Nature of the Event

Regulatory filing pursuant to SEBI LODR Regulations disclosing the outcomes of the Board of Directors meeting held on July 23, 2026. The meeting commenced at 01:45 p.m. and concluded at 04:30 p.m.

Key Decisions and Approvals

  • Approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2026 (Q1 FY2027), as reviewed and recommended by the Audit Committee.
  • Took note of the limited review report submitted by the Statutory Auditor, B S R & Co. LLP, Chartered Accountants.
  • Approved the appointment of Ms. Dipali Hemant Sheth (DIN: 07556685), Independent Director, as Non-Executive Chairperson of the Company.

Financial Results - Standalone (₹ in crores, unless stated)

Income Statement

  • Revenue from Operations: ₹261.55 (Q1 FY2027) vs ₹261.87 (Q1 FY2026)
  • Interest Income: ₹258.34
  • Net gain on fair value changes: ₹3.09
  • Net gain on derecognition of financial instruments measured at FVOCI: ₹0.12
  • Other Income: ₹18.23
  • Total Income (I+II): ₹279.78
  • Expenses: ₹256.72
  • Finance costs: ₹128.59
  • Impairment on financial instruments: (₹10.22) [reversal]
  • Employee benefits expenses: ₹94.91
  • Depreciation and amortization: ₹2.01
  • Other expenses: ₹41.43
  • Profit before tax (III-IV): ₹23.06 vs (₹439.12) in Q1 FY2026
  • Tax expense: ₹6.97 (Deferred tax)
  • Profit after tax: ₹16.09 vs (₹328.91) in Q1 FY2026
  • Other Comprehensive Income: (₹2.08)
  • Total Comprehensive Income: ₹14.01

Key Metrics and Ratios (Standalone)

  • Paid-up equity share capital: ₹79.97 crores (Face value ₹10 each)
  • Earnings per share (Basic & Diluted): ₹2.01 vs (₹46.13) in Q1 FY2026
  • Net worth: ₹2,208.25 crores
  • Debt-Equity ratio: 1.86
  • Total debts to total assets: 0.63
  • Net profit margin (%): 5.75%
  • Stage III loan assets to Gross loan assets (%): 2.91%
  • Net Stage III loan assets to Gross loan assets (%): 0.56%
  • Capital to risk-weighted assets ratio (%): 28.65%
  • Provision coverage ratio (%): 80.82%
  • Liquidity coverage ratio (%): 399.60%

Financial Results - Consolidated (₹ in crores, unless stated)

The consolidated results include Spandana Sphoorty Financial Limited (Parent), Criss Financial Limited (Subsidiary), and Caspian Financial Limited (Subsidiary).

Income Statement

  • Revenue from Operations: ₹283.91
  • Interest income: ₹280.24
  • Net gain on fair value changes: ₹3.55
  • Net gain on derecognition of financial instruments measured at FVOCI: ₹0.12
  • Other Income: ₹19.31
  • Total Income: ₹303.22
  • Expenses: ₹285.66
  • Finance costs: ₹132.08
  • Impairment on financial instruments: (₹1.30) [reversal]
  • Employee benefits expenses: ₹106.22
  • Depreciation and amortization: ₹2.56
  • Other expenses: ₹46.10
  • Profit before tax: ₹17.56 vs (₹480.89) in Q1 FY2026
  • Tax expense: ₹5.68 (Deferred tax)
  • Profit after tax: ₹11.88 vs (₹360.23) in Q1 FY2026
  • Loss attributable to Non-controlling interest: (₹0.00)
  • Profit for the period attributable to Owners: ₹11.88
  • Other Comprehensive Income: (₹2.11)
  • Total Comprehensive Income: ₹9.77

Key Metrics and Ratios (Consolidated)

  • Paid-up equity share capital: ₹79.97 crores
  • Earnings per share (Basic & Diluted): ₹1.49 vs (₹50.52) in Q1 FY2026

Capital Structure and Shareholding

  • No equity shares were allotted to eligible employees under the Employee Stock Option Plan during the quarter.
  • The company has a single class of equity shares with a face value of ₹10 each.

Asset Quality and Provisioning (Standalone)

  • Security Receipts (SRs) holding as on June 30, 2026:
  • RR1+ (Implied recovery >150%): Gross carrying amount ₹0.07 crores
  • RR5 (Implied recovery up to 25%): Gross carrying amount ₹132.08 crores
  • RR1 (Implied recovery 100% to 150%): Gross carrying amount ₹0.80 crores
  • Total carrying amount of SRs held is Nil.

Deferred Tax Asset (DTA)

  • The company recognized a Deferred Tax Asset (DTA) of ₹634.36 crores as at June 30, 2026 (₹640.63 crores as at March 31, 2026).
  • This primarily relates to carried forward tax losses amounting to ₹522.65 crores for FY 2024-25 and FY 2025-26, and other deductible temporary differences amounting to ₹111.72 crores.
  • During the quarter, the company reversed DTA amounting to ₹7.73 crores on account of profit generated.
  • The recognition is based on assessment of future taxable profits in accordance with Ind AS 12, considering Board-approved business plans.

Fundraising and Utilization

  • Raised ₹485 crores through private placement of debentures (ISIN: INE572J07810) on April 28, 2026.
  • As of June 30, 2026, the entire amount remains unutilized.
  • No deviation from the intended object of utilization (on-lending).
  • The proceeds are expected to be deployed within the timelines stipulated in the Debenture Trust Deed.

Security Coverage for Listed NCDs

  • The Secured Listed Non-Convertible Debentures (NCDs) are fully secured through a first-ranking, exclusive, and continuing charge on identified receivables.
  • The minimum security coverage of 110% for the outstanding Secured Listed NCDs has been consistently maintained.
  • Detailed asset-wise security coverage is provided in the annexure, with total assets under exclusive charge valued at ₹1,510.16 crores (book value) against listed debt securities of ₹1,372.84 crores.

Segment Information

  • The company operates in a single business segment (financing) and a single geographical segment (domestic).
  • Not reliant on revenues from any single external customer.

Governance and Signatories

  • The financial results were reviewed by the Audit Committee and approved by the Board of Directors.
  • Signed by Mr. Venkatesh Krishnan, Managing Director & CEO (DIN: 02078403).
  • Company Secretary: Mr. Vinay Prakash Tripathi.
  • Statutory Auditor: B S R & Co. LLP (Firm's Registration No.:101248W/W-100022), signed by Partner Kapil Goenka (Membership No.: 118189).