Manba Finance Limited reported a net profit of ₹1326.28 lakh for the quarter ended June 30, 2026, representing a 34.6% increase compared to ₹975.08 lakh in the same period of the previous fiscal year. The Mumbai-based non-banking financial company (NBFC) saw its revenue from operations rise by 38.2% to ₹9,260.82 lakh, up from ₹6,700.37 lakh in Q1FY25. This growth underscores the company’s expanding lending book and improved interest income generation during the period.

The Board of Directors approved the unaudited financial results at a meeting held on July 27, 2026, following review by the Audit Committee. The statutory auditors issued an unmodified conclusion on the limited review of the accounts for the quarter ended June 30, 2026. The results were filed with the stock exchanges pursuant to Regulation 33 and Regulation 52 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

Earnings per share (basic) stood at ₹2.64 for the quarter, compared to ₹1.94 in Q1FY25. The company’s total income from operations also reflected this upward trajectory, indicating sustained demand for its financial products. Reserves and surplus increased to ₹21,896.54 lakh as of March 31, 2026, from ₹17,473.04 lakh a year earlier, reflecting retained earnings accumulation.

Balance Sheet Strength

Manba Finance Limited reduced its paid-up debt capital to ₹45,049.74 lakh as of June 30, 2026, down from ₹48,287.93 lakh at the end of FY26. This deleveraging effort contributed to a lower debt-equity ratio of 3.43, compared to 3.78 in the preceding quarter and 2.9 in Q1FY25. The net worth of the company rose to ₹42,308.78 lakh, providing a stronger capital base for future growth initiatives.

What the Numbers Show

The divergence between revenue growth (38.2%) and net profit growth (36.0%) suggests stable margin preservation despite aggressive expansion. The reduction in outstanding debt alongside rising profitability indicates effective asset-liability management. With reserves growing steadily and the debt-equity ratio improving from the peak of FY26, Manba Finance appears well-positioned to sustain its lending momentum while maintaining financial prudence.

Manba Finance reported a 36% year-on-year increase in net profit after tax (PAT) to ₹13.26 crore for the quarter ended June 30, 2026, driven by strong disbursement growth and an expanding asset base. The Mumbai-based non-banking financial company (NBFC) saw its assets under management (AUM) grow by approximately 22.28% to ₹1,730.8 crore, while total revenue from operations stood at ₹92.61 crore. This performance underscores the company’s ability to monetize its loan book effectively despite a marginal sequential dip in revenue, signaling robust operational efficiency and improved asset quality with Gross Stage 3 NPAs at 3.41%.

The Board of Directors approved the unaudited financial results during a meeting held on July 27, 2026. The results were subjected to a limited review by the statutory auditors, Krshna & Associates, pursuant to Regulation 33 and Regulation 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. An investor presentation was subsequently released on July 28, 2026, under Regulation 30 of the Listing Regulations, detailing the company’s strategic initiatives and financial health.

Financial Performance

Total revenue from operations stood at ₹92.61 crore for Q1FY27, down slightly from ₹93.41 crore in Q4FY26 but up significantly from ₹67.00 crore in Q1FY26. Interest income, the primary revenue driver, rose to ₹85.12 crore from ₹63.04 crore in the corresponding quarter of FY26. Other operating income also increased sharply to ₹7.48 crore from ₹3.96 crore last year.

Profit before tax was reported at ₹16.11 crore, compared to ₹16.94 crore in the preceding quarter. Total expenses remained stable at ₹76.50 crore. Finance costs increased to ₹43.52 crore from ₹32.39 crore in Q1FY26, while impairment on financial instruments rose to ₹7.91 crore from ₹4.34 crore in the same quarter last year. Disbursements grew 37% year-on-year to ₹2,263 million, reflecting strong demand across the core vehicle finance portfolio.

Asset Quality and Capital Adequacy

The company reported strong asset quality metrics, with Gross Stage 3 NPAs improving to 3.41% from 3.47% in the previous quarter, and Net Stage 3 NPAs declining to 2.52% from 2.64%. The capital adequacy ratio (CRAR) remained healthy at 24.40%, well above the regulatory minimum. Net worth rose to ₹4,230.88 lakh from ₹3,788.53 lakh in the previous year. Return on assets stood at 2.63%, while return on equity was recorded at 11.65%.

Krshna & Associates issued a security cover certificate confirming that all secured listed non-convertible debentures (NCDs) are fully secured by a first pari passu charge over freehold immovable properties, current assets, cash flows, and receivables. As of June 30, 2026, the company maintained asset cover exceeding 110% of the outstanding amount of listed secured redeemable NCDs, which totaled ₹4,315.00 lakh. Unsecured NCDs outstanding amounted to ₹2,000.00 lakh. The debt-equity ratio stood at 3.44.

Strategic Expansion and Dividend

The Board declared a first interim dividend of ₹0.25 per share for the financial year 2026-27. The record date for determining eligible shareholders is August 7, 2026, with payment scheduled on or before August 20, 2026. This applies to equity shares with a face value of ₹10 each.

Strategically, Manba Finance is expanding its geographic footprint beyond its core six-state base of Maharashtra, Gujarat, Rajasthan, Madhya Pradesh, Uttar Pradesh, and Chhattisgarh. The company entered South India through a partnership with Sreesastha (Nammaloan), beginning with operations in Karnataka and Tamil Nadu. Additionally, partnerships with AMU Leasing and SHFIN are deepening its electric-vehicle and rural lending reach. A new product, Battery Replacement Financing for electric three-wheelers, was launched to address recurring costs for e-rickshaw operators. The company also commenced disbursements under the MSME Loan Against Property (LAP) business, marking a strategic expansion into secured MSME lending. The dealer network has expanded to 1,784 partners, and the branch network now includes 134 locations.

What the Numbers Show

The divergence between the slight decline in total revenue and the robust 36% jump in net profit highlights improved operational efficiency. While interest income grew significantly, other operating income contributed disproportionately more in Q1FY27 (8% of revenue) compared to Q4FY26 (1% of revenue), suggesting better monetization of ancillary services. Despite higher finance costs, the net profit margin expanded to 17.39% in Q1FY27, maintaining stability against the 17.65% margin in Q1FY26. The improvement in NPA ratios alongside AUM growth indicates prudent credit underwriting during the expansion phase. With 40% of new loans extended to new-to-credit borrowers, the company is successfully penetrating underserved segments while maintaining industry-low NPAs.