Company Overview

Repco Home Finance Limited reported its financial results for FY 2025-26 ending March 31, 2026, showing steady performance with ₹453 crore profit after tax (0.8% YoY growth) and significant loan book expansion to ₹15,940 crore (9.7% growth). The company maintained strong capital adequacy at 36.66% CRAR and improved asset quality with gross NPA reducing to 2.55% from 3.26% in FY25.

Financial Performance

Profitability Metrics:

  • Standalone PAT: ₹452.77 crores (0.8% growth)
  • Consolidated PAT: ₹475.42 crores (0.88% growth including associate share)
  • Total Income: ₹1,797.69 crores
  • Net Interest Income: ₹812 crores (6.2% CAGR)
  • EPS: ₹75.99 (consolidated)

Balance Sheet Strength:

  • Loan Book: ₹15,940.11 crores (4.6% CAGR over FY21-FY26)
  • Networth: ₹3,905 crores (12.4% CAGR)
  • Borrowings: ₹12,215.19 crores
  • Real Estate Exposure: ₹15,596.13 crores (97.5% of assets)

Asset Quality:

  • Gross NPA: 2.55% (₹405.25 crores) vs 3.26% in FY25
  • Net NPA: 1.17% vs 1.32% in FY25
  • Provision Coverage: 54.9% on Stage-3 assets
  • SARFAESI Recoveries: ₹149.72 crores

Dividend Declaration

  • Recommended final dividend: ₹3 per share (30%)
  • Total FY26 dividend: ₹7.50 per share (aggregate 75%)
  • Dividend payout ratio: 10.36%
  • Record date: September 22, 2026
  • Payment within 30 days of AGM approval

26th Annual General Meeting

The company will hold its 26th AGM on September 29, 2026, seeking shareholder approval for nine key resolutions including:

  • Appointment of joint statutory auditors (M/s. Rajagopal & Badri Narayanan) for 3 years
  • ₹1300 crore related party transactions with promoter Repco Bank
  • Increase in borrowing limit to ₹20,000 crore from ₹15,000 crore
  • Private placement of NCDs (₹1500 crore) and CPs (₹1000 crore)
  • Appointment of Mrs. Aparna Sudip Kumar as Independent Director
  • Revision of MD & CEO remuneration to ₹102 lakh per annum

Regulatory Compliance & Audit Matters

Auditor Emphasis Items:

  • Non-recognition of deferred tax liability on special reserve (₹183.56 crores impact)
  • Reversal of ₹9.66 crores interest income from FY25 following NHB advisory
  • Expected Credit Loss methodology on ₹15,940 crore loan portfolio with ₹340 crore provisions

Regulatory Actions:

  • RBI penalty of ₹70,000 for Fair Practice Code non-compliance
  • Asset size crossed ₹15,000 crore threshold, triggering joint audit requirement from FY27
  • SEBI compliance with LODR regulations

Fraud Reporting:

  • ₹11.11 crores in fraud cases reported across multiple branches
  • ₹5.79 crores reported to Central Government under ADT-4 form
  • ₹253.14 lakhs recovered in 4 instances

Operational Highlights

  • Network expansion to 242 points of presence (210 branches + 32 satellite centers)
  • 8 new branch openings in FY26
  • Digital transformation: 18 out of 19 applications deployed
  • Employee strength: 1,384 employees
  • CSR expenditure: ₹24.79 crores

Capital Structure & Ratings

  • Paid-up capital: ₹62.56 crores (unchanged)
  • Credit Ratings: AA- (Stable) by ICRA and CARE for long-term facilities
  • Liquidity Coverage Ratio: 187.60% (well above 100% requirement)
  • Investment in Repco Micro Finance: ₹31.60 crores

Forward Outlook

The company aims to maintain optimal loan book composition with 35% non-housing portfolio, deepen penetration in key states, focus on creditworthy customers, increase ticket sizes, enhance fee-based income, maintain NIM levels, prioritize asset quality, and continue digitization efforts.

Overall, Repco Home Finance demonstrated resilient performance in FY26 with improved asset quality, strong capital adequacy, and strategic growth initiatives while navigating regulatory requirements and maintaining shareholder returns through consistent dividend payments.