Poonawalla Fincorp Limited reported a 21% rise in net profit to ₹307.71 crore for the quarter ended June 30, 2026, compared to ₹254.79 crore in the quarter ended March 31, 2026. Total income for the quarter stood at ₹2,336.92 crore, a rise from ₹2,120.39 crore in the preceding quarter, driven primarily by interest income which grew to ₹2,118.40 crore. The net profit for the corresponding quarter in the previous year was ₹62.60 crore.

Financial Performance

The company's total revenue from operations increased to ₹2,330.22 crore in Q1FY27 from ₹2,115.49 crore in Q4FY26. Total expenses for the quarter were reported at ₹1,925.66 crore, up from ₹1,779.32 crore in the previous quarter. Profit before tax for the period was ₹411.26 crore, compared to ₹341.07 crore in the prior quarter.

Key Metrics and Ratios

The basic earnings per share (EPS) for the quarter stood at ₹3.55, compared to ₹3.15 in the previous quarter. The diluted EPS was ₹3.54. The net worth of the company stood at ₹13,060.07 crore on a standalone basis. The debt-equity ratio was reported at 3.82, while the net margin for the quarter was 13.17%.

Capital Raising and Allotments

During the quarter, the company completed a Qualified Institutions Placement (QIP) on April 13, 2026, issuing 67,430,883 fully paid-up equity shares with a face value of ₹2 each at an issue price of ₹370.75 per share, aggregating to ₹2,500.00 crore. Additionally, the company allotted 250,147 fully paid-up equity shares to eligible employees under various employee stock option plans. The company also issued commercial papers and non-convertible debentures listed on the BSE Limited.

Asset Quality and Disclosures

The gross stage 3 assets were reported at 1.37%, while the net stage 3 assets stood at 0.70%. The company transferred 15,883 loan accounts aggregating ₹1,000.34 crore through assignment during the quarter. Stressed loans transferred to Asset Reconstruction Companies (ARCs) amounted to ₹118.91 crore in principal outstanding. The joint statutory auditors, M S K A & Associates LLP and Kirtane & Pandit LLP, issued a limited review report with an unmodified conclusion on the financial results.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE511C01022/85715bc485284910.pdf

Poonawalla Fincorp Limited reported a consolidated net profit of ₹3.1b for Q1FY27, a sharp rise compared to ₹626m in the same quarter of the previous year. Revenue for the quarter stood at ₹23.3b, up significantly from ₹13.14b in the year-ago period. On a sequential basis, profit after tax (PAT) rose 20.8% to ₹308 crore from ₹255 crore in Q4FY26. The non-deposit taking systemically important NBFC achieved an Assets Under Management (AUM) of ₹67,054 crore, with Return on Assets (RoA) strengthening to 1.98% from 1.81% in Q4FY26. The audio recording of the earnings conference call held on July 17, 2026, is available on the company's website.

Financial Performance

Net Interest Income (NII), inclusive of fees and other income, grew by 10.9% quarter-on-quarter to ₹1,415 crore. The Net Interest Margin (NIM) improved by 5 basis points to 9.10% in Q1FY27 compared to 9.05% in Q4FY26. Pre-Provision Operating Profit (PPoP) stood at ₹785 crore, up 12.9% QoQ. The secured to unsecured on-book mix was reported at 53:47. The following table summarises key financial metrics across periods:

Asset Quality and Capital Adequacy

Asset quality showed improvement both on a sequential and year-on-year basis. Gross NPA (GNPA) stood at 1.37% in Q1FY27, compared to 1.84% in the previous quarter (QoQ), while Net NPA (NNPA) improved to 0.70% from 0.85% QoQ. Stage 1 assets constituted 97.6% of on-book assets. The credit cost as a percentage of average AUM stood at 2.40% in Q1FY27, down from 2.51% in the previous quarter. The Capital Adequacy Ratio was robust at 19.46%, with Tier-1 capital at 18.37%, well above the regulatory requirement of 15%. The liquidity buffer stood at ₹4,012 crore as of June 30, 2026.

Operational Metrics

The cost of borrowing for the quarter was 7.72%, 9 basis points higher than Q4FY26. Poonawalla Fincorp continued to advance its technological capabilities by adding 25 new AI projects, bringing the total count to 101, of which 50 have been successfully implemented.