Sangam Finserv has scheduled its 43rd Annual General Meeting (AGM) for Wednesday, September 30, 2026, at 11:00 am. The NBFC reported a 50.6% year-on-year decline in net profit to ₹325.76 lakh for FY26, driven by lower operating revenue and higher finance costs.

Financial Performance

The company’s total revenue from operations stood at ₹1,548.92 lakh for the financial year ended March 31, 2026, down from ₹1,701.48 lakh in the previous year. Interest income decreased to ₹1,666.36 lakh from ₹1,752.93 lakh, while fees and commission income rose to ₹168.37 lakh from ₹106.99 lakh. Net losses on investments at fair value through profit and loss widened to ₹285.81 lakh, compared to ₹158.44 lakh in FY25.

Profit before tax fell to ₹495.61 lakh from ₹920.32 lakh. Finance costs increased significantly to ₹332.18 lakh from ₹239.09 lakh, reflecting higher borrowing levels. Impairment on financial instruments also rose sharply to ₹95.45 lakh from ₹7.43 lakh. After tax expenses of ₹169.85 lakh, the net profit after tax was ₹325.76 lakh, compared to ₹659.72 lakh in the prior year.

Meeting Agenda

The primary business items for the AGM include:

• Receiving, considering, and adopting the Audited Financial Statements for the financial year ended March 31, 2026, along with the reports of the Board of Directors and Auditors.
• Reappointing Mr. Vinod Kumar Sodani as a Director. He retires by rotation and offers himself for reappointment.
• Reappointing M/s O.P. Dad & Co., Chartered Accountants, Bhilwara, as Statutory Auditors for a second term of five consecutive years.

E-Voting Details

The company is facilitating remote e-voting through Central Depository Services (India) Limited (CDSL). Shareholders holding shares as on the cut-off date of September 23, 2026, are eligible to vote.

The remote e-voting window opens on Sunday, September 27, 2026, at 9:00 am and closes on Tuesday, September 29, 2026, at 5:00 pm. The register of members and share transfer books will remain closed from Thursday, September 24, 2026, to Wednesday, September 30, 2026. M/s B K Sharma & Associates, Practicing Company Secretary, Jaipur, has been appointed as the Scrutinizer to oversee the e-voting process.

Director Profile

Mr. Vinod Kumar Sodani, a Chartered Accountant with expertise in audit, accounts, treasury, and corporate finance, seeks reappointment. He attended seven board meetings during FY25-26 and holds no shares in the company.

Sangam Finserv reported a net profit of ₹9.89 crore for the first quarter of FY26 (Q1FY26), a sharp 132% rise compared to ₹4.26 crore in Q1FY25. The company’s total revenue from operations surged 103% year-on-year to ₹14.94 crore, driven largely by non-operating gains rather than core interest income. This performance signals a strong start to the fiscal year, with earnings per share (EPS) more than doubling to ₹2.12 from ₹0.91 in the previous year’s corresponding period.

The Board of Directors approved the unaudited standalone financial results on August 10, 2026. The figures were prepared in accordance with Ind AS 34 and reviewed by the statutory auditors, O P Dad & Co., pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company operates solely in the finance and investment segment, meaning segment reporting under Ind AS 108 is not applicable.

Financial Performance Breakdown

Revenue composition highlights the volatility introduced by fair value adjustments. While interest income remained stable at ₹4.39 crore, a slight increase from ₹4.38 crore in Q1FY25, fees and commission income grew 22% to ₹38.45 lakh. The most significant contributor to the revenue surge was the net gain on fair value changes, which stood at ₹10.17 crore in Q1FY26, compared to ₹26.53 lakh in the same period last year. In contrast, the fourth quarter of FY25 saw a loss of ₹58.17 lakh in this category.

Expenses rose 51% year-on-year to ₹28.37 crore, primarily due to higher finance expenses (₹11.97 crore vs ₹71.04 lakh) and increased impairment on financial instruments (₹26.96 lakh vs ₹10.73 lakh). Employee benefits expense also increased by 17% to ₹71.45 lakh. Despite the rise in costs, profit before tax nearly doubled to ₹12.11 crore.

What the Numbers Show

The dramatic improvement in profitability is heavily skewed toward market-driven gains rather than operational efficiency. The net gain on fair value changes accounted for approximately 68% of total revenue in Q1FY26, compared to just 36% in Q1FY25. This indicates that the company’s bottom line remains sensitive to market fluctuations in its investment portfolio. While interest income—the core business metric—showed negligible growth, the surge in fair value gains masked underlying stability in fee income and interest generation. Investors should monitor whether these fair value gains are sustainable or cyclical in nature.

Tax expenses for the quarter were ₹22.11 crore, comprising current tax of ₹55.49 lakh and deferred tax of ₹165.65 lakh. The effective tax rate appears elevated due to the high proportion of taxable capital gains included in the profit before tax figure. Other comprehensive income remained nil for the quarter.