Satin Creditcare subsidiary, Satin Finserv Limited, has announced significant changes in its leadership structure along with a substantial rights issue, signaling a new phase of growth for the company.

Leadership Transition

The company has appointed Mr. Pramod Marar as an Additional Director, to be designated as Whole Time Director (Executive Director) and Chief Executive Officer. Mr. Marar, who previously led the Green Finance business, will now oversee the entire business operations of Satin Finserv, including both Green and non-Green finance sectors, as well as SME finance.

This appointment comes in the wake of Mr. Dhiraj Jha's resignation from his position as Whole Time Director and Chief Executive Officer, effective from the close of business hours on November 30, 2025. Mr. Jha cited personal reasons for his departure.

Rights Issue Approval

In a move to strengthen its capital base, Satin Finserv has approved the issuance of 2,08,68,113 equity shares on a rights basis. This decision reflects the company's commitment to growth and its confidence in future prospects.

Outlook

The appointment of Mr. Pramod Marar to lead the entire business operations, coupled with the approval of a substantial rights issue, suggests that Satin Finserv is positioning itself for accelerated growth. The company's focus on both Green and non-Green finance, including SME finance, indicates a diversified approach to market opportunities.

Financial Performance of Satin Creditcare

The leadership changes and rights issue come at a time when Satin Creditcare is showing strong financial growth. Based on the latest balance sheet data:

The company has demonstrated significant growth across key financial metrics, with total assets increasing by 10.51% year-over-year. This robust financial performance provides a strong foundation for the company's strategic moves, including the leadership transition and the planned rights issue.

Note: All financial figures are based on the latest available balance sheet data as of March 2025.

Satin Creditcare Network Limited (SCNL), a leading microfinance institution, has reported a robust financial performance for the second quarter of fiscal year 2026, marking its 17th consecutive quarter of profitability. The company's strategic focus on portfolio diversification and geographic expansion is yielding positive results, as evidenced by its latest financial figures.

Financial Highlights

For Q2 FY26, SCNL reported:

• Consolidated revenue growth of 20.58% year-over-year, reaching ₹793.00 crores
• Net profit after tax (PAT) of ₹53.00 crores, up 18.95% from the previous year
• Net Interest Income (NII) of ₹449.00 crores, a 14.60% increase year-over-year
• Assets Under Management (AUM) of ₹12,687.00 crores, growing 7.99% year-over-year

Portfolio Diversification Strategy

SCNL is actively pursuing a diversified lending portfolio with a target of 15% allocation to non-microfinance institution (non-MFI) products. This strategy aims to balance the company's risk profile and tap into new growth opportunities. The non-MFI portfolio has shown significant progress, increasing from 8% to 15% over the past five years.

Geographic Expansion

The company entered Mizoram in July 2025, strengthening its presence in the Northeast region, which has been one of its most resilient and high-performing areas. During the first half of FY26, SCNL opened 162 new branches across India, bringing its total branch count to 1,713.

Asset Quality and Risk Management

SCNL has maintained a strong focus on asset quality:

• Gross Non-Performing Assets (GNPA) stood at 3.5% as of September 30, 2025
• The company has implemented a Natural Calamity Insurance for incremental disbursements from September 2025
• Rejection rates remained high at 64%, reflecting a tighter credit evaluation framework

Subsidiary Performance

Satin Housing Finance Ltd. (SHFL) and Satin Finserv Ltd. (SFL) have shown promising growth:

• SHFL's AUM grew by 20% year-over-year to ₹1,022.00 crores
• SFL's MSME book grew by 49% year-over-year

Future Outlook

Dr. HP Singh, Chairman cum Managing Director of SCNL, commented on the results: "Our focus on operational discipline and risk management continues to yield tangible results, with profitability and asset quality metrics performing ahead of industry standards. This reinforces the strength of our diversified model and our ability to navigate an evolving environment with agility and confidence."

The company plans to further reduce credit costs, enhance digital and field efficiencies, and deepen customer engagement. With a strong capital base and a capital adequacy ratio of 26.3%, SCNL is well-positioned for sustainable growth.

As SCNL continues to expand its product offerings and geographical reach, it remains committed to its mission of financial inclusion and empowerment, particularly in rural and semi-urban India. The company's strategic initiatives, including the recent launch of Satin Growth Alternatives Ltd. for MSME financing, underscore its commitment to addressing diverse credit needs and promoting inclusive growth in India's financial ecosystem.