India Financials: 1QF27 Initial Updates: HDFC, Axis, Kotak, AUBANK and Yes

Research evidence excerpt

India Financials: 1QF27 Initial Updates: HDFC, Axis, Kotak, AUBANK and Yes

Update

July 5, 2026 07:37 PM GMT

Morgan Stanley India Company Private Limited+MIndia Financials | Asia Pacific Subramanian Iyer

Equity Analyst

1QF27 Initial Updates: HDFC, Subramanian.Iyer@morganstanley.comKushan Parikh, CFA +91 22 6118-2234

Kushan.Parikh@morganstanley.com +91 22 6118-1082

Axis, Kotak, AUBANK and Yes Lavish Porwal

Research Associate

Lavish.Porwal@morganstanley.com +91 22 6118-1197

We highlight key takeaways from operating updates of HDFC

Bank, Axis Bank, Kotak Mahindra Bank, AU Small Finance Bank

and Yes Bank. Previous reports covered updates released by

other banks and NBFCs. Most reported faster loan and deposit

growth Y/Y, in line with system-level trends up to June 15. India Financials

Asia Pacific

Industry View Attractive

Key Takeaways

Link to other updates:

Loan and deposit growth picked up for most banks on a seasonally adjusted

Bajaj Finance: 1QF27 Update: 7.2% QoQ AUM

(YoY) basis; CASA ratio moderated; LD ratio increased, all as directionally

growth, highest since 2QF24 (2 Jul 2026)

expected.

L&T Finance: 1QF27 operational update – good

These numbers were in general higher than our preliminary preview numbers we growth, awaiting details on NIM and credit costs

published last week. (3 Jul 2026)

Among large private banks, HDFC Bank saw a meaningful pick up in YoY loan India Financials: F1Q27 Operational Updates –

growth, which should be positive for investor sentiment, in our view. BOB and PNB (2 Jul 2026)

Mahindra and Mahindra Financial Services:

Axis Bank saw continued volume momentum (as seen in 4Q). Deposit growth

1QF27 update – good asset quality performance;

was much higher than expectations. Investors will be watching implications for