CSL Finance Limited (CSLFINANCE)
📢 Recent Corporate Announcements
CSL Finance Limited has fixed September 12, 2026, as the record date for determining shareholder entitlement to a final dividend of ₹10.00 per equity share (100% on ₹10 face value) for FY26. At the current share price of ₹228.10, this payout translates to a dividend yield of approximately 4.38%. The 34th Annual General Meeting (AGM) to approve the dividend is scheduled for September 19, 2026. The AGM agenda also includes the re-appointment of Managing Director Rohit Gupta for a 5-year term at ₹84 lakh annual remuneration and approval of material related-party transactions.
- Final dividend of ₹10.00 per share (100% of face value) recommended for FY26
- Record date established as September 12, 2026
- 34th AGM scheduled for Saturday, September 19, 2026
- Proposed 5-year re-appointment of MD Rohit Gupta (Aug 2027 to Aug 2032) at ₹84 lakh per annum
- Special resolution proposed to alter AoA for Debenture Trustee nominee director rights
CSL Finance has issued the notice convening its 34th Annual General Meeting (AGM) on September 19, 2026. The company has fixed September 12, 2026, as the record date for determining eligibility for the recommended final dividend of ₹10 per equity share (100% of ₹10 face value) for FY26. Key special business items at the AGM include the re-appointment of Managing Director Rohit Gupta for a 5-year term from August 2027 to August 2032 at a remuneration of up to ₹84 lakh per annum, approval of material related-party transactions with CSL Capital Private Limited, and an amendment to the Articles of Association allowing debenture trustees to appoint nominee directors.
- Final dividend of ₹10.00 per equity share (100% on face value ₹10) for FY26
- Record date fixed as Saturday, September 12, 2026 for dividend entitlement
- 34th AGM scheduled for Saturday, September 19, 2026 at 12:30 PM IST via VC/OAVM
- Re-appointment of MD Rohit Gupta for 5 years (Aug 10, 2027 to Aug 09, 2032) at up to ₹84 lakh p.a.
- Proposed AoA alteration (Article 107A) for Debenture Trustee nominee director appointment
CSL Finance reported a 16% YoY growth in Assets Under Management (AUM) to ₹1,505 Cr for Q1 FY27, primarily driven by the Wholesale segment. While SME Retail disbursements remained muted due to internal credit policy tightening, overall PAT grew 14% sequentially to ₹22.1 Cr. Asset quality improved with Gross NPA declining 15 bps QoQ to 0.95%, supported by a consistent 98% collection efficiency. The company maintains a conservative leverage of 1.39x and has ₹179.5 Cr in available liquidity (including undrawn facilities).
- Total AUM reached ₹1,505 Cr, a 16% YoY increase from ₹1,299 Cr in Q1FY26.
- Gross NPA improved to 0.95% from 1.10% in the previous quarter (Q4FY26).
- Net Interest Income (NII) grew 12% YoY to ₹45.0 Cr, though it dipped 1% sequentially.
- Collection efficiency remained robust and consistent at 98% for the fifth consecutive quarter.
- Wholesale segment now dominates the AUM mix at 70%, up from 69% a year ago.
CSL Finance reported a 17.7% YoY increase in total revenue to ₹69.97 Cr for Q1 FY27, driven by higher interest income. However, Net Profit grew more modestly by 3.9% YoY to ₹22.15 Cr, primarily due to a 29.9% surge in finance costs to ₹23.69 Cr. The Board also approved the re-appointment of Managing Director Rohit Gupta for a five-year term starting August 2027 and amended the Articles of Association to allow Debenture Trustees to appoint a nominee director in case of default, per SEBI norms.
- Total Revenue from operations rose to ₹69.97 Cr in Q1 FY27 from ₹59.45 Cr in Q1 FY26.
- Net Profit for the quarter stood at ₹22.15 Cr, a marginal increase from ₹21.32 Cr in the previous year's corresponding quarter.
- Finance costs increased significantly to ₹23.69 Cr from ₹18.24 Cr YoY, reflecting higher borrowing expenses.
