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Northern Arc Capital Limited (NORTHARC)

₹281.30 -1.32% last close, 16 Oct

📊 NSE: NORTHARC 🏢 Finance & Investments 📢 Latest filing: 18 Sep 2026 📝 Analysis written: 14 Dec 2025

Latest quarterly results (Q4 FY26)

In its latest reported quarter, Q4 FY26, Northern Arc's net interest income was ₹503 Cr (+24.8% year on year, +2.7% on the previous quarter), and net profit ₹133 Cr (+250.0% year on year).

Q4 FY26 (₹ Cr)	Value	YoY vs Q4 FY25	QoQ
Net interest income	₹503	+24.8%	+2.7%
Net profit	₹133	+250.0%	+30.4%
EPS (₹)	8.20	+250.4%	+31.4%

Full quarterly financials → Results calendar →

NORTHARC delivery percentage

NSE end-of-day data for Fri, 16 Oct 2026

On Fri, 16 Oct 2026, 56.88% of the NORTHARC shares traded on NSE were taken to delivery, against the stock's own 20-session average of 53.22%. That is close to its usual level. Volume was 0.4 times its average, well below normal.

56.88%Delivery, 16 Oct

53.22%Own 20-session average

0.4×Volume vs its average

₹281.30NSE close · -1.32%

Delivery in the last 5 sessions: 78.9% · 48.8% · 54.4% · 59.4% · 56.9%

Delivery across the market →

A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed

📢 Recent Corporate Announcements

Northern Arc Capital to Attend Bharat Connect Conference on September 29, 2026

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 18 Sep 2026, 04:54 PM

Northern Arc Capital Limited has scheduled participation in the 'Bharat Connect Conference: Rising Stars - September 2026' on Tuesday, September 29, 2026, from 11:00 AM to 12:00 PM IST. The interaction will be a physical group meeting with analysts and institutional investors. The company stated that discussions will rely exclusively on publicly available information and no unpublished price-sensitive information will be shared. This represents a routine investor outreach event for the Rs 5,040 crore market cap NBFC.

Investor meeting scheduled for Tuesday, September 29, 2026, between 11:00 AM and 12:00 PM IST
Participation in 'Bharat Connect Conference: Rising Stars - September 2026'
Format specified as a physical group meeting
Company confirmed no unpublished price sensitive information (UPSI) will be disclosed

💡 Track subsequent post-meet disclosures or investor presentations uploaded to stock exchanges after September 29, 2026, for any updates on retail loan growth or asset quality trends.

Northern Arc Capital Allots 1.44 Lakh Equity Shares Under ESOP Plan 2016

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 16 Sep 2026, 03:41 PM

Northern Arc Capital Limited approved the allotment of 1,44,000 equity shares of face value Rs 10 each following option exercises under its ESOP Plan 2016. Consequently, the company's paid-up equity share capital increases marginally from Rs 161.66 crore to Rs 161.81 crore. Total outstanding equity shares rose from 16,16,63,875 to 16,18,07,875. The company will apply for listing and trading approvals for these shares on BSE and NSE.

Allotment of 1,44,000 equity shares of face value Rs 10 each
Paid-up share capital increased from Rs 161,66,38,750 to Rs 161,80,78,750
Total shares increased from 16,16,63,875 to 16,18,07,875
Allotted shares rank pari-passu with existing equity shares

💡 Track the upcoming listing and trading approvals for the newly allotted shares on NSE and BSE; no fundamental action is warranted.

Northern Arc Capital Allots 12,500 Equity Shares Under ESOP 2016

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 31 Aug 2026, 05:24 PM

Northern Arc Capital Limited approved the allotment of 12,500 equity shares of face value Rs 10 each pursuant to the exercise of options under its ESOP Plan 2016. The allotment increases the company's total issued equity share count from 16,16,51,375 shares to 16,16,63,875 shares. Consequently, the paid-up equity share capital increases marginally from Rs 161.65 crore to Rs 161.66 crore. The equity dilution is negligible at less than 0.01% of total equity base.

Allotted 12,500 equity shares of face value Rs 10 each under ESOP Plan 2016
Paid-up equity share capital increases from Rs 161,65,13,750 to Rs 161,66,38,750
Total number of issued equity shares expands to 16,16,63,875 shares
Dilution represents less than 0.01% of the total paid-up share capital

💡 Track subsequent listing and trading approvals on BSE and NSE. No special portfolio action required for this routine ESOP allotment.

Northern Arc Capital to Attend Elara India Dialogue 2026 on September 2, 2026

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 24 Aug 2026, 06:30 PM

Northern Arc Capital Limited has scheduled participation in the Elara India Dialogue 2026 investor conference on Wednesday, September 2, 2026, between 10:00 AM and 2:00 PM IST. The interaction will involve group and one-on-one meetings conducted in physical mode. The company confirmed that discussions will rely strictly on publicly available information with no unpublished price-sensitive information (UPSI) being shared.

