IDFC First Bank Q1 Results 2025 Preview: Deposit Growth, Stable Asset Quality, and Focus on Profit! - India Gup - Trusted Indian News on Tech, Films, Finance and More

IDFC First Bank Q1 Results 2025: Everyone is waiting for IDFC First Bank’s Q1 results, because the board meeting today, 26 July 2025, is set to discuss their unaudited standalone and consolidated earnings. According to market experts, this quarter can be quite promising for the bank, but there are some challenges too. Let’s look in a little detail at what we can expect and why this bank is on investors’ radar!

What Are the Market Expectations?

IDFC First Bank Q1 Results 2025: Experts say that IDFC First Bank has shown solid performance in the April-June 2025 quarter. Double-digit growth can be seen in customer deposits, which shows the bank’s strong funding base. Asset quality is also expected to remain stable, meaning Gross Non-Performing Assets (GNPA) and Net Non-Performing Assets (NNPA) will reduce. Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, “There are chances of IDFC First Bank results being positive, because their business growth is supported by top-notch services and corporate governance.”

Loan growth is also expected to remain in the range of 12-14%, in which retail loans and credit cards will play a big role. But there is one catch the bank’s profit will depend on how much provision they have kept for microfinance loans. Last year, there was a bit of trouble in this segment, so this time the management’s commentary on this will be quite important.

What Is the Speciality of IDFC First Bank?

According to Gaurav Goel, Founder & Director at Fynocrat Technologies, IDFC First Bank has created a separate identity due to its high-margin retail franchise. In FY25’s Q4, the bank’s net interest margin (NIM) was 5.95%, which was the strongest among private banks. This is the result of retail-heavy loan book and focus on small-ticket deposits. Yes, a slight dip can be seen this quarter, because funding costs are still high.

IDFC First Bank Q1: Goel also said that IDFC First Bank’s asset quality will remain stable, and gross NPA will remain below 2%. The bank has tightened collection efficiency and underwriting norms, which is in its favor. And when it comes to private banks, IDFC First Bank’s growing CASA (Current Account Savings Account) base and customer franchise puts it in a slightly better position than peers like ICICI Bank and Axis Bank, because it can better defend its margins.

Management’s Statements and What to Watch For?

For investors, the management’s commentary will be very important. What they say about deposit mobilization, the future of retail lending, and cost control measures all this will set the direction of the bank for FY26. Cost-to-income ratio is also a key metric, which investors will closely monitor. If the bank shows improvement in this, then it will be a big plus point.

Technical View of IDFC First Bank Share Price

IDFC First Bank Q1 Results 2025: Now let’s also focus a bit on the stock’s technicals. According to Shiju Kuthupalakkal, Senior Manager of Technical Research at Prabhudas Lilladher, IDFC First Bank’s share price is currently under a bit of pressure. The stock saw resistance at the ₹78 level, and now it has come below the 50-DEMA (₹71.60). It has also broken the ascending channel pattern, which shows weakness in the short-term. RSI (Relative Strength Index) is also in a downtrend, so the trend is bearish for now. The next major support is around ₹65 (200-period MA), which is necessary to hold. If the stock decisively moves above ₹73, then bullish momentum can come back. Investors should keep an eye on this range.

What Is the Final Take?

IDFC First Bank Q1 Results 2025: The market has a lot of expectations from IDFC First Bank’s Q1 results. With strong deposit growth, stable asset quality, and healthy loan growth, the bank can strengthen its growth story even more. Yes, there is a little concern about microfinance provisions and cost pressures, but the bank’s retail focus and improving metrics make it an attractive bet. The management’s strategy and commentary will set the direction for FY26, so investors should pay attention to the post-results call.

Disclaimer: This article is only for informational purposes. Before taking any investment decision, consulting certified financial advisors is necessary. Market views and technical analysis are of individual analysts, and these are not the views of Mint.