Deposit franchise strengthening

1. Strong turnaround in profitability Bandhan Bank reported a sharp improvement in quarterly profits, helped by lower provisions and improving asset quality. Investors are viewing this as a sign that the bank's recovery efforts are gaining traction. 2. Asset quality improving Gross NPAs and overall stressed assets have shown improvement compared with earlier periods. The bank continues focusing on reducing stress in its microfinance portfolio and strengthening collections. 3. Healthy loan growth Advances have continued to grow at a double-digit pace. Growth is increasingly coming from diversified segments such as: Retail loans Housing finance Gold loans SME lending This reduces dependence on microfinance. 4. Deposit franchise strengthening Deposits have continued to grow steadily. Management remains focused on increasing retail deposits and CASA deposits to improve funding quality. 5. Diversification strategy progressing Bandhan Bank is gradually transforming from a microfinance-focused lender into a more diversified retail bank. Secured lending products are becoming a larger part of the loan mix. 6. Expansion initiatives The bank has continued opening new branches across multiple states and expanding its banking network. Digital banking investments also remain a priority. 7. Institutional investor interest Large institutional investors have recently increased their stake in the bank, indicating improving confidence in the turnaround story. 8. Leadership and business transformation The management team continues to focus on: Better risk management Improved underwriting Diversified growth Profitability improvement