Poonawalla Fincorp, a non‑banking financial company, announced its earnings for the July‑September quarter of the 2026‑27 financial year (Q2 FY27) on Friday, 9 October. The company posted a consolidated net profit of ₹374.85 crore for the quarter ended 30 September 2026, a 21.8% quarter‑on‑quarter rise from ₹307.71 crore in the preceding period. Net interest income climbed 12.3% QoQ to ₹1,589 crore, while the net interest margin improved by 16 basis points to 9.26% from 9.10% in Q1 FY27.

Poonawalla Fincorp reported a sequential contraction in gross non‑performing assets to 1.20% for the reporting quarter, down from 1.37% in Q1 FY27. Net non‑performing assets also fell to 0.61% in Q2 FY27, compared with 1.70% in the previous quarter. The company’s assets under management reached ₹74,008 crore as on 30 September 2026, with healthy momentum across all retail products. New products contributed 18% to the AUM, underscoring the firm’s expansion in product offerings. Capital adequacy ratio stood at 18.68% as on 30 September 2026, well above the regulatory requirement of 15%, providing ample headroom for growth. The firm also added 42 new AI projects in the quarter, bringing the total to 143 cutting‑edge AI projects, of which 84 projects were successfully implemented.

The net interest margin improved by 16 basis points to 9.26% in Q2 FY27, up from 9.10% in Q1. Arvind Kapil, Managing Director and CEO, highlighted that the quarter marks a decisive inflection point in establishing a highly resilient, self‑sustaining earnings engine through simultaneous, structural improvements across the four core performance vectors. He noted disciplined AUM expansion while enriching total realizations via NIM and fee income optimisation, demonstrating strong pricing power across core and newly incubated verticals.

Kapil added that continuous asset quality refinement has driven the company’s credit costs lower from an already formidable baseline, translating directly into a structural lift in its Return on Assets (RoA). Accelerated by the rapidly maturing proprietary AI layer, these foundational, cross‑vector gains reinforce the compounding power and long‑term sustainability of the franchise. The addition of 42 new AI projects in the quarter, bringing the total to 143, and the successful implementation of 84 projects, underpin the AI‑driven efficiency gains.

Shares of Poonawalla Fincorp closed 2.15% higher at ₹447.30 apiece on the National Stock Exchange on Friday, 9 October, although the results were announced after the markets closed. As of that date, the company’s total market capitalisation stood at ₹39,389.31 crore according to NSE data. The disclosure also highlighted the firm’s robust asset quality, expanding AUM, and growing AI portfolio, signalling confidence among investors in its long‑term earnings trajectory.