Airtel Payments Bank Ltd Annual Report and Financials

Airtel Payment Bank Limited Standalone Balance Sheet (Rs in Thousands)

Particulars	31-03-2025	31-03-2024
Capital & Liabilities
Capital	24650070	24131581
Employee Stock Options Outstanding	288114	186001
Reserves & Surplus	-18203311	-19093790
Deposits	34180649	26305360
Borrowings	1298479
Other Liabilities and Provisions	32896827	15446854
Total	75110828	46976006
Assets
Cash & Balances with Reserve Bank of India	20727092	7126663
Balances with Banks and Money at Call & Short Notice	7543111	3528025
Investments	32939938	26237629
Fixed Assets	7391250	6245136
Other Assets	6509437	3838553
Total	75110828	46976006

Airtel Payment Bank Limited Standalone Profit and Loss Statement (Rs in Thousands) 

Particulars	31-03-2025	31-03-2024
Income
Interest Earned	2527089	1651081
Dividend Income	24559241	16706886
Total Income	27086330	18357967
Expenditure
Interest Expended	618361	439091
Operating Expenses	26042251	17448131
Provisions and Contingencies	-200292	125666
Total Expenses	26460320	18012888
Net Profit for the year	626010	345079
Loss Brought Forward	-19632362	-19632362
Total	-19006352	-19546092
Appropriations
Transfer to:
Statutory Reserves	156502	86270
Investment Fluctuation Reserve	108	-
Balance Carried over to Balance Sheet	-19162962	-19632362
Total	-19006352	-19546092
Earning per Share
EPS-Basic	0.26	0.14
EPS-Diluted	0.25	0.14

 Airtel Payment Bank Limited Standalone Cash Flow Statement (Rs in Thousands)

Particulars	31-03-2025	31-03-2024
Cash Flow from Operating Activities
Net Profit Before Tax	626010	345079
Adjustments for:
Depreciation and Amortisation Expense	2560396	1473549
Amortisation of Premium on Held To Maturity Investments	-2200	0
Employees Stock Option Expenses	102113	71966
Deferred Tax Asset	-232976
Interest on Borrowings	38777
Other Provisions & Write off	4025	94001
Loss on Sale of Fixed Assets (Net)	1683	120
Operating Profit Before WC Changes	3097828	1984715
Adjustment for:
Increase in Deposits	7875289	9515902
Increase in other Liabilities	18577002	5307224
Increase in Investments (other than HTM Securities)	-6694884	-9924920
Increase in Other Assets	-2327366	-688500
Cash generated from Operations	20527869	6194421
Taxes Paid	42058	63174
Net Cash from Operating Activities	20569927	6257595
Cash Flow from Investing Activities
Purchase of Fixed Assets	-4999470	-3027803
Proceeds from Sale of Fixed Assets	-	667
Net Cash from Investing Activities	-4999470	-3027136
Cash Flow from Financing Activities
Proceeds from Equity Shares	777733	744290
Net Proceeds/(Repayment) from Borrowings	1298479	-849820
Interest on Borrowings	-31154	-
Net Cash from Financing Activities	2045058	-105530
Net Increase in Cash & Cash Equivalents	17615515	3124929
Opening Cash & Cash Equivalents	10654688	7529759
Closing Cash & Cash Equivalents	28270203	10654688

 Here is a summary of the Cash Flow Statement for the years 2025 and 2024:

Operating Activity

Airtel Payments Bank generated a strong net cash flow of ₹20,569,927 thousand from operating activities in FY 2025, driven by improved profitability and significant positive changes in deposits and liabilities. Despite higher investments and an increase in other assets, efficient working capital management and non-cash adjustments contributed to robust operational cash generation compared to ₹6,257,595 thousand in the previous year.

Investing Activity

The company made capital investments of ₹4,999,470, primarily for the purchase of fixed assets, with only a nominal inflow of ₹667 from asset sales. As a result, net cash used in investing activities was ₹4,999,470, compared to ₹3,027,136 used in FY 2024. This reflects a significant increase in capital expenditure, possibly aimed at expansion or technology upgrades.

Financing Activity

In financing activities, Airtel Payments Bank received ₹744,290 from equity issuance and had a net borrowing inflow of ₹1,299,479, while incurring ₹(31,154) in interest costs. Consequently, the net cash flow from financing activities stood at ₹2,045,585, compared to an outflow of ₹105,530 in the previous year, reflecting improved capital raising efforts

Net Movement in Cash and Cash Equivalent

The combined effect of operating, investing, and financing activities resulted in a net increase in cash and cash equivalents of ₹17,615,515 during FY 2025. With an opening balance of ₹10,654,688, the closing cash and cash equivalents rose to ₹28,270,203, indicating strong liquidity and cash generation capabilities.

Financial Ratios of Airtel Payment B ank Limited

Particulars	2025	2024
Interest Income as a percentage to Working Funds	4.84%	4.76%
Non interest income as a percentage to Working Funds	47.08%	48.13%
Cost of Deposits	2.01%	2.05%
Net Interest Margin	3.96%	4.81%
Operating Profit as a percentage to Working Funds	0.82%	1.36%
Return on Assets	1.20%	0.99%
Business (Deposits plus advancves) per employee (Rs in Crores)	2.01	1.86
Profit per employee (Rs. In Crores)	0.04	0.02

 Here is a summary of the ratios for Airtel Payments for the year 2025 and 2024:

Interest Income to Working Funds increased slightly from 4.76% to 4.84%, indicating marginally better interest earnings efficiency.

Non-Interest Income to Working Funds decreased from 48.13% to 47.08%, showing a slight dip in reliance on fee-based income.

Cost of Deposits fell marginally from 2.05% to 2.01%, reflecting improved deposit cost management.

Net Interest Margin declined from 4.81% to 3.96%, suggesting reduced profitability from core lending activities.

Operating Profit to Working Funds dropped from 1.36% to 0.82%, indicating weaker operating efficiency.

Return on Assets (ROA) improved from 0.99% to 1.20%, reflecting better overall profitability on asset utilization.

Business per Employee rose from ₹1.86 crore to ₹2.01 crore, showing enhanced employee productivity.

Profit per Employee doubled from ₹0.02 crore to ₹0.04 crore, indicating a significant improvement in employee-level profitability.