Utkarsh Small Finance Bank Limited — Credit Ratings, 02-11-2024: Credit Rating

Utkarsh Small Finance Bank Limited's credit rating has been reaffirmed at CARE A+ (Stable) for its existing and proposed Tier II bonds. The bank continues to maintain strong capitalization, with a capital adequacy ratio of 23.18%. Profit after tax increased by 23% to ₹498 crore in FY24. However, the bank faces challenges with asset quality due to concentration in microfinance and geographic risks. The stable outlook reflects expected steady growth and maintained profitability levels.