AXISBANK

Axis Bank has taken a cautious approach for FY27 by setting aside a one-time ₹2,001 crore buffer in Q4FY26 to guard against global uncertainties like the West Asia conflict. The bank clarified that this extra provision is purely precautionary and not due to any worsening asset quality. The decision is based on internal stress tests that assume extreme scenarios such as crude oil above $150/barrel, high inflation, and currency depreciation. Due to higher provisioning, Q4 profit slightly dipped 0.6% YoY to ₹7,071 crore, while provisions more than doubled to ₹3,522 crore. However, the bank indicated the buffer could be reversed if risks ease.