Key Financial Figures

Quarterly Performance (Q2 FY27 vs Q2 FY26):

  • Revenue from operations: ₹17,539.28 lakh vs ₹15,340.51 lakh (14.3% increase)
  • Total income: ₹17,892.19 lakh vs ₹15,527.82 lakh (15.2% increase)
  • Profit before tax: ₹587.21 lakh vs ₹371.53 lakh (58.0% increase)
  • Net profit: ₹440.25 lakh vs ₹282.72 lakh (55.7% increase)
  • EPS (Basic & Diluted): ₹2.68 vs ₹1.72

Half-Yearly Performance (H1 FY27 vs H1 FY26):

  • Revenue from operations: ₹33,092.09 lakh vs ₹29,860.82 lakh (10.8% increase)
  • Total income: ₹33,955.93 lakh vs ₹30,266.08 lakh (12.2% increase)
  • Profit before tax: ₹1,672.56 lakh vs (₹245.18) lakh (turnaround from loss)
  • Net profit: ₹1,252.46 lakh vs (₹184.27) lakh (turnaround from loss)
  • EPS (Basic & Diluted): ₹7.61 vs (₹1.12)

Balance Sheet Position (as of September 30, 2026 vs March 31, 2026):

  • Total assets: ₹4,15,418.17 lakh vs ₹4,05,560.62 lakh
  • Loans: ₹3,28,546.04 lakh vs ₹3,27,595.07 lakh
  • Investments: ₹20,884.07 lakh vs ₹12,927.71 lakh
  • Cash and cash equivalents: ₹39,471.62 lakh vs ₹36,486.19 lakh
  • Total liabilities: ₹3,47,143.05 lakh vs ₹3,38,518.54 lakh
  • Total equity: ₹68,275.12 lakh vs ₹67,042.08 lakh

Asset Quality Metrics:

  • Gross NPA: ₹16,011.25 lakh (4.81% of advances) vs ₹23,309.81 lakh (6.96%) as of Mar'26
  • Net NPA: ₹9,280.86 lakh (2.85% of advances) vs ₹13,389.65 lakh (4.12%) as of Mar'26
  • Provision Coverage Ratio: 50.06% vs 50.92% as of Mar'26

Significant Transactions and Events

Direct Assignment Transaction:

  • During the quarter, company entered into Direct Assignment transaction with pool size of ₹15,590.47 lakh
  • Recognized net gain of ₹1,782.80 lakh on derecognition of financial instruments
  • ECL provision of ₹61.47 lakh recognized on servicer asset

Fraud Incidents:

  • Classified 4 incidents of fraud due to misappropriation and forgery totaling ₹86.06 lakh
  • Provided 100% provision for all fraud cases

ESOP Grants:

  • On July 15, 2026, Nomination and Remuneration Committee approved grant of 2,68,979 ESOPs at exercise price of ₹222.12 per option
  • Recognized expense of ₹27.15 lakh during the quarter

Stressed Loan Transfers:

  • Transferred 61,916 accounts to ARCs with aggregate principal outstanding of ₹20,300.94 lakh
  • Net book value at transfer: ₹14,351.91 lakh
  • Aggregate consideration: ₹9,320.20 lakh

Securitization/Direct Assignment Details (Q2 FY27):

  • Athos Trust 2026 (Securitisation): 7,104 accounts, ₹3,311.82 lakh, 10% retention
  • HLF MCSL DA SEPT 2026 (DA): 6,093 accounts, ₹4,394.42 lakh, 10% retention
  • NC MCSL DA Sep 2026 (DA): 16,939 accounts, ₹11,196.05 lakh, 10% retention

Provisioning Policy:

  • Company maintaining additional management overlay provision of ₹2,517 lakh as of September 30, 2026
  • Additional provisioning buffer of ₹250 lakh maintained for upcoming ECL model review
  • Provisioning policy requires 50% provision on credit impaired assets with NNPA below 6%

SEBI LODR Disclosures:

  • Debt Equity Ratio: 4.91 (vs 4.94 in Mar'26)
  • Net Worth: ₹68,275.12 lakh (vs ₹67,042.08 lakh in Mar'26)
  • Net Profit Margin: 2.46% for Q2, 3.69% for H1
  • Total Debt to Total Assets: 0.81

Security Cover Maintenance:

  • All secured NCDs aggregating ₹1,37,300.86 lakh fully secured by pari-passu charge on assets
  • Maintains 100% security cover or higher as per terms
  • Total security cover is 1.23 times of principal and interest

Fund Raising:

  • Private placement of NCDs: ₹100 crores on August 24, 2026 (INE296G07333)
  • Private placement of NCDs: ₹150 crores on September 23, 2026 (INE296G07341)
  • No deviation in use of issue proceeds from stated object of "on lending"

Cash Flow Statement (H1 FY27):

  • Net cash from operating activities: ₹7,621.93 lakh
  • Net cash used in investing activities: (₹8,250.77) lakh
  • Net cash from financing activities: ₹3,614.27 lakh
  • Net increase in cash: ₹2,985.43 lakh

Auditor Review

  • Financial results reviewed by Sundaram & Srinivasan, Chartered Accountants
  • Unmodified review report issued dated November 5, 2026
  • Confirmed maintenance of 100% asset cover for secured listed NCDs
  • No material non-compliance with debt covenants identified

Board Meeting Details

  • Meeting held on November 5, 2026
  • Commenced at 1:30 PM, concluded at 8:00 PM
  • Approved unaudited financial results for quarter and half year ended September 30, 2026

#Tags: #MuthootCapitalServices #Q2Results #NBFC #SEBIDisclosure #FinancialResults #RegulatoryCompliance #Neutral