Capital Small Finance Bank (CSFB) will take a call on transitioning to a universal bank once its total business (deposits plus advances) and branch network reach a “decent size” of about ₹34,000 crore and 300, respectively, by March-end 2029.
Currently, the Jalandhar (Punjab) — headquartered Bank has a total business aggregating ₹18,705 crore (deposits: ₹10,018 crore; advances: ₹8,687 crore as at March-end 2026) and a branch network of 213 spread across five States and two Union Territories.
In an interaction with businessline, Sarvjit Singh Samra, MD & CEO, observed that once CSFB becomes a mid-sized institution, the time would be ripe for it become a universal bank.
“I would say when we reach at a decent size of...total business, our board will definitely take this call (on transitioning to a universal bank). We are very optimistic about this and actually there’s a path ahead for further growth,” he said.
Samra emphasised that CSFB’s target focus is the middle income group customer segment on both sides — deposits as well as advances.
“We are a specialised bank, taking care of the banking needs of the middle income group. We have been specialising in this segment for last 26 years — for the first 16 years as a local area bank and the next 10 years as a SFB,” he said, adding the Bank recently completed 10-years of its banking journey as a SFB.
CSFB reported 18 per cent year-on-year (y-o-y) increase in fourth quarter (Q4FY26) net profit at ₹40 crore against ₹34 crore in the year ago quarter.
Net Interest Income (difference between interest earned and interest expended) grew 17 per cent y-o-y to ₹121 crore ( ₹103 crore in Q4FY26).
Non-interest income (comprising income from commission, exchange & brokerage, profit/fee earned on sale of third-party products, profit/loss on sale/revaluation on investments, profit on exchange transactions, etc.) was almost unchanged at ₹26 crore.
Deposits and advances were up 20 per cent (and stood at ₹10,018 crore as on March-end 2026) and 21 per cent ( ₹8,572 crore), respectively.
Published on May 1, 2026