significantly accelerates product launches, strengthening our readiness for the SFB journey."
Vinod Kumar, Chief Information Officer, added: "Finacle CBS delivers a step change in our technology capabilities. Its agile, scalable design enhances transaction throughput, improves system resilience, and shortens time-to-market across UPI, CASA transactions, merchant portal solutions, and upcoming lending platforms, creating a more integrated digital ecosystem."
Enhanced Technology Capabilities
The upgraded architecture introduces a decoupled, modular framework that allows independent scaling of business lines while improving processing efficiency. Key technological enhancements include:
Enhanced transaction throughput and system resilience
Shortened time-to-market for new products and services
Improved integration across merchant platforms
Support for virtual cards and National Common Mobility Card (NCMC)
Extended Finacle license for upcoming Loan Management System (LMS)
The bank's 'Hollow the Core' (HTC) initiative further strengthens the architecture by offloading high-frequency transactions from the core system, improving performance and reducing failure rates.
Business Performance and Market Position
Fino Payments Bank processed ₹3.60 lakh crore in transactions, representing an 8.00% year-over-year increase, with 55.00% digital throughput. The bank operates as a technology-led, asset-light digital bank serving emerging India, backed by marquee investors including ICICI Group, BPCL, Blackstone, LIC, and IFC.
Performance Metrics: Results Transaction Volume: ₹3.60 lakh crore YoY Growth: 8.00% Digital Throughput: 55.00% Business Model: High-volume, low-cost
Small Finance Bank Transition
The bank received 'In-principle' approval from RBI to convert into a Small Finance Bank, making it the first Payments Bank to achieve this distinction. The Finacle CBS migration positions the bank strategically for this transition, providing the technological foundation necessary for expanded banking services and enhanced financial inclusion capabilities.
We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better.
Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians.
As financial services are becoming more accessible, there is now a large set of Indians today who are financially aware and literate. They value time and seek high quality products & services. Most screening, trading, investing platforms available today are more or less similar to each other, and they have not evolved with time. While both traders & investors have gotten smart about how they make money and build wealth, as users they have continued to use the same products, features, and platforms that were available for years with little or no innovation. We plan to change that - a technology-led platform built for super traders and long term investors.