- Basic EPS for the quarter improved to ₹9.72 from ₹9.36 in Q1 FY26.
- MD Rohit Gupta re-appointed for a 5-year term effective from August 10, 2027, to August 09, 2032.
CSL Finance reported a total income of ₹70.35 Cr for Q1 FY27, an 18% increase compared to ₹59.59 Cr in Q1 FY26. However, Profit After Tax (PAT) grew more modestly by 3.9% YoY to ₹22.15 Cr, primarily due to a 29.9% surge in finance costs which reached ₹23.69 Cr. The Board has approved the re-appointment of Mr. Rohit Gupta as Managing Director for a five-year term effective from August 2027. Additionally, the company amended its Articles of Association to allow Debenture Trustees to appoint a nominee director in case of default, aligning with SEBI regulations.
- Total Income grew 18% YoY to ₹70.35 Cr for the quarter ended June 30, 2026.
- Net Profit (PAT) increased by 3.9% YoY to ₹22.15 Cr from ₹21.32 Cr.
- Finance costs rose significantly by 29.9% YoY to ₹23.69 Cr, impacting bottom-line margins.
- Managing Director Rohit Gupta re-appointed for a 5-year term from August 10, 2027, to August 09, 2032.
- Impairment on financial instruments (provisions) increased to ₹2.83 Cr from ₹2.43 Cr YoY.
CSL Finance reported a steady Q1 FY27 with total income rising 18% YoY to ₹70.35 Cr. Net profit grew more modestly by 3.9% YoY to ₹22.15 Cr, as profitability was tempered by a 29.9% surge in finance costs (₹23.69 Cr). The board has approved the re-appointment of Mr. Rohit Gupta as Managing Director for a five-year term starting August 2027, ensuring leadership continuity. Additionally, the company amended its Articles of Association to allow for nominee directors by debenture trustees in case of default, aligning with SEBI regulations.
- Total Income increased 18% YoY to ₹70.35 Cr for the quarter ended June 30, 2026.
- Net Profit (PAT) stood at ₹22.15 Cr, representing a 3.9% growth over the ₹21.32 Cr reported in Q1 FY26.
- Finance costs rose significantly to ₹23.69 Cr from ₹18.24 Cr in the previous year's corresponding quarter.
- Earnings Per Share (EPS) for the quarter was ₹9.72, up from ₹9.36 YoY.
- MD Rohit Gupta re-appointed for a 5-year term effective from August 10, 2027, to August 09, 2032.
Mr. Atul Kumar Agrawal, President - Finance & Treasury, has withdrawn his resignation originally submitted on July 03, 2026. He was previously scheduled to leave the company on August 31, 2026, but will now continue in his current role. This provides stability to the finance and treasury functions for the NBFC, which manages an AUM of Rs 1,397 Cr. Continuity is particularly relevant as the company aims to grow its SME retail loan book to a target of Rs 800 Cr - Rs 850 Cr.
- Withdrawal of resignation confirmed via letter dated August 11, 2026
- Original resignation was submitted on July 03, 2026, with an effective date of August 31, 2026
- Mr. Agrawal will continue as President - Finance & Treasury without interruption
- Company reported a TTM PAT of Rs 85 Cr and maintains a net worth of Rs 621 Cr
CSL Finance Limited has filed its quarterly compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The document, issued by its Registrar and Share Transfer Agent (RTA), MAS Services Limited, confirms that all share certificates received for dematerialization during the quarter ended June 30, 2026, were processed within the mandatory 15-day timeline. This is a standard administrative filing required for all listed entities to verify the integrity of shareholding records. It has no impact on the company's financial performance or business operations.
- Compliance certificate covers the period from April 1, 2026, to June 30, 2026
- Confirmation that dematerialization requests were accepted or rejected within 15 days of receipt
- Registrar and Share Transfer Agent (RTA) identified as M/s. MAS Services Limited
- Confirmation that security certificates were mutilated and cancelled after due verification
Mr. Atul Kumar Agrawal, President - Finance & Treasury at CSL Finance, has tendered his resignation on July 03, 2026. He will continue in his role until the close of business on August 31, 2026, to facilitate a transition. This change involves a senior management position responsible for treasury operations, which is critical for an NBFC managing an AUM of Rs 1,397 Cr. The company has not yet announced a successor for this role.
