Fino Payments Bank Sees Significant Growth in Deposits and Loan Referral Business in April

Fino Payments Bank Reports Steady Growth in Deposits and Loan Referral Business

Fino Payments Bank announced its business performance for April, reporting a steady growth in deposits and strong traction in its loan referral business. The bank's average total deposits increased 13% year-on-year to ₹2,801 crore, reflecting sustained growth in the deposit franchise. This signals steady progress in its transition toward a more comprehensive banking model.

The bank's new account openings rose 9% to 2.3 lakh in April, while renewal income, a proxy for customer retention, also grew 9% to ₹19.3 crore. This indicates a strong customer base and a high level of customer satisfaction. The bank added that CASA (Current Account Savings Account) now accounts for a growing share of its revenue base, which it expects will support meaningfully better margins in FY27 compared to FY26.

Fino Payments Bank also reported strong growth in its loan referral business. Disbursals rose to around ₹166 crore, reflecting more than threefold growth compared to April 2025. This continued momentum supports the bank's long-term strategy of building key guardrails for its differentiated Small Finance Bank (SFB) model.

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However, the bank witnessed a decline in certain business metrics. Transaction business throughput, which includes remittance, micro-ATM, and AePS, fell 47% year-on-year to ₹2,649 crore. The bank attributed the decline to the broader ecosystem shift from cash to UPI (United Payments Interface) and its strategic pivot toward higher-quality merchants.

Additionally, B2B UPI person-to-merchant throughput dropped sharply by 96% to ₹101 crore. The bank said it is deliberately slowing down this segment to rebuild it on a more risk-calibrated and sustainable basis.

Looking ahead, the bank said its focus on consistent customer acquisition, deeper digital engagement, and sustained deposit mobilisation will continue to shape how it deploys its network and allocates priorities. The bank added that the ongoing shift in product mix, with CASA accounting for a growing share of the revenue base, positions it to capture meaningfully better margins compared to FY26.

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The bank's profit after tax (PAT) dropped sharply by 70% YoY to ₹7.1 crore in Q4. Fino Payments Bank's share price has been struggling to gain traction on the exchanges, remaining under pressure since September 2024. Although the stock attempted a recovery on multiple occasions, those gains were later sold into, deepening the decline further. The stock closed in the red for four straight months between December 2025 and March 2026, losing a cumulative 63%, which dragged it 71% below its September 2024 peak of ₹467 apiece.