Tourism Finance Corporation of India Ltd. has filed its quarterly compliance certificate with stock exchanges, fulfilling regulatory requirements under SEBI (Depositories & Participants) Regulations, 2018 for the quarter ended March 31, 2026.

Regulatory Compliance Filing

The company submitted the mandatory certificate under Regulation 74(5) of SEBI regulations on April 7, 2026, to both BSE Ltd. and National Stock Exchange of India Ltd. The certificate was issued by MCS Share Transfer Agents Ltd., the company's Registrar and Transfer Agent, dated April 2, 2026.

Dematerialization Process Confirmation

The certificate confirms that securities received from Depository Participants for dematerialization during Q4FY26 have been properly processed according to regulatory requirements. Tourism Finance Corporation of India verified that all securities received for dematerialization have been listed on stock exchanges where the company's earlier securities are already listed.

Compliance Verification

The company confirmed two key compliance aspects for the quarter:

• All security certificates received for dematerialization were mutilated and cancelled after due verification by the Depository Participant
• Names of the depositories have been substituted in the Register of Members as the registered owner

Company Secretary Sanjay Ahuja digitally signed the compliance filing on April 7, 2026. The certificate serves as confirmation that Tourism Finance Corporation of India maintained proper dematerialization procedures and regulatory compliance throughout Q4FY26.

About the Filing

This quarterly certificate filing is a mandatory requirement under SEBI regulations for listed companies to ensure transparency in dematerialization processes. The filing demonstrates Tourism Finance Corporation of India's adherence to regulatory frameworks governing securities depositories and participant operations.

Tourism Finance Corporation of India Limited has received significant credit rating upgrades from Infomerics Valuation and Ratings Ltd., marking a positive development for the Delhi-based non-banking financial company. The rating agency announced the upgrades on March 24, 2026, covering facilities totaling ₹575.00 crore across multiple instruments.

Credit Rating Upgrades and Assignments

Infomerics upgraded the company's credit ratings across several key facilities, reflecting improved financial performance and asset quality. The rating actions demonstrate strengthened creditworthiness and operational efficiency.

Significant Asset Quality Improvement

The rating upgrade reflects substantial improvement in the company's asset quality metrics during 9MFY26. Gross Non-Performing Assets (GNPA) declined significantly to 0.38% from the peak level of 3.22% as of March 31, 2025. Net Non-Performing Assets (NNPA) improved dramatically to 0% from 1.61% in the previous period.

The company's collection efficiency remained robust at 97.09% for the twelve months ended February 28, 2026. The on-time portfolio performance strengthened to 98.99% as of December 31, 2025, compared to 94.80% as of March 31, 2025, indicating enhanced recovery mechanisms and better portfolio management.

Strong Financial Performance

Tourism Finance Corporation of India demonstrated robust financial performance across key metrics. Net Interest Income (NII) grew to ₹106.69 crore in FY25, supported by healthy interest spreads and efficient cost management. In 9MFY26, NII further strengthened to ₹103.60 crore, aided by higher disbursements and improved spreads.

Profitability showed significant improvement with PAT reaching ₹91.44 crore in 9MFY26, representing 24% year-on-year growth. The performance was supported by robust yields, efficient cost management with cost-to-income ratio remaining low at approximately 18%, and prudent credit practices.

Portfolio Growth and Diversification

The company's Assets Under Management (AUM) showed revival after previous declines, growing from ₹1,589 crore in FY24 to ₹1,694 crore in FY25. Strong momentum continued in 9MFY26 with AUM increasing to ₹2,036 crore, driven by disbursements of ₹938 crore and significantly lower delinquencies.

The loan portfolio maintains diversification across sectors as of December 31, 2025:

• Hotels: 54%
• Real Estate: 16%
• Manufacturing: 11%
• Infrastructure and Social Infrastructure: 6%
• Loans Against Securities: 5%
• NBFC Exposure: 4%
• ARC/Other Exposures: 4%

Robust Capitalization

Tourism Finance Corporation of India maintained strong capital buffers supported by internal accruals. The Capital Risk-weighted Assets Ratio (CRAR) stood at comfortable 58.13% as of 9MFY26, while tangible net worth increased steadily to ₹1,272.85 crore in 9MFY26 from ₹1,216.26 crore in FY25.

Gearing remained within comfortable limits at 0.75x in 9MFY26, with the company maintaining strong liquidity through cash and cash equivalents of ₹86.75 crore as of December 31, 2025. The rating agency noted the company's adequately matched Asset-Liability Management (ALM) profile with no negative cumulative mismatches across various buckets.

Rating Outlook and Future Prospects

Infomerics assigned a 'Stable' outlook reflecting expectations that Tourism Finance Corporation of India will sustain AUM growth over FY26-FY27, supported by its established secured wholesale lending model and diversified portfolio mix. The outlook factors in the company's demonstrated expertise in the hospitality sector alongside calibrated exposure to mid-income real estate and selective lending to manufacturing and NBFC segments.

The rating agency expects continued improvement in asset quality profile and resilient franchise in tourism financing to support steady earnings, healthy spreads, and overall credit stability over the medium term. However, ratings remain constrained by inherent NBFC business model risks, intense competition in lending space, and concentration risks with top 10 borrowers accounting for 44.50% of total portfolio.