Axis Bank stock faces scrutiny after strong Q2 loan and deposit growth

Axis Bank reported a 22.7 percent year-on-year increase in gross advances to INR 13.846 lakh crore as of September 30, 2026, according to The Economic Times. The figures were provisional and subject to a limited review by the bank's statutory auditors.

Balance Sheet Expansion

Gross advances rose from INR 11.284 lakh crore a year earlier and increased 8.8 percent from June 2026. Total deposits reached INR 14.521 lakh crore, up 20.7 percent year on year and 5.8 percent from the previous quarter.

CASA deposits stood at INR 5.296 lakh crore, a 10.6 percent year-on-year increase. Term deposits grew 27.3 percent year on year to INR 9.225 lakh crore and increased 8.4 percent sequentially.

FCNR(B) Flows Add Complexity

Axis Bank said it had mobilised USD 10.62 billion of FCNR(B) deposits under the Reserve Bank of India's swap facility as of September 30. International branches provided USD 4.57 billion in loans linked to these deposits, while standby letters of credit issued against the loans totalled USD 4.69 billion.

The bank said part of the FCNR(B) inflows was used to reduce non-retail term deposits, which fell 8.6 percent sequentially. Excluding the related international-branch loans, gross advances would have risen 18.8 percent year on year and 5.3 percent quarter on quarter, according to the report.

Management Change

Sanjeev Moghe, senior management personnel and group head of branch banking for the South region, resigned to pursue an opportunity outside Axis Bank. His resignation was submitted on October 4, 2026, and he was due to leave at the close of business on October 30.

Axis Bank's Business

Axis Bank is an Indian private-sector bank serving retail, corporate, business and international customers. Its offerings include deposits, home and personal loans, vehicle finance, credit cards, payments, trade finance, capital-market services and foreign-currency products. The bank's shareholder information portal also covers regulatory disclosures, financial results and corporate governance.

Indian banking shares remain sensitive to deposit mobilisation, loan growth and funding costs. Follow the Axis Bank stock topic for further company reports.