Poonawalla Fincorp Limited 's Board of Directors convened a meeting on May 5, 2026, and approved the audited standalone and consolidated financial results for the quarter and financial year ended March 31, 2026. The company, a non-deposit taking systemically important NBFC focusing on consumer and MSME finance, reported a total income of ₹6,795.65 crores for FY26, reversing a loss of ₹98.34 crores in the previous year to post a net profit of ₹541.81 crores. The basic earnings per share (EPS) for the year stood at ₹6.84. For the quarter ended March 31, 2026, net profit rose sharply to ₹254.79 crores from ₹62.33 crores in Q4 FY25, while revenue grew to ₹2,120.39 crores from ₹1,173.31 crores over the same period. Pursuant to Regulation 30 and 47 of the SEBI Listing Regulations, the company also published newspaper advertisements of its audited financial results in The Financial Express (English) and Loksatta (Marathi) on May 06, 2026.

Financial Performance for FY26

The Board approved the audited financial results prepared in accordance with the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. For the financial year ended March 31, 2026, the company reported a total income of ₹6,795.65 crores and a net profit of ₹541.81 crores, compared to a net loss of ₹98.34 crores in FY25.

The following table summarises the key consolidated financial figures for the year ended March 31, 2026:

Quarterly Performance and Key Metrics

For the quarter ended March 31, 2026, the company reported total income of ₹2,120.39 crores and a net profit of ₹254.79 crores. Assets Under Management (AUM) stood at ₹60,348 crore, reflecting growth of 69.4% YoY and 9.7% QoQ, with a secured-to-unsecured on-book mix of 54:46. New products contributed 14% to AUM and 24% to total disbursements during the quarter. Net Interest Income (NII), including fees and other income, grew by 78.5% YoY to ₹1,276 crore. On a full year basis for FY26, NII including fees and other income stood at ₹4,029 crores, a growth of 49% YoY from ₹2,708 crores. Net Interest Margin (NIM) improved to 9.05% in Q4 FY26 from 8.62% in Q3 FY26, an improvement of 43 bps QoQ. Pre-Provision Operating Profit (PPoP) stood at ₹695 crore, up 108.7% YoY and 31.6% QoQ. For the full year of FY26, PPoP stood at ₹1,934 crores, a growth of 36% from ₹1,417 crores. Return on Assets (RoA) improved to 1.81% for Q4 FY26. The Cost-to-Income ratio improved to 45.6% QoQ, while Opex-to-AUM improved to 4.13% QoQ, a reduction of 28 bps QoQ and down from 4.76% in Q4 FY25.

The company maintained stable asset quality, with Gross Non-Performing Assets (GNPA) at 1.44% — 7 bps lower QoQ and 40 bps lower YoY — and Net Non-Performing Assets (NNPA) at 0.74% in Q4 FY26. Provision Coverage Ratio (PCR) stood at 49%. Credit cost as a percentage of average AUM stood at 2.51% in Q4 FY26, compared to 2.62% in Q3 FY26 and 3.14% in Q4 FY25. The 6MoB30+ book delinquency declined by 30 basis points to 1.05% in Q4 FY26 from 1.3% in Q3 FY26. Stage 1 Assets stood at 97.5% of on-book assets, compared to 96.3% in Q4 FY25. Stage 2 composition improved to 1.1% in Q4 FY26 from 1.85% in Q4 FY25. The liquidity buffer stood at ₹7,590 crore as of March 31, 2026, and the cost of borrowing was at 7.63% for the quarter, 2 bps lower than Q3 FY26. The company also expanded its Gold loan branches to 400 during the quarter to further strengthen distribution reach.

The Capital Adequacy Ratio (CAR) stood at 16.83% (Tier-1 at 15.90%) as on March 31, 2026, well above the regulatory requirement of 15%. Following the successful ₹2,500 crore capital raise through QIP, the simulated capital adequacy ratio is 20.74% on the basis of the March 2026 balance sheet. The proforma debt-to-equity ratio post capital raise would stand at 3.78x on the basis of the March 2026 balance sheet. Additionally, 19 new AI projects were added during the quarter, bringing the total to 76 AI projects, of which 42 have been successfully implemented.

Balance Sheet Highlights

As at March 31, 2026, the company's consolidated total assets stood at ₹60,271.56 crores, compared to ₹34,944.66 crores as at March 31, 2025. The loan book expanded significantly to ₹55,951.49 crores from ₹32,694.96 crores. Total equity stood at ₹10,348.24 crores versus ₹8,174.66 crores in the prior year.