- Resignation tendered by Mr. Atul Kumar Agrawal on July 03, 2026
- Effective date of cessation from senior management is August 31, 2026
- Role involves oversight of Finance & Treasury for a company with Rs 621 Cr net worth
- Reason cited for resignation is to focus on the next phase of his career
CSL Finance reported a 15% YoY increase in Assets Under Management (AUM) to ₹1,510 crore for the quarter ended June 2026. The company demonstrated strong liquidity management by raising ₹110 crore through fresh bank sanctions and NCDs, with an additional ₹90 crore in the pipeline. Quarterly disbursements stood at ₹320 crore, slightly exceeding collections of ₹290 crore. While the company maintains a robust Capital Adequacy Ratio of 44%, the portfolio mix shifted marginally toward Wholesale lending (70%) compared to the previous quarter (69%).
- Assets Under Management (AUM) grew 15% YoY to ₹1,510 crore as of June 30, 2026
- Raised ₹110 crore in fresh capital through a ₹50 crore bank sanction and ₹60 crore via NCDs
- Quarterly disbursements reached ₹320 crore against collections of ₹290 crore
- Maintained a high Capital Adequacy Ratio (CAR) of approximately 44%
- Liquidity surplus of ₹175 crore reported, including ₹90 crore in undrawn NCD sanctions
CSL Finance Limited has submitted its annual disclosure under Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The promoters of the company have declared that they, along with persons acting in concert, have not made any new encumbrances on their shareholding during the financial year ended March 31, 2026. This is a routine annual compliance filing intended to provide transparency regarding promoter share pledging activities.
- Annual disclosure submitted under Regulation 31(4) of SEBI (SAST) Regulations, 2011.
- Declaration covers the entire financial year ending March 31, 2026.
- Promoters confirmed no new or undisclosed encumbrances/pledges were created on their shares.
- The filing was officially submitted to both NSE and BSE on April 06, 2026.
CSL Finance Limited has announced the closure of its trading window starting July 1, 2026, in compliance with SEBI Insider Trading regulations. This closure is ahead of the announcement of the company's un-audited financial results for the quarter ending June 30, 2026. The trading window will remain closed for all designated persons and their relatives until 48 hours after the results are declared. The specific date for the board meeting to approve these results will be announced at a later time.
- Trading window closure effective from Wednesday, July 01, 2026.
- Closure is related to the un-audited financial results for the quarter ended June 30, 2026.
- Window to reopen 48 hours after the official declaration of financial results.
- Applies to all Designated Persons, Connected Persons, and their immediate relatives.
CSL Finance reported a steady performance for the fiscal year ended March 31, 2026, with total revenue from operations increasing by 19% to ₹256.06 crore. Net profit for the year grew by 19.4% to ₹86.11 crore, supported by a significant expansion in the loan book, which reached ₹1,373.94 crore. While Q4 FY26 profit showed a modest year-on-year growth to ₹19.42 crore compared to ₹18.98 crore in Q4 FY25, the overall annual EPS improved from ₹31.64 to ₹37.80.
- Annual Revenue from Operations grew 19% YoY to ₹25,606.23 lakh in FY26.
- Net Profit for the full year increased to ₹8,611.02 lakh from ₹7,209.27 lakh in FY25.
- The loan book expanded by 20% to reach ₹1,37,393.81 lakh as of March 31, 2026.
- Finance costs rose significantly to ₹8,357.16 lakh in FY26, reflecting increased borrowing to fund asset growth.
- Earnings Per Share (Basic) for the year improved to ₹37.80 from ₹31.64 in the previous fiscal.
