Capital Trust Limited has announced that its Board of Directors will convene on November 14, 2025, to review and approve the company's unaudited financial results for the third quarter of FY26. The meeting has been scheduled in compliance with Regulation 29 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Meeting Details and Agenda

The board meeting will focus on considering, approving, and taking on record the unaudited financial results for the quarter ended December 31, 2025. The results will be accompanied by a limited review report as per regulatory requirements.

Trading Window Restrictions

In accordance with SEBI Prohibition of Insider Trading Regulations, 2015, and the company's internal code for prevention of insider trading, Capital Trust Limited has implemented a trading window closure for its shares. The restriction period extends from the start of business hours on January 1, 2026, and will remain in effect until 48 hours after the financial results are made public on February 14, 2026.

Corporate Communication

The company has indicated that the board meeting notice will be made available on its official website at www.capitaltrust.in . This ensures transparency and provides stakeholders with easy access to important corporate announcements and updates.

Company Information

Capital Trust Limited operates with its registered office located at 205 Centrum Mall, Sultanpur, M G Road, New Delhi-110030. The company maintains its listing on both major Indian stock exchanges - NSE and BSE - ensuring broad market accessibility for investors and stakeholders.

Capital Trust Limited has received a rating downgrade from CARE Ratings, with its long-term bank facilities revised to BB from BB+ with a stable outlook. The revision reflects the non-banking financial company's weak profitability, deteriorating asset quality, and declining scale of operations in recent periods.

Rating Revision Details

CARE Ratings announced the downgrade on December 16, 2025, affecting the company's long-term bank facilities. The rating agency has also withdrawn its outstanding rating on the non-convertible debenture bearing ISIN number INE707C07064, as the corporation has repaid the bond in full.

Key Performance Challenges

Weak Profitability

The company's financial performance deteriorated significantly in H1 FY26, reporting a net loss of ₹2.60 crores compared to a profit of ₹0.10 crores in FY25. The decline was driven by lower interest income and reduced fee income from business correspondence activities.

Deteriorating Asset Quality

Asset quality has been under significant pressure, with gross NPA ratio rising sharply to 9.40% in September 2025 from 5.90% in FY25 and 1.40% in FY24. The company witnessed fresh NPA additions of ₹10.75 crores in H1 FY26 on an assets under management basis.

Capital Position and Business Developments

Despite the challenges, Capital Trust has taken steps to strengthen its capital position. The company's tangible net worth had declined to ₹0.20 crores as of September 30, 2025, with capital adequacy ratio at 10.00% against regulatory requirements of ₹10.00 crores and 15% respectively.

However, the company raised capital of ₹23.80 crores in November 2025 through a rights issue, with ₹13.81 crores from promoters and the remaining from public subscription. Post this capital infusion, the company's tangible net worth improved to ₹2.60 crores and capital adequacy ratio to 35.70%.

New Business Initiatives

Capital Trust has ventured into the secured lending segment by introducing gold loan products with tenures ranging from 6-12 months. In October 2025, the company achieved early traction with disbursements of ₹0.75 crores in the first month of operations.

The company also entered an agreement with Suryoday Small Finance Bank in October 2025 without first loss default guarantee requirement, which is expected to help improve business volumes gradually.

Operational Scale and Geographic Presence

The company's assets under management have been declining, standing at ₹123.85 crores as of September 30, 2025, compared to ₹725.00 crores as of March 31, 2019. Capital Trust operates across 10 states through 287 branches, serving 47,355 customers, with major presence in Bihar (35% of AUM), Uttar Pradesh (19%), and Odisha (12%).

Outlook and Rating Sensitivity

CARE Ratings maintains a stable outlook, expecting that recent capital raise and management's decision to move towards secured lending will help improve scale and maintain financial stability. Positive rating actions could result from sizeable scaling up of operations while improving asset quality and profitability, while continued deterioration in asset quality or liquidity profile could lead to further downgrades.