Transcript of the Earnings Call held on October 29, 2026.

Ref No: 02/SE/CS/NOV/2026-27 Date: November 04, 2026 Listing Department L i s t i n g & Compliance Department BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, 5th Floor Dalal Street, Mumbai – 400001 Plot No. C/1, “G” Block Bandra- Kurla Complex Bandra(E), Mumbai- 400051 BSE Scrip Code: 544020 NSE Symbol: ESAFSFB Dear Sir/ Madam, Sub: Transcript of the Earnings Conference Call on Financial Results of the Bank for the Quarter and Half Year Ended on September 30, 2026 We would like to inform that the Transcript of the Earnings Conference Call in connection with the Unaudited Standalone Financial Results of ESAF Small Finance Bank Limited ("Bank") for the quarter and half year ended September 30, 2026, held on October 29, 2026 at 04:00 (IST) is attached herewith. The above-mentioned transcript is also available on the website of the Bank at https://www.esaf.bank.in/investor-relation/?id=presentation-and-concall-transcript. This is for your information and appropriate dissemination. Thanking you Yours Faithfully, For ESAF Small Finance Bank Limited Ranjith Raj. P Company Secretary and Compliance Officer ESAF Small Finance Bank Limited Q2 FY 27 Earnings Conference Call October 29, 2026 MANAGEMENT: DR. K. PAUL THOMAS – MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER – ESAF SMALL FINANCE BANK LIMITED MR. GEORGE K. JOHN – EXECUTIVE DIRECTOR – ESAF SMALL FINANCE BANK LIMITED MR. GIREESH C.P. – EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER – ESAF SMALL FINANCE BANK LIMITED Page 1 of 14 ESAF Small Finance Bank Limited October 29, 2026 Moderator: Ladies and gentlemen, good day and welcome to ESAF Small Finance Bank Q2 FY 27 Earning Conference Call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing ‘*’ then ‘0’ on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Dr. K. Paul Thomas, Managing Director and Chief Executive Officer. Thank you, and over to you, sir . K. Paul Thomas: Thank you and good afternoon, everyone. We welcome you to the Q2 FY27 Earnings Call of ESAF Small Finance Bank. Joining me today are my colleagues, Mr. George K. John - Executive Director, and Mr. Gireesh CP - EVP and CFO. I would like to begin by highlighting a significant achievement for the Bank this week, the successful implementation of ESAF 2.0, our flagship digital and IT transformation program, StratoNeXt. This marks an important milestone in ESAF Small Finance Bank's transformation journey and reflects our commitment to building a future-ready, technology-enabled Bank. The successful implementation has strengthened our technology backbone and established a more scalable and resilient platform for the Bank's future growth. Overtime, we expect this investment to enhance operational efficiency, productivity, automation, and customer experience, while strengthening risk management and control mechanisms. StratoNeXt is a key enabler of our broader structural transformation strategy, supporting portfolio diversification, business scalability, and the strategic expansion of our banking network. We believe this modern technology foundation will position the Bank to pursue its long-term growth ambitions more effectively over the coming decades. I would like to place on record my sincere appreciation for our employees, especially our Executive Director, Mr. George K. John, who oversaw this strategic transformation program, and our technology partners for their commitment, collaboration, and collective efforts in successfully delivering this complex program. I would also like to thank our customers for their continued trust and support throughout the migration. This is an important milestone for ESAF, providing a strong technological foundation to support our next phase of transformation and sustainable growth. Our transformation journey continues with the MARG portfolio as the key anchor supported with a renewed focus on the Emerging Household Loan category. While Emerging Household portfolios have more than doubled as compared to last year, the MARG portfolio has maintained its steady growth rate every quarter. The growth is not dependent on any individual segment, but is broad-based with all the constituent segments of MARG and EH, showing strong growth both on Y-o-Y and quarter-on-quarter basis. The MARG portfolio continues to maintain lower delinquencies, but complementing it with the EH portfolio comprising of customers with an established repayment track record and growing income profiles has helped us in further Page 2 of 14 ESAF Small Finance Bank Limited October 29, 2026 improving our asset quality. Our financial performance has improved significantly and continued its positive trend on the back of our strategic transformation and focus on operating efficiency. Our objective is to build a well-diversified retail franchise with Secured Lending, Emerging Households, Microfinance and Deposits complementing each other. This will be further supported with continued investments in technology and innovation to deepen customer engagement and provide best-in-class facilities to customers. We will continue to build on the strength of our network, majorly present in the rural and semi-urban areas, to provide a wider range of banking products and financial solutions to customers. All our strategies have been built with a clear focus on creating a stable, diversified and resilient asset base that is supported by disciplined execution, investment in technology, prudent risk management, strong governance and operational efficiency. At the same time, the Bank has established itself as a front-runner in integrating environmental and social stewardship into its core business operations. Through a wide range of purpose-driven initiatives and strategic projects, the Bank actively promotes sustainability and social well-being across the communities. As a result, our CARE ESG rating has improved from 75.4 to 77.6. The Bank has been rated higher than the industry in all three aspects of environmental, social and governance, thus reflecting our continued progress towards responsible and sustainable growth. On the macro front, the Indian economy appears to be resilient. Though the RBI raised its FY27 GDP growth forecast to 7.1% in the latest MPC meeting, it also increased the repo rate by 25 basis points with a shift to calibrated tightening as inflationary pressures persist. We remain cautious and watchful for the increased volatility in global energy prices and the persisting El Nino conditions. These events have not had any material impact on our business or operating performance as of now. So, the overall performance in H1 FY27 in terms of total business growth, secured portfolio diversification and improved financial parameters gives us confidence that we are moving in the right direction with regards to people, technology, systems, asset quality and risk management for our next phase of growth. I now invite our Executive Director - Mr. George K. John, to take you through the next segment. George K. John: Thank you, Paul sir, and good afternoon, everyone. During the quarter, improvement across key parameters continued sequentially, including improved profitability and asset quality metrics, supported by moderation in slippages and better operating efficiency. As of September 30, 2026, our total business stood at Rs. 52,400 crores, registering a healthy year-on-year growth of 25% compared to Rs. 42,031 crores of last year. During the same period, gross advance grew by 25%, while deposits increased by 24%, reflecting balanced growth across both sides of the balance sheet. If we add IBPC transactions done during the quarter, our total business stands at Rs. 53,450 crores. Page 3 of 14 ESAF [Showing first 8,000 characters — download PDF for full document]