• The document is a transcript of the Q1 FY27 Earnings Conference Call held on Thursday, July 30, 2026, at 12:00 noon IST, pertaining to the unaudited Financial Results for the quarter ended June 30, 2026.
  • The event was an earnings conference call hosted by MUFG InTime Private Limited to discuss the quarter's performance. Management participants included Mr. Randhir Singh (Managing Director and Executive Vice Chairman) and Mr. Jayesh Jain (Chief Financial Officer).
  • The stated purpose was to discuss quarterly results and provide strategic updates. The meeting was held after earnings announcement, with the transcript being submitted to exchanges on August 05, 2026.
  • The transcript is available on the company's website at www.indostarcapital.com. No indication was provided about presentation decks or recordings being made available.
  • The company included standard forward-looking statement disclaimer but did not explicitly state that no unpublished price sensitive information (UPSI) would be shared.

Financial Highlights and Strategic Updates

Operating Performance:

  • Retail disbursements: INR1,235 crores (up 44% YoY from INR858 crores, down from INR1,306 crores QoQ)
  • Vehicle finance disbursements: INR1,185 crores (up 43% YoY from INR831 crores)
  • Micro LAP disbursements: INR50 crores (up 85% YoY from INR27 crores)
  • AUM: INR8,244 crores (up 2% sequentially, 6% YoY)
  • Vehicle finance AUM: INR7,724 crores
  • Micro LAP AUM: INR217 crores (up 24% sequentially, nearly 3x YoY)

Asset Quality Improvements:

  • Early delinquency ratio: 2.29% (vs 5.55% in Q1 FY26)
  • Non-starter ratio: 1.65% (vs 3.76% in Q1 FY26)
  • Gross Stage 3: 4.84%
  • Net Stage 3: 2.48%
  • Provision coverage ratio: 50%
  • 84% of new customers have CIBIL score above 725 (vs 63% in FY24)
  • New to credit exposure reduced to 4% (from 13% in FY24)

Financial Performance:

  • Net interest income: INR219 crores (up 39% YoY, 2% QoQ)
  • NIM: 8.8% (vs 6.2% YoY)
  • Loan yield: 16.5%
  • Pre-provisioning operating profit: INR93 crores
  • PAT: INR11 crores (vs loss of INR424 crores in Q4 FY26)
  • Credit cost: INR81.4 crores (includes technical write-off of INR62 crores)

Liability Management:

  • Raised INR1,220 crores through term loans, NCDs and CPs at 9.11%
  • Total debt outstanding: INR5,681 crores
  • Liquidity: INR586 crores (INR235 crores above policy minimum)
  • Weighted average cost of funds declined by nearly 80 bps YoY
  • Capital adequacy ratio: 34.8%
  • Debt to equity: 1.54x

Business Diversification:

  • Vehicle finance mix: Cars 21% (vs 17% YoY), Construction equipment 10% (vs 8% YoY), M&HCV 35% (vs 42% YoY)
  • Micro LAP portfolio yield: 21.4%, weighted average LTV below 40%, 90+ DPD at 0.17%
  • Micro LAP average ticket size: INR8.2 lakhs (from INR5.9 lakhs YoY)
  • Branch network: 468 branches across 24 states (added 14 branches in quarter)

Guidance and Outlook:

  • Targeting 35% CAGR disbursement growth through FY29
  • Target PAT of INR450-500 crores by FY29
  • Plan to increase sales headcount by 50% by March 2027
  • Target to cross 500 branches in FY27
  • Micro LAP expansion into UP and Bihar in August-September 2026
  • Expect Micro LAP AUM to double during FY27
  • Expect cost of borrowing to converge to 9% by March 2027

Additional Notes

  • The document includes the full Q&A session with analysts covering topics such as collection efficiency trends, competitive intensity, margin outlook, regional asset quality trends, and growth sustainability.
  • No financial data attachments were mentioned in the disclosure beyond the transcript itself.
  • The company maintained a management overlay of INR49 crores created in Q4 FY26 for the West Asia situation.
  • Security receipts net carrying value stood at INR578 crores with 64% coverage ratio.