macro

Shriram Finance Q2 net profit rises 59% as lower interest costs lift margins

Shriram Finance's standalone net profit rose 59.4% to 3,677 crore in the September quarter, per Moody's. Net interest margin hit 9.52% from 8.19%.

the public page opens no earlier than 15 minutes after we detect the story. approved stories may reach the api sooner. connect the api →

what happened

Shriram Finance, in which Japan's MUFG holds a significant stake, reported a 59.4% year-on-year rise in standalone net profit. The company earned 3,677 crore in the quarter ended September 2026, up from 2,307 crore a year earlier, according to Moody's.

Net interest income climbed 38% to 8,661 crore, driven by a 15.6% rise in interest income and a 9.9% fall in interest expenses. Net interest margin widened to 9.52% from 8.19%. Loan losses and provisions, however, jumped 41% to 1,877 crore.

Assets under management grew 17% year on year to 3.29 lakh crore at the end of September. CEO Parag Sharma told ET he expects the margin to stay around 9% over the next two quarters, while the long-term guidance is about 8.5%.

why it matters

Lower interest costs were the main engine of the profit jump, feeding directly into margins. For markets, this shows cheaper funding is helping Indian non-bank lenders, while the sharp rise in provisions keeps credit quality in focus for investors.

market impact

Indian NBFCs: lower funding costs support margins, while rising provisions weigh on profit growth

tags

instruments

Shriram FinanceMUFGИндийские NBFC

sources

  1. Shriram Fin Q2 Net up 59% — Moody's, 24 October 2026 at 04:14 UTC

prepared by the newsmetry newsroom with ai assistance from the sources listed below. not investment advice.

the public page opens no earlier than 15 minutes after we detect the story. approved stories may reach the api sooner.

get stories in real time ↗