Sahara Housing Fina Corporation Limited (SHCL), a housing finance company, has reported a net loss of ₹3.36 crore for the quarter ended September 30, 2025 (Q2 FY26). This marks a significant downturn from the profit of ₹10.38 crore recorded in the same quarter of the previous year.

Financial Performance

The company's financial results, which were reviewed and approved by the Board of Directors on November 14, 2025, reveal a challenging quarter despite generating total income of ₹182.54 crore. The primary factor contributing to the loss was the requirement for substantial provisions on loan assets during the quarter.

Here's a breakdown of the key financial metrics for Q2 FY26:

Half-Yearly Performance

For the half-year ended September 30, 2025, SHCL reported:

• Total income of ₹357.68 crore
• Net profit of ₹17.90 crore
• Basic earnings per share (EPS) of ₹0.26

Balance Sheet Highlights

As of September 30, 2025, Sahara Housingfina's balance sheet shows:

• Total assets of ₹7,643.76 crore
• Housing and other loans at ₹5,980.65 crore
• Total equity (including share capital and other equity) of ₹5,257.28 crore

Impairment and Provisions

The company recorded an impairment on financial instruments of ₹25.67 crore for Q2 FY26, compared to a reversal of ₹0.74 crore in Q2 FY25. This significant increase in provisions has adversely impacted the financial results for the quarter.

Conclusion

Sahara Housingfina Corporation's Q2 FY26 results reflect a period of financial stress, primarily due to increased provisioning for loan assets. While this has led to a quarterly loss, it may be part of a strategy to strengthen the company's financial position in the long term. The company's performance in the coming quarters will be crucial in determining how it navigates these challenges and works towards improving its asset quality.

Sahara Housing Fina Corporation Limited (SHCL) has been penalized ₹50,000 by the Reserve Bank of India (RBI) for non-compliance with Know Your Customer (KYC) directions. The penalty, imposed on October 16, 2025, specifically relates to the company's failure to upload loan account details to the Central KYC Records Registry (CKYCR).

Penalty Details

Timeline of Events

• July 11, 2025: SHCL received a show cause notice from RBI
• July 29, 2025: SHCL responded to the show cause notice
• October 16, 2025: RBI's Adjudication Committee issued the speaking order

Company's Response

SHCL stated that it had taken corrective action and completed the required task before receiving the show cause notice on July 11, 2025. The company maintains that the penalty is expected to have no significant impact on its financial, operational, or other activities.

Regulatory Compliance

In its communication to the BSE Limited, SHCL clarified that the penalty falls under the category requiring quarterly disclosure, as per the recent amendments to SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company asserted that it has always strived to comply with all applicable directives and guidelines, both regulatory and statutory.

Impact Assessment

While the penalty amount is relatively small, it underscores the importance of strict adherence to regulatory norms in the financial sector. The incident highlights the ongoing scrutiny that financial institutions face regarding KYC compliance and the potential consequences of non-compliance, even if inadvertent.

As the financial landscape continues to evolve with increasing emphasis on transparency and customer data management, companies like Sahara Housing Fina Corporation will need to ensure robust systems and processes to meet regulatory requirements promptly and effectively.