IndoStar Capital Finance Limited has announced a key senior management appointment, naming Mr. Amandeep Singh Sandhu as Chief Operating Officer - Vehicle Finance, effective December 15, 2025. The company disclosed this appointment under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Appointment Details

The appointment details are outlined in the following table:

Professional Background

Mr. Sandhu brings extensive experience to his new role, with a 25-year career in the Banking, Financial Services, and Insurance (BFSI) sector. His professional credentials include managing portfolios exceeding ₹22,000.00 crores and leading teams of 1,200 employees across multiple zones.

Key Expertise Areas

Sandhu's expertise spans several critical areas of financial services:

• Revenue growth management and P&L ownership
• Receivables management and collection strategies
• Market-aligned product development and launch
• High-performing team building and leadership
• Industry-leading delinquency reduction initiatives
• OEM dealer partnership strengthening

His track record demonstrates consistent achievement in surpassing sales and collection targets while executing transformational business strategies.

Career History

Prior to joining IndoStar Capital Finance Limited, Mr. Sandhu served as Executive Vice President at Cholamandalam Investment and Finance Company Ltd. His career journey also includes positions at several prominent financial institutions:

• HDFC Bank Ltd
• The Tractor Station
• Mahindra Financial Services Limited

Regulatory Compliance

The appointment was formally communicated to both the National Stock Exchange of India Limited and BSE Limited, ensuring compliance with listing regulations. The company has fulfilled its disclosure obligations under Regulation 30 read with Schedule III of the Listing Regulations, as amended, along with SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.

IndoStar Capital Finance Limited , a retail-focused non-banking financial company (NBFC), has reported an 8% sequential growth in quarterly disbursements, signaling positive momentum in its core business segments. The company's strategic shift towards retail lending and its focus on vehicle finance and micro LAP (Loan Against Property) businesses are showing promising results.

Key Financial Highlights

• Disbursements: Rs. 927.00 crores, up 8% from Rs. 858.00 crores in the previous quarter
• Net Interest Income: Rs. 190.00 crores, marking a 15.7% year-on-year increase
• Net Interest Margin: Improved to 7.6% from 5.6% year-on-year
• Net Profit: Rs. 10.40 crores, compared to Rs. 18.00 crores in the same quarter of the previous year
• Assets Under Management: Rs. 7,564.00 crores

Asset Quality and Capital Position

IndoStar Capital Finance has made significant strides in improving its asset quality:

• Gross Stage-III Assets: 3.04%
• Net Stage-III Assets: 1.13%
• Capital Adequacy Ratio: 37.3%
• Debt-to-Equity Ratio: 1.4x

The company completed the sale of stressed assets worth Rs. 309.60 crores to an Asset Reconstruction Company (ARC) for Rs. 220.30 crores, demonstrating its commitment to portfolio quality improvement.

Strategic Transformation and Business Focus

IndoStar Capital Finance has successfully transformed from a corporate lending-focused NBFC to a retail-centric one. Key developments include:

• Vehicle Finance: Remains a core growth engine with improving collections and deepened customer relationships
• Micro LAP Business: Expanding from Tamil Nadu to Andhra Pradesh, with plans to enter 3-4 states
• Housing Finance: Sold its wholly-owned housing finance subsidiary to streamline operations

Operational Improvements

• Collection Efficiency: Approximately 92%
• Cost of Borrowing: Declined to 10.2% from 10.8% year-on-year
• Digital Initiatives: Scaled up customer self-service through the Indo Mitra app and other digital tools

Management Outlook

The management expects disbursements to pick up in the second half of the fiscal year, historically 1.4-1.5 times the first half levels. The company plans to maintain a balanced approach to growth, profitability, and asset quality.

Analyst Conference Call Insights

During the earnings conference call, the management highlighted:

• The company's focus on quality growth in vehicle finance and micro LAP segments
• Plans to expand the micro LAP business to 3-4 states using the existing vehicle finance branch network
• Efforts to improve cost of funds, with incremental borrowing costs now around 9%-9.25%

IndoStar Capital Finance's strategic shift towards retail lending, coupled with its focus on asset quality and operational efficiency, positions it well for sustainable growth in the evolving NBFC landscape. The company's strong capital position and improving funding profile provide a solid foundation for its expansion plans in the vehicle finance and micro LAP segments.