Capital Transactions and Borrowings

During the year ended March 31, 2026, the company allotted 1,655,156 equity shares to eligible employees under ESOPs. It also allotted 33,148,102 fully paid-up equity shares at ₹452.51 per share to Rising Sun Holdings Private Limited, aggregating to ₹1,499.98 crores. Subsequent to the balance sheet date, the company completed a Qualified Institutions Placement (QIP) on April 13, 2026, issuing 67,430,883 equity shares at ₹370.75 per share, aggregating to ₹2,500.00 crores. The company's outstanding long-term borrowings at the start of the financial year stood at ₹14,227 crores, with incremental qualified borrowings of ₹28,555 crores during the year, resulting in outstanding long-term borrowings of ₹38,351 crores at year-end. Borrowings by way of issuance of debt securities during the year stood at ₹13,830 crores. The company holds the highest credit rating of AAA/Stable for its borrowings.

Product Portfolio Overview

As of March 31, 2026, Poonawalla Fincorp operates a well-diversified product portfolio spanning both new and existing products. Among new products, Loan Against Property (LAP) led with an AUM of ₹16,935 crore (28% of AUM), followed by Business Loan at ₹7,303 crore (12%), Mid-Market lending at ₹9,245 crore (15%), and Instant Consumer Loan at ₹11,197 crore (19%). Among newer product launches, Prime Personal Loan stood at ₹4,802 crore (8%), Commercial Vehicle Loan at ₹939 crore (2%), Gold Loan at ₹1,299 crore (2%), Education Loan at ₹876 crore (1%), Pre-owned Car Loan at ₹5,392 crore (9%), and Consumer Durable Loan at ₹382 crore (1%).

Management Commentary

Commenting on the results during the Q4FY26 Earnings Conference Call held on May 05, 2026, Mr. Arvind Kapil, Managing Director and CEO, Poonawalla Fincorp, said, "We have reached a pivotal inflection point in our growth trajectory. By simultaneously expanding our yields and optimizing our operating architecture, we are seeing a powerful expansion in incremental NIMs. With credit costs trending lower and Opex-to-AUM decoupling, the business is now primed for high-quality, sustained profitability. Even as this operating leverage kicks in, we remain committed to strategic investments this fiscal year, ensuring our current momentum translates into a long-term, healthy, and durable earnings model."

On the NIM trajectory, Mr. Kapil noted that the company had guided in its Q1FY26 call to restore 9% NIM levels in three to four quarters, and achieved the same in three quarters. He highlighted that disbursement yield had already gone up by 40 basis points, underscoring the successful integration of new product verticals and digital businesses. On the RoA of 1.81%, he described it as a new baseline and the company's North Star metric, adding that the 70% sequential growth in PAT to ₹255 crores reflects a clear trajectory in profitability. Mr. Kapil also elaborated on the company's dual-engine strategy — one focused on operational fortification through technology and collections, and the other on market expansion through gold branches and consumer durable segments.

Mr. Sunil Samdani, Executive Director, highlighted that the share of borrowings from long-term sources increased from 83.42% to 86.50% QoQ, compared to 61% in Q4 FY25, reflecting the company's focus on diversifying and strengthening its liability book. He also noted that the liquidity coverage ratio stood at 181%.

Mr. Shriram Iyer, Chief Credit and Analytics Officer, elaborated on asset quality improvements, noting that Stage 1 composition improved to 97.5% in Q4 FY26 from 96.3% in Q4 FY25, Stage 2 improved to 1.1% from 1.85%, and Stage 3 improved to 1.44% from 1.84%. He highlighted that the 12MOB90+ for cohorts originated post September 2024 has seen an improvement of over 50% compared to cohorts originated 12 months prior to September 2024, reinforcing the structural strength of the portfolio.

Mr. Harsh Kumar, Head Artificial Intelligence and Chief Human Resources Officer, noted that enterprise-wide AI token consumption has increased more than 100x year-on-year, now standing at approximately 30+ million tokens per month. He highlighted key AI platforms including BuildBuddy (engineering copilot enabling 70%–80% productivity uplift), DARTGenie (saving approximately 400 man hours annually), and PAI@HR (autonomously resolving close to 90% of HR queries with resolution time compressed from 24 hours to under 10 seconds). He also announced the launch of an AI content factory in March 2026, which witnessed a 12x increase in communication output within a few weeks.

No Dividend Declared

In view of the company's future growth plans, the Board of Directors decided to conserve capital. Consequently, no dividend was declared for the financial year 2025-26.

