Manba Finance announced plans to raise ₹100 crore through a preferential share issue by September or October 2026 to support its aggressive asset under management (AUM) expansion. The Mumbai-based non-banking financial company (NBFC) aims for 35% to 40% AUM growth in FY27, driven by diversification into personal loans, top-up loans, and secured MSME lending. This capital infusion addresses the dilution of its capital adequacy ratio (CRAR) from 29.81% in FY25 to 24.40% as of June 30, 2026, ensuring sufficient headroom for scaling operations while maintaining industry-low non-performing assets (NPAs).

The Board of Directors approved the unaudited financial results for Q1FY27 on July 27, 2026, with statutory auditors Krshna & Associates conducting a limited review pursuant to Regulation 33 and Regulation 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company also confirmed compliance with Regulation 54 via a Security Cover Certificate and reported no deviations in the utilization of issue proceeds under Regulation 52(7) and 52(7A). The trading window for designated persons reopened on July 30, 2026.

Financial Performance and Capital Strategy

Net profit after tax (PAT) rose 36% year-on-year to ₹13.26 crore in Q1FY27, supported by a 36% surge in net interest income to ₹42 crore. Total revenue from operations stood at ₹92.61 crore, slightly down from ₹93.41 crore in Q4FY26 but up significantly from ₹67.00 crore in Q1FY26. Disbursements grew 37% year-on-year to ₹2,263 million, reflecting strong demand across vehicle finance portfolios.

Managing Director Manish Shah stated that the upcoming ₹100 crore raise via preference shares is critical to managing the growth pipeline. CFO Jay Mota noted that the average cost of borrowing stands at 10.86%, with funding mix comprising 60% term loans, 25% NCDs, and the remainder in PTC and CC balances. The company maintained healthy liquidity of ₹200 crore as of June 30, 2026, having raised ₹100–150 crore during the quarter.

Strategic Diversification and Expansion

Manba Finance is actively reducing its reliance on two-wheeler loans, which currently account for 84.1% of the portfolio. Management targets reducing this share to 65% within three years by scaling personal loans, top-up loans, used two-wheeler loans, and MSME Loan Against Property (LAP). The MSME LAP segment, recently launched, has already disbursed ₹150 crore with an AUM exceeding ₹100 crore, targeting ticket sizes between ₹8 lakh and ₹20 lakh.

Geographically, the company entered South India through a partnership with Sreesastha (Nammaloan), commencing operations in Karnataka with plans for Tamil Nadu later in FY27. Initial AUM expectations for this vertical are ₹60–75 crore in FY27, with break-even projected in 6–9 months. Additionally, Manba launched battery replacement financing for electric three-wheelers, addressing recurring costs for e-rickshaw operators with a ₹60,000 ticket size product.

What the Numbers Show

The divergence between stable revenue and surging profitability highlights improved operational efficiency, particularly through high-yield product mix shifts. While two-wheeler loans dominate current volumes, the strategic push into personal and top-up loans—where 30% of future lending is expected to carry higher internal rates of return (IRR)—should bolster return on assets (ROA), targeted at 3.5% for FY27. Net interest margins are expected to remain in the 13%–14% range, supported by declining borrowing costs and rising lending yields. The disciplined approach to credit underwriting, evidenced by Gross Stage 3 NPAs improving to 3.41% and an excess provisioning buffer of ₹17.43 crore over IRAC norms, positions the company to scale without compromising asset quality.

Manba Finance has published the audio recording of its earnings conference call held on July 28, 2026, offering investors and analysts direct access to management’s discussion on the company’s unaudited standalone financial performance for the quarter ended June 30, 2026. The release supports transparency by allowing stakeholders to review detailed commentary on revenue trends, profitability metrics, and operational updates for Q1FY27 without relying solely on summarized reports.

The disclosure was made in compliance with Regulation 30 read with Part A of Schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulatory requirement ensures timely dissemination of material information to maintain a level playing field for all market participants. By adhering to these guidelines, Manba Finance reinforces its commitment to corporate governance standards and regulatory compliance.

Accessing the Earnings Call

The audio recording is available on the company’s official website under the financial information section. Investors can listen to the full session to gain insights into the context behind the reported figures for Q1FY27. The availability of this primary source material enables a more comprehensive analysis of the company’s financial health and strategic direction.

Regulatory Compliance and Governance

Bhavisha Jain, Company Secretary and Compliance Officer at Manba Finance, authorized the submission of this notice to both the National Stock Exchange of India Ltd. and BSE Limited. The filing underscores the company’s procedural diligence in communicating with stock exchanges. The notice was timestamped on July 28, 2026, at 16:00:20 +05'30, confirming the promptness of the disclosure following the event.