Moneyboxx Finance Limited conducted its Q1 FY27 earnings conference call on August 13, 2026, moderated by Stellar Investor Relations. The management team included Co-Founders Deepak Aggarwal and Mayur Modi, along with Financial Controller Viral Sheth.

Financial Performance

  • AUM stood at ₹832 crores as of June 2026, representing 5% year-on-year growth excluding ARC impact
  • Total income for Q1 FY27 was ₹52.12 crores
  • Net interest income and fee income stood at ₹31.02 crores compared to ₹38.52 crores in Q1 FY26
  • Net interest margin was 12.3% compared to 14.36% in Q1 FY26
  • Interest spread stood at 12%
  • Average borrowing cost remained at 12.5%, though incremental borrowing costs are declining
  • Operating expenses were ₹28.59 crores compared to ₹29.75 crores in Q1 FY26
  • Pre-provisioning operating profit stood at ₹2.43 crores
  • Profit after tax was ₹0.21 crores compared to ₹0.24 crores in the previous year

Portfolio Transition Strategy

The company is undergoing a deliberate transition toward higher-quality secured lending:

  • Disbursements during the quarter stood at ₹77 crores compared to ₹92 crores in Q1 FY26
  • From April 2026, stopped disbursement of unsecured loans except through partnership model and in Punjab
  • Stopped disbursement of secured loans below ₹5 lakhs except in few branches of Solar Loans
  • Secured loans accounted for 87% of disbursements compared to 67% in FY26
  • 70% of disbursements were in ticket sizes above ₹5 lakhs
  • 75% of disbursements were to customers with bureau score of 650 and above
  • Secured book now represents approximately 75% of AUM (including DLG-backed loans) compared to 49% in June 2025
  • Target of approximately 80% secured AUM by March 2027

Collection Efficiency and Credit Quality

  • Overall collection efficiency stood at 92.3% (broadly stable vs 92.4% in FY26)
  • Legal efforts progressing with over 1,000 bailable warrants issued
  • Quality of incremental book described as materially stronger

Partnership-led Sourcing

  • Partnership model gaining traction with target of 25-30% of monthly business through direct partnerships
  • Partnerships come with default loss guarantee structure providing additional credit protection
  • July 2026: 15% of disbursements came through renewable energy loans (all partnership-based)
  • Renewable energy lending crossed ₹10 crores cumulative disbursements till July 2026
  • Target of 10% of AUM from renewable energy loans by end of FY27
  • Working with Solar OEMs and global climate foundations including Rabo Foundation, Gates Foundation, Water.org, Shell Foundation
  • Dairy partnership expected to start disbursements from next month (₹3-5 crores per month expected)
  • Digital lending to start soon with a partner

Technology Investments

  • Proprietary Moneyboxx One loan origination system launched in May 2026 now live
  • Sikka mobile application, Cattle AI and MBCollect platforms operational
  • Technology infrastructure can support substantially larger portfolio

Liability and Capital Management

  • Raised ₹70 crores through NCDs in first 4 months of FY27, including ₹50 crores during quarter from Capri Global
  • Added 2 new NBFC lending partners: Sammaan Capital and Northern Arc
  • Capital adequacy stood at 28.65% as of June 2026
  • Planning institutional equity infusion in H2 FY27
  • Received term sheet of ₹100 crores from an impact lender for renewable energy lending

Operational Efficiency

  • Branch consolidation initiatives undertaken during quarter
  • Employee count not increasing, with some rationalization
  • Focus on improving productivity through partnerships that require minimal incremental opex
  • Opex expected to be 1-1.5% for partnership business

Management Outlook

  • Expect normalized disbursements by January 2027 (Q4 FY27)
  • Target AUM of ₹1,600-1,700 crores for meaningful profitability improvement
  • Renewable energy disbursements growing monthly: ₹30 lakh (April), ₹1.8 crores, ₹4 crores, ₹5 crores (July), ₹7 crores target (August)
  • Expect renewable energy disbursements to reach ₹20 crores per month by January
  • Estimated credit loss below 0.5% for renewable energy segment
  • Company received three gold awards and one silver award at BW Disrupt Festival of Fintech