L&T Finance has announced its estimate that the company's retail loan book will reach ₹1.12 trillion by the end of Q3 FY2025-26. This projection represents a significant milestone for the financial services company's retail lending operations.

Growth Projection Details

The company has provided this estimate as part of its strategic outlook for the retail lending segment. The projected figure of ₹1.12 trillion indicates L&T Finance's anticipated expansion in its retail loan portfolio over the specified timeframe.

Strategic Focus

This estimate reflects L&T Finance's continued emphasis on growing its retail loan business. The company appears to be positioning itself for substantial growth in the retail lending space, with this projection serving as a key benchmark for its business development strategy.

The announcement provides stakeholders with insight into the company's growth expectations and strategic direction in the retail financial services sector. L&T Finance's estimate demonstrates its commitment to expanding its retail loan portfolio significantly over the projected period.

L&T Finance Limited delivered exceptional financial performance in Q3FY26, with retail disbursements reaching ₹22,690 crores, representing a robust 49% year-on-year growth from ₹15,210 crores in Q3FY25. The company's retail loan book expanded to ₹1.12 trillion by the end of the quarter, demonstrating strong business momentum across multiple segments.

Retail Disbursements Performance

The company demonstrated broad-based growth across all major business segments during Q3FY26:

Urban Finance emerged as the largest contributor with ₹9,670 crores in disbursements, followed by Rural Business Finance at ₹6,740 crores. The company successfully launched Gold Finance as a new business segment, contributing ₹1,400 crores to overall disbursements.

Retail Loan Book Expansion

The retail loan book showed strong expansion, growing to ₹1.12 trillion by December 31, 2025:

This 21% year-on-year growth reflects sustained lending activities and successful customer acquisition across retail segments.

Strategic Focus and Market Performance

L&T Finance improved its retailisation percentage to 98% during Q3FY26, up from 97% in the corresponding quarter last year, further strengthening the company's pivot toward retail-focused operations.

Shares of L&T Finance have delivered exceptional returns in 2025, surging 132% to mark the best annual performance since listing in 2011. The stock is expected to attract significant investor attention following the strong Q3FY26 business update.

Previous Quarter Performance

In Q2FY26, the company posted a net profit of ₹735 crores, up from ₹696 crores year-on-year and 5% higher sequentially. Revenue for the quarter rose 8% year-on-year to ₹4,335 crores, while net interest income grew 10.30% to ₹2,403 crores. The company also reported its highest-ever quarterly retail disbursements at ₹18,883 crores in Q2FY26, marking a 25% increase from the same period last year.

Regulatory Disclosure

The company filed this business update under Regulation 30 with both NSE and BSE. The figures are provisional and estimated in nature, subject to limited review by statutory auditors. This quarterly disclosure demonstrates L&T Finance's commitment to maintaining transparency with stakeholders regarding operational performance and business growth trajectory.