India · Delayed Price · Currency is INR Shriram Finance Earnings Call Transcripts
Fiscal Year 2026
-
Q4 FY 2026 delivered strong growth in disbursements, AUM, and profitability, supported by robust vehicle sales and a major capital infusion from MUFG Bank. Management projects 18% AUM growth for FY 2027, with a cautious outlook amid macro uncertainties.
-
Q3 FY26 delivered strong growth in disbursements, AUM, and profitability, with improved asset quality and lower funding costs. Management expects continued momentum, stable margins, and higher growth in Q4, supported by robust demand in vehicle finance and MSME segments.
-
Q2 FY 2026 delivered strong growth in disbursements, AUM, and profitability, with improved asset quality and cost metrics. Commercial vehicle and MSME segments led growth, while liquidity and leverage improved. Interim dividend declared; outlook remains positive for H2.
-
AUM and disbursements grew strongly year-over-year, with improved asset quality and stable credit costs. Net interest margin declined but is expected to recover as borrowing costs fall. Management remains confident in meeting growth and margin guidance, supported by robust rural demand.
Fiscal Year 2025
-
A strategic partnership with MUFG will bring in $4.4 billion for a 20% stake, enabling a targeted growth rate of 18%-20% and a 100 bps reduction in borrowing costs. ROA is projected to rise to 3.6% over five years, with stable product mix and focus on rural and semi-urban expansion.
-
AUM grew 17% YoY and disbursements rose 14% YoY in Q4 FY25, with net profit up 10%. Asset quality improved due to technical write-offs, and management guides for 15% AUM growth and stable credit costs, supported by a strong rural economy.
-
AUM and disbursements grew strongly year-over-year, with PAT boosted by a one-time gain from a subsidiary sale. NIM declined due to excess liquidity, but normalization is expected to improve margins. Asset quality remains stable, and mid-teen growth is guided for next year.
-
Strong year-over-year growth in disbursements, AUM, and profit after tax, with stable asset quality and improved credit costs. The company declared a stock split and dividend, maintained a diversified funding mix, and expects continued growth in key segments.
-
Q1 FY2025 delivered strong growth in disbursements, AUM, and net interest income, with improved asset quality and stable margins. Guidance for AUM growth remains at 15%, with management optimistic about exceeding it due to robust momentum and favorable market conditions.