Date: October 09, 2026
Financial Performance Overview
Poonawalla Fincorp Limited, a non-deposit taking systemically important NBFC focusing on consumer and MSME finance, announced its unaudited financial results for the quarter ended September 30, 2026 (Q2 FY27).
Key Financial Metrics
Assets Under Management (AUM): ₹74,008 crore as of September 30, 2026
Profit After Tax (PAT): ₹375 crore in Q2 FY27, representing 21.8% quarter-on-quarter growth from ₹308 crore in Q1 FY27
Net Interest Income (including fees and other income): ₹1,589 crore, up 12.3% quarter-on-quarter
Pre-Provision Operating Profit (PPoP): ₹877 crore, up 11.8% quarter-on-quarter
Net Interest Margin (NIM) including fees and other income: 9.26% in Q2 FY27, improved by 16 basis points from 9.10% in Q1 FY27
Return on Assets (RoA): 2.18% in Q2 FY27, improved from 1.98% in Q1 FY27 and 1.81% in Q4 FY26
Credit cost: 2.19% of average AUM in Q2 FY27, reduced by 21 basis points from 2.40% in Q1 FY27
Asset Quality Indicators
Gross Non-Performing Assets (GNPA): 1.20% in Q2 FY27, improved from 1.37% in Q1 FY27
Net Non-Performing Assets (NNPA): 0.61% in Q2 FY27, improved from 0.70% in Q1 FY27
Stage 1 Assets: 97.9% of on-book assets in Q2 FY27, improved from 97.6% in Q1 FY27
Secured to Unsecured on-book mix: 52:48
Capital and Liquidity Position
Capital Adequacy Ratio: 18.68% as of September 30, 2026 (Tier-1 at 17.15%), well above the regulatory requirement of 15%
Liquidity buffer: ₹6,526 crore as of September 30, 2026
Cost of Borrowing: 7.76% for Q2 FY27, 4 basis points higher than Q1 FY27
Technology and Innovation
The company added 42 new AI projects during the quarter, bringing the total to 143 cutting-edge AI projects. Of these, 84 projects have been successfully implemented.
Management Commentary
Mr. Arvind Kapil, Managing Director and CEO, stated that this quarter marks a decisive inflection point in establishing a highly resilient, self-sustaining earnings engine through simultaneous, structural improvements across four core performance vectors. He highlighted disciplined AUM expansion, enriched total realizations via NIM and fee income optimization, continuous asset quality refinement driving credit costs lower, and structural lift in Return on Assets (RoA). He attributed these gains to the company's rapidly maturing proprietary AI layer, which reinforces the compounding power and long-term sustainability of the franchise.
Company Background
Poonawalla Fincorp Limited is a Cyrus Poonawalla group promoted non-deposit taking systemically important non-banking finance company (ND-SI-NBFC), registered with the Reserve Bank of India (RBI). The company started operations nearly three decades back and employs 7,313 people as of September 30, 2026. The company's financial services offerings include Loan Against Property, Gold Loans, Prime Personal Loans, Education Loans, Consumer Durable Loans, Business Loans, Instant Consumer Loans, Commercial Vehicle Loans, Mid-Market, Pre-Owned Car Finance, Loans for Professionals, Machinery Loans and Shopkeeper Loans.