SBFC Finance reported a net profit of ₹1,301.23 million for the quarter ended June 30, 2026, up 28.97% year-on-year from ₹1,008.92 million in Q1FY25. The growth was driven by a 26.52% rise in total income from operations to ₹4,914.64 million, compared to ₹3,884.36 million in the previous year’s corresponding quarter. This performance underscores the company’s ability to scale earnings despite a substantial increase in its debt burden.

The results were approved by the Board of Directors at a meeting held on July 25, 2026, and reviewed by the Audit Committee. The financials are unaudited and subject to limited review by the Statutory Auditors. The company filed these results with the National Stock Exchange of India Limited and BSE Limited pursuant to Regulation 33 and Regulation 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Highlights

On a quarterly basis, net profit after tax rose 6.00% to ₹1,301.23 million from ₹1,227.67 million in Q4FY26. Total comprehensive income for the period stood at ₹1,380.87 million, an increase from ₹1,190.09 million in the preceding quarter.

Balance Sheet and Capital Structure

The company’s net worth increased to ₹38,731.77 million as of June 30, 2026, from ₹37,251.52 million at the end of FY26. Paid-up equity share capital rose slightly to ₹11,065.97 million from ₹11,057.04 million. However, outstanding debt capital surged to ₹88,577.71 million, up from ₹71,617.13 million in March 2026 and significantly higher than ₹57,229.45 million a year ago.

Consequently, the debt-equity ratio expanded to 2.29 from 1.92 at the end of FY26 and 1.73 in June 2025. The total debts to total assets ratio also ticked up to 0.68 from 0.65 in the previous quarter and year-end.

What the Numbers Show

The divergence between revenue growth and debt expansion warrants attention. While operating income grew by 26.52% year-on-year, outstanding debt capital increased by approximately 54.8% over the same period. This suggests that SBFC Finance is aggressively funding its loan book growth through external borrowing rather than retained earnings or equity issuance. Although profitability metrics like net profit margin remained stable at 26.47% (compared to 25.97% in Q1FY25), the rising leverage ratio indicates increased financial risk that investors should monitor in subsequent quarters.

SBFC Finance Limited has uploaded the audio recording of its earnings conference call for the quarter ended June 30, 2026 (Q1FY27), to its official website. The call, which was held on July 25, 2026, provides stakeholders with a detailed review of the company’s financial performance and operational highlights for the period.

The recording is accessible under the 'Investor Presentation – Audio Recordings' section at https://www.sbfc.com/investors . A direct link to the audio file is also provided: https://www.sbfc.com/investors/2026/Q1-FY27-Concall-Audio.mp3 . This disclosure is made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Conference Call Recap

The earnings call was conducted on July 25, 2026, starting at 05:00 PM IST. The session was led by senior management, including:

• Aseem Dhru, Executive Vice Chairman
• Mahesh Dayani, Managing Director & CEO
• Sanket Agrawal, Chief Financial Officer
• Rajiv Thakker, Chief Risk Officer

Participants could join via universal access numbers coordinated by ICICI Securities. The discussion covered the company’s Q1FY27 results, allowing investors and analysts to seek clarity on financial figures and strategic updates.

Access Details

For reference, the access numbers used during the live event are listed below:

Next Steps

The company stated that the transcript of the earnings conference call will be uploaded on its website and submitted to the stock exchanges in due course. Investors seeking further information regarding the results or the conference call can contact Sanket Agrawal, Chief Financial Officer, at sanket.agrawal@sbfc.com .