Are Equitas Sma. Fin latest results good or bad?

Equitas Small Finance Bank has reported its financial results for the quarter ending March 2025, highlighting a complex performance landscape. The bank achieved a net interest income of Rs 829.42 crore, which is the highest recorded in the last five quarters, indicating a positive trend in its core business operations. Additionally, interest earned for the quarter reached Rs 1,643.97 crore, also marking a peak in recent quarters, suggesting a favorable near-term sales trajectory.
However, the bank encountered notable challenges in profitability metrics. The Profit Before Tax (PBT) resulted in a loss of Rs 172.16 crore, reflecting a significant decline compared to the average PBT from the previous four quarters. Similarly, Profit After Tax (PAT) fell to Rs 42.11 crore, showing a substantial reduction from prior averages. The operating profit decreased to Rs 85.85 crore, the lowest in five quarters, which contributed to a decline in the operating profit margin to 5.22%. Furthermore, the proportion of non-operating income to PBT raised concerns regarding the sustainability of the bank's business model.

In terms of evaluation, the company saw an adjustment in its evaluation over the last three months. Overall, the financial data presents a mixed picture for Equitas Small Finance Bank, with growth in interest income juxtaposed against significant profitability challenges.