CSL Finance Limited reported a steady financial performance for FY26, with PAT increasing 19% YoY to ₹86 crore and AUM growing 21% to ₹1,448 crore. The wholesale segment remains the primary growth engine, now making up 69% of the AUM, while the SME retail segment faced challenges due to high competition and borrower over-leverage. Asset quality showed some deterioration with GNPA rising to 1.1% from 0.46% YoY, though ROE improved to 14.81%. The company is pivoting towards higher ticket sizes in SME and expanding its co-lending partnerships to boost fee income.
- AUM increased by 21% YoY to ₹1,448 crore, with the wholesale segment contributing 69% of the total mix.
- Full-year PAT grew 19% to ₹86 crore, and ROE improved significantly to 14.81% from 13.31% in FY25.
- Gross NPA stood at 1.1% in Q4FY26 compared to 0.46% in Q4FY25, impacted by lower resolutions and revised provisioning norms.
- The company diversified its funding by onboarding Bank of Baroda and concluding a ₹30 crore NCD issue.
- Management provided AUM growth guidance of 15-25% for FY27, supported by a comfortable leverage ratio of 1.39x.
CSL Finance Limited has released the audio recording link for its Q4FY26 investor and analyst conference call held on May 29, 2026. This disclosure is in compliance with Regulation 30 of the SEBI (LODR) Regulations, 2015. The recording allows investors to hear management's detailed discussion on the financial results for the quarter and fiscal year ending March 2026. Accessing such recordings is crucial for understanding the company's asset quality and growth outlook.
- Earnings conference call for Q4FY26 was conducted on May 29, 2026, at 4:00 PM IST.
- Audio recording link has been made publicly available as per SEBI regulatory requirements.
- The call follows the company's previous intimation dated May 23, 2026.
- Management provided insights into the company's performance for the full financial year 2025-26.
Financial Performance
Revenue Growth by Segment
Total income from operations grew 16.8% YoY to INR 123.42 Cr for the half-year ended September 30, 2025, compared to INR 105.67 Cr in the previous year. In Q2 FY26, SME retail disbursements showed a notable upturn, growing by 93% YoY and 61% sequentially, while the Wholesale vertical continued steady growth, maintaining a 65% share of the total AUM as of March 31, 2025.
Geographic Revenue Split
The company's operations are highly concentrated in the Delhi-NCR region, which accounts for the vast majority of the loan book. This concentration exposes the company to regional economic fluctuations and local regulatory changes in the National Capital Region.
Profitability Margins
Return on Assets (ROA) stood at 6.46% in FY25, a decrease from 7.18% in FY24. Return on Equity (ROE) was 13.31% in FY25, marginally lower than 13.33% in FY24. The decline in ROA is attributed to increased slippages in the SME Retail segment and higher operational expenses from branch expansions.
EBITDA Margin
Pre-Provision Operating Profit (PPoP) increased 18.6% from INR 88.41 Cr in FY24 to INR 104.88 Cr in FY25. Net Profit (PAT) for FY25 was INR 72.09 Cr, up 13.8% from INR 63.36 Cr in FY24, driven by a 21.1% increase in total income net of interest expense.
Capital Expenditure
While specific INR figures for future capex are not disclosed, the company opened 14 new branches in FY25 and is investing in a SOC2-compliant AWS Cloud tech stack to power the entire loan lifecycle from onboarding to analytics.
Credit Rating & Borrowing
The company's credit rating was recently upgraded to A- Stable. The average cost of funds ranges between 11% and 12%. The company has a diverse lender profile of 32 partners, including public and private banks, having onboarded 9 new partners in FY25.
Operational Drivers
Raw Materials
Not applicable as CSL Finance is a Non-Banking Financial Company (NBFC); its primary 'raw material' is capital/debt for lending.
Key Suppliers
The company sources capital from 32 lending partners, including public and private sector banks and financial institutions. Key lenders provide term loans, with INR 372.41 Cr disbursed to CSL in FY24.
Capacity Expansion
The company expanded its physical footprint by opening 14 new branches in FY25. It aims to increase productivity per branch to drive the SME retail loan book toward a target of INR 800 Cr to INR 850 Cr.
Raw Material Costs
Interest expense is the primary cost. Total Income (net of interest expense) rose from INR 90.35 Cr in FY23 to INR 123.65 Cr in FY24, reflecting efficient management of the 11-12% cost of funds.