46th Annual General Meeting and Auditor Change

The company has approved the convening of its 46th Annual General Meeting (AGM) on Friday, July 24, 2026. The Board approved the appointment of B. K. Khare & Co., Chartered Accountants, as the new Joint Statutory Auditor from the conclusion of the 46th AGM until the conclusion of the 49th AGM. The term of Kirtane & Pandit LLP, Chartered Accountants, as the existing Joint Statutory Auditor, will complete upon the conclusion of the 46th AGM, in compliance with RBI Guidelines dated April 27, 2021, for appointment of statutory auditors of NBFCs.

Earnings Conference Call Transcript and Recording

Pursuant to Regulation 30 and Regulation 46(2)(oa) of the SEBI Listing Regulations, Poonawalla Fincorp has informed the stock exchanges that the audio recording of its Q4FY26 Earnings Conference Call, held on May 05, 2026, has been made available on the company's website. Subsequently, on May 11, 2026, the company also provided the link to the full transcript of the Q4FY26 Earnings Conference Call to the stock exchanges, accessible at the company's website. The investor/analyst presentation for the quarter and year ended March 31, 2026 has also been made available on the company's website in accordance with Regulation 46 of the SEBI Listing Regulations. The intimation was signed by Shabnum Zaman, Company Secretary (ACS: 13918).

The Board of Directors of Poonawalla Fincorp , at its meeting held on May 5, 2026, designated six senior executives as Senior Management Personnel, effective from the same date. The decision was taken based on the recommendation of the Nomination and Remuneration Committee and was disclosed to the stock exchanges pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board meeting commenced at 2:00 P.M. and concluded at 4:00 P.M.

Six Executives Elevated to Senior Management

The designations cover a broad range of business functions, reflecting changes in the company's organisational hierarchy. The following table provides an overview of the six newly designated Senior Management Personnel:

Profiles of Designated Senior Management Personnel

The company disclosed brief profiles and educational qualifications of each designated personnel as required under SEBI regulations. The following section details the background of each individual.

Mrs. Rano Verma — Head, Customer Service & Strategic Initiatives

• Experience: 31+ years
• Education: PGDM, Fore School of Management
• Profile: A leading debt market professional and pioneer in innovative debt restructuring. Ranked among the Top 40 Women in Indian Debt Markets. She leads Debt Syndication at the company, driving strategic funding and investor engagement. She champions process excellence, tech-led solutions, and customer-first innovation.

Mr. Ganesh Vasudeo Iyer — Business Head, Commercial Vehicle

• Experience: 28+ years
• Education: Bachelor of Commerce, Diploma in Computer Application from Nagpur University
• Profile: Expert in scaling retail lending, P&L management, and growth strategy. His expertise spans sales, product development, and fraud and risk management.

Mr. Suresh Pohuja — Business Head, Personal Loans

• Experience: 23+ years
• Education: PGPMS from KJ Somaiya College
• Profile: Previously held leadership roles at HDFC Bank, DHFL, and ZipLoan, driving growth across retail lending. Has successfully built businesses and created robust distribution engines.

Mr. Faisal Ikbal Sara — Business Head, Education Loan

• Experience: 33+ years
• Education: EP – XIM, JBIMS; Leadership programs from Wharton and IIMA
• Profile: A senior leader with experience at top Indian banks, having managed ₹1 lakh crore AUM. Has managed large P&Ls, multi-geography teams, and has an excellent track record in building profitable businesses.

Mr. Siddhartha Gupta — Head, Marketing, Digital, Analytics and Transformation

• Experience: 15+ years
• Education: PGDM (MBA) from IIM Ahmedabad; BE in Electronics from Sardar Patel College of Engineering (SPCE), Mumbai University
• Profile: As a McKinsey partner, he led several transformation programs with banks, NBFCs, and financial institutions across digital marketing and personalisation, digital and AI transformations across sales, risk and collections, and formulation of business strategy.

Mr. Ashish Gupta — Business Head, Consumer Durable, Gold Loan and Instant Loan

• Experience: 25+ years
• Education: CA – ICAI
• Profile: Led large product and alternate channel business in retail lending. Oversees gold, consumer durable, instant loans, and digital channels.

Regulatory Disclosure

The company made this disclosure in compliance with Regulation 30 read with Schedule III of the SEBI Listing Regulations, along with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. The company also noted that an Investor Presentation was being sent separately and would subsequently be uploaded on its website. The intimation was signed by Shabnum Zaman, Company Secretary (ACS-13918), on behalf of Poonawalla Fincorp.