Spandana Sphoorty Financial Limited announced its unaudited financial results for the quarter ended June 30, 2026, via a press release disclosed under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Q1FY27 vs Q4FY26

  • Total Income: ₹303 Cr in Q1FY27, representing +9% QoQ growth
  • Net Interest Income: ₹135 Cr in Q1FY27, representing +39% QoQ growth
  • Pre-Provision Operating Profit (PPOP): ₹40 Cr for Q1FY27 vs ₹39 Cr in Q4FY26
  • PAT: ₹12 Cr vs ₹5 Cr reported in Q4FY26
  • Yield: 24.6%, improved by 182 bps QoQ from 22.81% in Q4FY26
  • Marginal cost of borrowing: 11.3% in Q1FY27 vs 12.0% in Q4FY26

Operational Metrics

  • AUM: ₹4,887 Cr as of June 30, 2026, representing +11% QoQ growth from ₹4,420 Cr at March 31, 2026
  • Disbursement: ₹1,371 Cr in Q1FY27, compared to ₹1,539 Cr in Q4FY26 and ₹280 Cr in Q1FY26
  • Approximately 61% of loans were extended to new customers
  • Borrowings: ₹1,597 Cr during Q1FY27 vs ₹1,272 Cr in Q4FY26

Asset Quality

  • Consolidated GNPA: 3.64% (31-Mar-2026: 3.78%)
  • Consolidated NNPA: 0.68% (31-Mar-2026: 0.73%)
  • Standalone GNPA: 2.91% (31-Mar-2026: 3.33%)
  • Standalone NNPA: 0.56% (31-Mar-2026: 0.64%)
  • Provision Coverage Ratio (PCR): Maintained at approximately 81%

Collection Efficiency

  • Gross Collection Efficiency: 96.6% in Q1FY27 (95.3% in Q4FY26)
  • Net Collection Efficiency: 95.9% in Q1FY27 (94.7% in Q4FY26)
  • X-bucket collection efficiency: 99.5% for June 2026
  • PAR 30+: Improved to 4.4% from 4.7% at March 31, 2026
  • Recoveries from 90+ DPD customers: ₹51 Cr during the quarter, with total recoveries of ₹325 Cr over the past 18 months

Balance Sheet Strength

  • Liquidity: ₹1,316 Cr at the end of June 2026
  • Net Worth: ₹2,140 Cr
  • CRAR: 33.8% vs 35.9% at March 31, 2026

Management Commentary & Forward Outlook

MD & CEO Venkatesh Krishnan stated that the microfinance sector is emerging from a challenging phase and Spandana is on a growth trajectory. The company's efforts remain focused on strengthening sourcing and improving portfolio quality.

For the coming quarters, Spandana plans to:

  • Evaluate growing in markets where its share remains low
  • Revive underperforming branches through dedicated task force
  • Roll out new LOS platform
  • Launch an individual loan offering

The company believes it is well positioned for future growth given its liquidity position, CRAR, and net worth.

Company Background

Spandana Sphoorty Financial Ltd. is a rural-focused NBFC-MFI with geographically diversified presence in India. The company offers income generating loans under the joint liability group (JLG) model, predominantly to women from low-income households in rural areas. Started as an NGO in 1998 in Guntur, it converted to an NBFC in 2004 and became an NBFC-MFI licensed by RBI in 2015.