Laxmi India Finance Limited (LIFL) has announced the resignation of its Chief Technology Officer (CTO), Siddharth Modi, effective October 14, 2025. The company disclosed this information in a regulatory filing on October 15, 2025, in compliance with SEBI regulations.

Key Details of the Resignation

Regulatory Compliance

LIFL made this disclosure under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company provided the necessary details as required by SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024.

Company's Statement

In his resignation letter, Modi expressed gratitude to the management and Board of Directors of Laxmi India Finance Limited for their support during his tenure. The company acknowledged his contributions and has initiated the process of transition as per standard corporate procedures.

Impact and Next Steps

While the departure of a senior executive like the CTO can potentially impact a company's technological strategy, LIFL has not provided any immediate information regarding a successor or interim arrangements.

The resignation of a key executive often prompts questions about the company's future direction and stability. However, it's important to note that executive changes are a normal part of corporate evolution, and the impact can only be assessed over time.

Investors are advised to monitor any further announcements from the company regarding its technology leadership and strategy going forward.

Laxmi India Finance Limited , a non-banking financial company focused on MSME lending, has released its financial results for the quarter ended June 30, 2025. The company reported a mixed performance, with growth in key metrics but challenges in asset quality.

Financial Highlights

• Profit After Tax (PAT): Increased by 45.77% year-on-year to ₹9.65 crores
• Assets Under Management (AUM): Grew by 29.99% to ₹1,346.00 crores
• Net Interest Margin (NIM): Stood at 9.66%
• Gross Non-Performing Assets (GNPA): Increased to 1.28%
• Net Non-Performing Assets (NNPA): Rose to 0.67%

Performance Analysis

Despite the growth in AUM and profitability, Laxmi India Finance faced challenges in the quarter. The company experienced a decline in net interest income due to a 10-15 basis points increase in NPAs. This increase in NPAs was attributed to stress in commercial vehicle and MSME loan segments, reflecting broader economic pressures.

Deepak Baid, Managing Director of Laxmi India Finance, commented on the results, stating, "We have seen a little bit of increase in NPAs, which has impacted our top line. However, with our strong security backing and focused collection efforts, we are confident of improving these numbers in the coming quarters."

Business Focus and Strategy

Laxmi India Finance primarily caters to MSME customers, with an average ticket size of ₹6.50 lakhs. The company maintains a strong focus on secured lending, with 98% of its book secured by collateral or vehicles. Key product segments include:

1. MSME loans (76% of portfolio)
2. Construction loans (6%)
3. Vehicle loans

The company operates across five states: Rajasthan, Gujarat, Madhya Pradesh, Chhattisgarh, and Uttar Pradesh, with a network of 159 branches.

Future Outlook

Despite the current challenges, Laxmi India Finance has outlined ambitious growth plans:

• AUM Growth Target: 35-40% annual growth
• Branch Expansion: Plans to open 30-35 new branches in FY26
• Geographical Expansion: Aims to enter one new state in FY26
• Long-term Goal: Reach ₹5,000.00-6,000.00 crores AUM in 3-5 years

The company also expects its credit costs to remain between 1.13-1.17% in FY26.

Recent IPO and Capital Utilization

Laxmi India Finance recently completed its Initial Public Offering (IPO), raising ₹165.00 crores. This capital infusion is expected to provide 4-5 months of liquidity for the company's operations and support its growth plans.

Gopal Krishan Sain, Chief Financial Officer, added, "The IPO proceeds will help us expand our branch network, enhance our geographical presence, and potentially explore business acquisitions. We anticipate this will lead to improved financial ratios and lower borrowing costs."

Conclusion

While Laxmi India Finance faces short-term challenges in asset quality, the company remains optimistic about its growth trajectory. With a focus on secured lending, technological advancements in underwriting and collections, and strategic expansion plans, the company aims to navigate the current economic environment and capitalize on the growing demand for MSME finance in India's Tier 2 and Tier 3 cities.