Piramal Finance Limited (formerly known as Piramal Capital & Housing Finance Limited) has filed its investor presentation with the stock exchanges, outlining its financial performance for FY26 and strategic outlook for FY27. The company reported a strong finish to the fiscal year, with consolidated net profit rising 210% year-on-year (YoY) to ₹1,506 Cr. Total Assets Under Management (AUM) crossed the ₹1,00,000 Cr milestone, reaching ₹1,01,230 Cr, a 25% YoY increase driven by the Growth AUM segment.

Upcoming Investor Conferences

Piramal Finance is scheduled to engage with investors at Citi’s 2026 India Conference in Mumbai on 4th June 2026. This follows the company's participation in the Macquarie Asia Conference 2026 in Hong Kong and Citi's 2026 Pan-Asia Conference in Singapore earlier in May.

FY26 Business Snapshot

The company's key balance sheet and capital metrics as of Q4 FY26 reflect robust growth and stability. Net Worth stood at ₹28,191 Cr, with a Capital Adequacy ratio of 19.8% and an AUM to Equity multiple of 3.6x. Asset quality remained controlled, with a Gross NPA (GNPA) of 2.3% and Net NPA (NNPA) of 1.6%. Growth AUM has expanded at a 45% CAGR since March 2022, while Legacy AUM has declined at a 50% CAGR over the same period.

Q4 and Full-Year FY26 Financial Performance

The company met all its stated FY26 targets, including a Growth Profit Before Tax (PBT) of ₹1,560 Cr. Consolidated Net Interest Income (NII) for the full year grew 32% YoY to ₹4,731 Cr, while Pre-Provision Operating Profit (PPOP) increased 45% YoY to ₹2,294 Cr.

Q4 FY26 also witnessed pivotal credit rating upgrades. Domestic agencies CRISIL, ICRA, and CARE upgraded the company to AA+ / Stable, while international agency S&P upgraded it to BB from BB-. Moody's revised its outlook to Positive from Stable at Ba3.

Retail Business Performance

The retail segment demonstrated strong growth, with retail AUM rising 33% YoY to ₹64,652 Cr and disbursements growing 34% YoY. The total customer franchise expanded 22% YoY to 5.7 million customers. The branch network spans 701 branches across 26 states, with plans to open around 180 new branches in FY27. Asset quality improved across all products in Q4 FY26.

Piramal.ai — AI-Driven Growth

The deployment of Generative AI (Gen-AI) grew more than 3x in FY26 across underwriting, growth, customer experience, productivity, and operations. Notable achievements include monthly collections through hands-free collections growing from ₹84 Cr in Q1 FY26 to ₹834 Cr in Q4 FY26, and fraud decisioning AI engine alerts scaling from 9,51,599 cases to 19,02,711 cases in the same period.

FY27 Outlook

Building on FY26 momentum, Piramal Finance has set its targets for FY27. The company aims for approximately 25% growth in Total AUM and around 50% growth in Consolidated PAT. The Return on AUM (RoAUM) is targeted to reach approximately 2.5%. The medium-term blueprint targets 2x AUM in approximately 3 years (by March 2028), with a RoAUM exceeding 3%.

Piramal Finance reported a total Assets Under Management (AUM) of ₹1,01,230 Cr for the financial year 2026, successfully completing its AUM mix transition and crossing the ₹1,00,000 Cr milestone. The company has set a target of approximately 25% AUM growth for FY27, alongside a goal to grow its consolidated Profit After Tax (PAT) by around 50%. This strategic outlook follows a year where the lender met all its FY26 targets, including a Growth PBT of ₹1,560 Cr.

The financial performance for FY26 was robust, with the consolidated net profit surging 210% year-on-year to ₹1,506 Cr, up from ₹485 Cr in the previous year. In the fourth quarter of FY26, the net profit stood at ₹502 Cr, a significant increase from ₹102 Cr in the corresponding quarter of the previous year. The company’s retail business played a pivotal role in this growth, with retail AUM increasing 33% year-on-year to ₹64,652 Cr and disbursements rising 34% year-on-year.

Business Performance and Asset Quality

Piramal Finance’s growth business, comprising retail and Wholesale 2.0 segments, now drives the consolidated financials. The Wholesale 2.0 segment focuses on underpenetrated real estate and corporate mid-market lending, contributing to a diversified and granular book. The Legacy (discontinued) business has been reduced to less than 3% of the total AUM. Asset quality remained stable, with Gross Non-Performing Assets (GNPA) at 2.3% and Net Non-Performing Assets (NNPA) at 1.6%. The capital adequacy ratio stood strong at 19.8%.

Operational Efficiency and Technology

The company has leveraged technology to enhance operational efficiency, with the use of Generative AI (Piramal.ai) growing more than 3x in FY26. AI applications spanned five key business areas: underwriting, growth, customer experience, productivity, and building capabilities. For instance, hands-free collections via AI reached ₹834 Cr monthly in Q4 FY26, up from ₹84 Cr in Q1 FY26. Additionally, the company reduced its operating expense-to-AUM ratio by approximately 290 basis points over the last 12 months, positioning it among the fastest-growing retail NBFCs in terms of AUM expansion while simultaneously improving efficiency.

FY26 Financial Highlights

The following table summarizes the key financial metrics for Piramal Finance for FY26 and Q4 FY26:

Note: Net profit figures include exceptional items such as gains from Shriram and Imaging, as well as merger-related expenses.