April 20, 2026 - ChartAlert®

HDFCBANK – HDFC Bank – Q4 FY26 Financial Results – 18-Apr-26

HDFC Bank’s merger leverage shows in 16.6% PPOP growth and deposit re‑acceleration. Provisions suppress PAT but fortify FY27 asset quality. With doubled equity, EPS hinges on credit cost normalization, NIM recovery, and loan‑deposit discipline—key catalysts for re‑rating.

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🔍 Observations

Topline

Net Interest Income (NII) stable QoQ: interest earned ₹87,183 Cr in Q4FY26 vs ₹87,067 Cr in Q3FY26; YoY interest earned grew 0.5% — advance book expansion offsetting yield compression.
FY26 total income ₹4,95,463 Cr vs ₹4,70,916 Cr in FY25 (+5.2% YoY), driven by loan book growth and investment income expansion (₹82,657 Cr vs ₹73,912 Cr, +11.8% YoY).
Other income (non-interest) volatile: Q4FY26 at ₹29,737 Cr vs Q3FY26 ₹39,860 Cr — Q3 inflated by ₹19,869 Cr in “Others,” likely one-time items; underlying fee income more modest.

Bottomline

Consolidated PAT (post minority interest) grew 7.9% YoY in Q4 (₹20,351 Cr vs ₹18,835 Cr) and 7.4% for full year (₹76,026 Cr vs ₹70,792 Cr).
Pre-provision operating profit (PPOP) for FY26 at ₹1,28,798 Cr — up 16.6% YoY — significantly outpacing PAT growth; delta absorbed by a near-doubling of provisions (₹26,656 Cr vs ₹14,175 Cr).
Minority interest rising: ₹3,193 Cr in FY26 vs ₹2,648 Cr in FY25 (+20.6%) — subsidiary earnings drag on attributable PAT will intensify as HDFC Life, HDB Financial scale.

Margins

Operating profit margin (PPOP / Total Income): FY26 at 26.0% vs FY25 at 23.4% — 260 bps structural improvement, reflecting operating leverage kicking in post-merger integration.
Interest expended declined YoY in absolute terms for FY26 (₹1,85,491 Cr vs ₹1,83,894 Cr, +0.9%), while total income grew 5.2% — cost of funds stabilizing, NIM trajectory improving.
Cost efficiency visible: insurance claims/benefits fell YoY (₹92,340 Cr vs ₹94,437 Cr in FY25) despite topline growth in insurance segment.

Growth Trajectory

Advances grew 11.9% YoY (₹30,50,783 Cr vs ₹27,24,938 Cr); deposits up 14.3% (₹30,99,638 Cr vs ₹27,10,898 Cr) — deposit growth ahead of loan growth, improving LDR comfort.
Basic EPS: ₹49.50 for FY26 vs ₹46.41 for FY25 (+6.7% YoY) — share count nearly doubled (₹1,539 Cr paid-up vs ₹765 Cr) due to HDFC merger equity; absolute PAT growth does not fully translate to per-share value.
Provisions surge to ₹26,656 Cr in FY26 from ₹14,175 Cr in FY25 (+88% YoY), including ₹9,000 Cr floating provision — deliberate conservatism that compresses near-term EPS but builds balance sheet resilience.

ICICIBANK – ICICI Bank – Q4 FY26 Financial Results – 18-Apr-26

ICICI Bank’s Q4 shows 9.3% PAT growth, strong loan expansion, and minimal provisioning. Yet widening credit‑deposit gaps and weak cash generation highlight capital consumption. EPS growth (~5–6%) hinges on peaked credit costs and stable NIM; deposit mobilisation and FY27 credit costs remain key exposure triggers.

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🔍 Observations

Topline

Net Interest Income (NII) expanded modestly — interest earned grew 4.8% YoY in Q4 (₹49,594 Cr vs ₹48,387 Cr), while interest expended fell 4.3% YoY, expanding the spread meaningfully.
Total income for FY2026 reached ₹3,12,118 Cr (+5.9% YoY), driven by loan book growth and stable investment yields.
Other income (non-insurance) grew 5.2% YoY in FY2026 to ₹39,276 Cr — fee income resilience holds.

