Poonawalla Fincorp Limited , a leading non-banking financial company (NBFC), has reported a robust financial performance for the second quarter. The company's unaudited financial results for the quarter ended September 30 showcase significant growth and improved profitability.

Key Financial Highlights

• Net Profit: Poonawalla Fincorp recorded a net profit of ₹74.20 crores for Q2, marking a substantial turnaround from a loss of ₹471.04 crores in the same quarter last year.
• Total Income: The company's total income for the quarter stood at ₹1,542.77 crores, up from ₹996.50 crores in Q2 of the previous year, representing a year-on-year growth of approximately 54.8%.
• Interest Income: Interest income saw a significant rise to ₹1,402.23 crores, compared to ₹910.74 crores in the corresponding quarter of the previous year.
• Loan Book Expansion: The company's loan book expanded to ₹43,909.93 crores as of September 30, from ₹32,694.96 crores as of March 31, indicating strong growth in lending activities.

Financial Performance Table

*As of March 31

Operational Highlights

• Improved Asset Quality: The company's gross stage 3 assets stood at 1.59%, indicating a relatively healthy asset quality.
• Capital Raise: During the half-year ended September 30, Poonawalla Fincorp raised ₹1,499.98 crores through a preferential issue to Rising Sun Holdings Private Limited, strengthening its capital base.
• Debt Securities: The company issued commercial papers and non-convertible debentures during the period, which were listed on the Bombay Stock Exchange.

Management Commentary

Arvind Kapil, Director & CEO of Poonawalla Fincorp Limited, stated, "Our Q2 results reflect the company's strong fundamentals and effective growth strategies. The significant improvement in profitability and robust loan book growth demonstrate our ability to capitalize on market opportunities while maintaining asset quality."

Future Outlook

With a strengthened capital base and expanded loan book, Poonawalla Fincorp is well-positioned for sustained growth. The company's focus on maintaining asset quality while pursuing growth opportunities is expected to drive long-term value for stakeholders.

Investors and analysts will be keenly watching the company's performance in the coming quarters to assess the sustainability of this growth trajectory and the impact of its recent capital raise on future expansions.

Poonawalla Fincorp Limited has successfully raised ₹3,002.10 crore through the issuance of non-convertible debentures (NCDs) via private placement. The company allotted 300,000 secured, redeemable, rated, listed NCDs with a face value of ₹100,000 each on October 15, 2025.

Debenture Details

The NCD issuance comprises two series:

Security and Listing

The debentures are secured by a first ranking pari passu charge on hypothecated properties, providing the required security cover. They will be listed on the debt market segment of the BSE Limited.

Default Clause

In the event of a payment delay exceeding three months, Poonawalla Fincorp has committed to pay an additional 2% over the applicable coupon rate until the default is resolved.

Corporate Governance

The allotment was approved by the Finance Committee, as authorized by the Board of Directors, in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This move demonstrates Poonawalla Fincorp's proactive approach to capital management and its ability to tap into debt markets for funding.

This significant fundraising through NCDs indicates Poonawalla Fincorp's strong position in the debt market and investor confidence in the company's financial stability. The successful issuance may provide the company with additional capital for its operations and potential growth initiatives in the coming years.