Manufacturing Efficiency
Operational efficiency is measured by the operating expense to earning assets ratio, which improved to 3.62% in FY24. Collection efficiency remained robust at 98% in Q2 FY26.
Logistics & Distribution
Distribution is driven by the branch network and a team of 460 professionals. Employee expenses have increased due to targeted hiring at the mid-management level to strengthen credit and operations.
Strategic Growth
Expected Growth Rate
29%
Growth Strategy
The company is shifting its product mix toward a 55:45 or 60:40 ratio between SME Retail and Wholesale within 12-18 months. Growth is driven by refining credit policies, simplifying SOPs to reduce disbursement time, and expanding the branch network to reach underbanked small businesses.
Products & Services
SME Retail loans (secured), Wholesale loans for real estate corporations, and loans for non-real estate corporations.
Brand Portfolio
CSL Finance Limited.
New Products/Services
The company is focusing on 'micro-lab' style business and has recently realigned its SME Retail segment to target larger ticket sizes and a broader customer profile to improve yield.
Market Expansion
Expansion is focused on increasing the density of branches in the North India region, specifically targeting the SME sector that lacks access to traditional banking.
Market Share & Ranking
Not disclosed in available documents, though management notes they are better placed than peers due to a 100% secured portfolio.
Strategic Alliances
The company has established partnerships with 32 lenders to ensure a steady flow of capital for disbursements, which totaled INR 293 Cr in Q2 FY26.
External Factors
Industry Trends
The NBFC industry is seeing a shift toward secured lending following stress in unsecured and MFI portfolios. CSL is positioned as a 100% secured lender, which management believes provides a competitive edge during market volatility.
Competitive Landscape
Competes with other NBFCs and banks in the SME and real estate lending space. Competition is primarily based on service delivery speed and the ability to underwrite underbanked customers using alternative data.
Competitive Moat
The moat is built on a 100% secured loan book, deep expertise in the Delhi-NCR real estate market, and a conservative risk DNA (1% provisioning). This is sustainable as long as asset quality (GNPA 0.46%) remains controlled.
Macro Economic Sensitivity
Highly sensitive to Indian economic growth and geopolitical tensions which could trigger a slowdown. A 1% increase in interest rates would directly impact the cost of the company's floating-rate borrowings.
Consumer Behavior
Small businesses are increasingly seeking faster turnaround times for credit, prompting CSL to focus on reducing disbursement times through technology.
Geopolitical Risks
Heightened geopolitical tensions are identified as a potential trigger for a domestic economic slowdown, which would reduce demand for SME and Wholesale credit.
Regulatory & Governance
Industry Regulations
Subject to RBI regulations for NBFCs, including Capital Adequacy Ratios and provisioning norms. CSL maintains a 1% provision, exceeding the 0.4% regulatory requirement.
Environmental Compliance
Not a primary factor for NBFC operations; focus is more on SOC2 compliance for data security.
Taxation Policy Impact
The company's PBT for the half-year ended Sept 30, 2025, was INR 56.43 Cr. Effective tax rates follow standard Indian corporate tax laws for NBFCs.
Risk Analysis
Key Uncertainties
Execution risk in the newer SME Retail segment and potential asset quality deterioration in the Wholesale book due to real estate sector cyclicality. GNPA rose slightly to 0.46% in FY25 from 0.44% in FY24.
Geographic Concentration Risk
Heavy concentration in the Delhi-NCR region, making the company vulnerable to local economic downturns.
Third Party Dependencies
Dependency on 32 lending partners for debt capital; any credit rating downgrade would increase the 11-12% borrowing cost.
Technology Obsolescence Risk
The company is mitigating this by hosting all core applications on AWS Cloud and implementing a future-ready tech stack for the entire loan lifecycle.
Credit & Counterparty Risk
Concentration risk is high, with 41% of AUM tied to the top 20 borrowers. Slippages in these large accounts would significantly impact the NNPA, which stood at 0.34% in FY25.