Bottomline

Q4 PAT surged 9.3% YoY to ₹14,755 Cr and 17.7% QoQ — clean, no exceptional items distorting the print.
FY2026 PAT of ₹54,208 Cr grew 6.2% YoY, with minority interest absorption (₹3,729 Cr) muting consolidated headline growth vs. standalone.
Diluted EPS rose to ₹74.77 for FY2026 vs ₹71.14 — 5.1% growth, modest given the PAT trajectory; equity dilution via ESOPs is a marginal drag.

Margins

Operating profit grew 6.3% YoY in FY2026 (₹82,696 Cr vs ₹77,759 Cr) — operating leverage is present but not dramatic.
Provisions collapsed in Q4 to ₹261 Cr vs ₹2,647 Cr in Q3 — suggests meaningful write-back or asset quality improvement; FY2026 provisions of ₹5,639 Cr up 15% YoY warrants watching.
Effective tax rate held steady ~25% — no deferred tax distortions skewing net margin.

Growth Trajectory

Advances grew 15.8% YoY (₹16,44,658 Cr vs ₹14,20,664 Cr) — loan growth outpacing deposit growth of 11.5%, tightening the CD ratio.
FY2026 PAT CAGR is modest at ~6%, indicating the bank is in a consolidation phase post the hyper-growth cycle.
Insurance premium income grew 9.5% YoY in FY2026 — ICICI Life/General subsidiaries remain steady compounders within the group.

WIPRO – Wipro Ltd – Q4 FY26 Financial Results – 16-Apr-26

Wipro’s FY26 shows 4% revenue growth but flat PAT, with debt elimination offset by working‑capital strain, ECL spike, and higher borrowings. Dividend discipline stretches FCF. FY27 hinges on AI/inorganic spend driving margins—without it, the stock remains a volume play lacking earnings traction.

1–2 minutes

🔍 Observations

Topline

Q4FY26 revenue ₹242,363M — up 7.7% YoY and 2.9% QoQ; full-year FY26 revenue ₹926,240M, up 4.0% YoY.
Sub-contracting & technical fees rose 7.5% YoY in FY26 — signals higher pass-through work and offshore-onsite mix shift.
Other income flat YoY at ~₹38.7–38.8B annually; not a growth driver.

Bottomline

FY26 PAT ₹132,655M vs ₹132,180M in FY25 — effectively flat (+0.4% YoY); Q4FY26 PAT ₹35,216M, down 1.8% YoY.
Revenue grew 4% but PAT barely moved — operating leverage absent; cost structure expanding in tandem with revenue.
EPS Basic ₹12.60 vs ₹12.56 prior year — near-zero earnings growth despite revenue recovery.

Margins

EBITDA proxy (PBT + D&A + Finance Costs): FY26 ~₹217,106M vs FY25 ~₹219,306M — slight EBITDA contraction despite revenue growth.
Employee costs as % of revenue: 60.0% in FY26 vs 59.9% in FY25 — stable but elevated; limited room to expand margins without headcount restructuring.
Net profit margin: 14.3% in FY26 vs 14.8% in FY25 — 50bps compression; operating efficiencies not translating to bottom-line accretion.

Growth Trajectory

FY26 revenue CAGR recovery underway but tepid at 4% — below IT sector peers in a stronger demand environment.
PAT growth near-zero for two consecutive years signals a structural earnings plateau, not cyclical softness.
Q4FY26 sequential improvement (+2.9% QoQ revenue, +11.9% QoQ PAT) offers a constructive exit rate into FY27.

WIPRO – Wipro Ltd – Q4 FY26 Earnings Call – 16-Apr-26

WIPRO’s growth capped at 0–2% by BFSI volatility, partly offset by APMEA/tech. Margins compress to 16.8–17.2% in FY27 from AI spend and wage hikes, with buyback cushioning EPS. SaaS pivot adds structural pressure; expect 15–30bps QoQ erosion in H1’27.

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Also see: WIPRO – Wipro Ltd – Q4 FY26 Financial Results – 16-Apr-26

3-Scenario Framework

📊 Base Case (50% Probability)

Key Variables: Q1 ramp-up delays resolve by Q2; Americas 2 BFSI stabilizes (flat QoQ); AI platforms contribute 2–3% revenue by FY27 end.
Outcome: Revenue grows 0–2% YoY (inorganic-led), margins hover at 17.0–17.2% (cost takeout offsets investments), and EPS rises 3–5%. Buyback supports EPS; FCF conversion remains >110%. Implication: Cyclical softness; maintain “hold” with upside from AI scaling.