Participation scheduled at Elara India Dialogue 2026 conference
Meeting date: Wednesday, September 2, 2026, from 10:00 AM to 2:00 PM IST
Format includes both group and one-to-one physical meetings
Company affirmed no unpublished price-sensitive information will be shared

💡 Track post-meet investor presentations or disclosure transcripts filed with exchanges, if any, for updates on MSME lending growth and credit cost trends.

Northern Arc Capital Shareholders Approve All 18th AGM Resolutions

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 18 Aug 2026, 10:53 PM

Northern Arc Capital Limited has declared the voting results and submitted the Scrutinizer's Report for its 18th Annual General Meeting (AGM) held on August 18, 2026. All proposed resolutions were passed with the requisite majority, including the adoption of FY26 financial statements and the appointment of joint statutory auditors. Special resolutions approving managerial remuneration revisions for the MD & CEO and the Chairperson, along with transitioning the ESOP implementation from Trust to Direct route, were approved with over 95% total assent, despite notable institutional dissent on remuneration items.

Adoption of FY26 standalone and consolidated financial statements passed with 100% voting assent (5,01,22,875 votes in favour)
Revision of MD & CEO Ashish Mehrotra's remuneration and special discretionary payout approved with 96.67% overall votes in favour (institutional dissent at 56.89%)
Revision in commission remuneration for Independent Director & Chairperson P S Jayakumar passed with 95.33% total votes in favour (institutional dissent at 79.49%)
Change of ESOP 2016 scheme implementation from Trust Route to Direct Route approved with 96.26% total assent

💡 Track upcoming quarterly financial results and monitor ongoing retail loan book expansion along with asset quality metrics in the MSME and microfinance segments.

Northern Arc Shareholders Approve Up to ₹5,000 Cr NCD Borrowing Limit at 18th AGM

🟡 NEUTRAL ⭐ 5/10

FUNDRAISE 📅 18 Aug 2026, 01:24 PM

Northern Arc Capital transacted business at its 18th AGM on August 18, 2026, where shareholders approved an enabling special resolution to issue Non-Convertible Debentures (NCDs) on a private placement basis for up to ₹5,000 crore. In addition, M/s. R. Subramaniyan and Company LLP was appointed as Joint Statutory Auditor for a 3-year term (joining Walker Chandiok & Co LLP) following the company's asset size crossing the RBI threshold of ₹15,000 crore. Shareholders also approved an increase in statutory borrowing limits, revisions to executive remuneration, and the transition of the ESOP scheme from Trust to Direct route.

Approved enabling resolution for issuance of NCDs on private placement basis up to ₹5,000 crore.
Appointed M/s. R. Subramaniyan and Company LLP as Joint Statutory Auditor for 3 consecutive years till the 21st AGM.
RBI compliance triggered joint auditor mandate as company asset size exceeded ₹15,000 crore as of March 31, 2026.
Approved revised managerial remuneration and a Special Discretionary Payout for MD & CEO Ashish Mehrotra.

💡 Track subsequent debt tranche issuances, borrowing costs, and quarterly asset quality metrics to evaluate how balance sheet leverage is deployed.

Shareholders approve ₹5,000 Cr NCD enabling limit and appointment of Joint Statutory Auditors

🟡 NEUTRAL ⭐ 4/10

ROUTINE 📅 18 Aug 2026, 01:21 PM

Northern Arc Capital shareholders approved all resolutions at its 18th AGM held on August 18, 2026. Key approvals include an enabling resolution to issue Non-Convertible Debentures (NCDs) on a private placement basis up to ₹5,000 crore (equivalent to ~110% of its ₹4,531 crore market cap). Additionally, following RBI guidelines for NBFCs with assets exceeding ₹15,000 crore, M/s. R. Subramaniyan and Company LLP was appointed as Joint Statutory Auditor for a 3-year term alongside existing auditor Walker Chandiok & Co LLP.

Shareholders approved an enabling resolution to issue NCDs on private placement up to ₹5,000 crore
Asset size exceeded ₹15,000 crore as of March 31, 2026, triggering RBI mandate for Joint Statutory Auditors
M/s. R. Subramaniyan and Company LLP appointed as Joint Statutory Auditors for a 3-year term (18th to 21st AGM)
Approved revised managerial remuneration and ratification of special discretionary payout for MD & CEO Ashish Mehrotra
Transitioned ESOP Scheme implementation from Trust Route to Direct Route

💡 Track subsequent tranche-wise NCD issuance terms (coupon rates, tenures) to evaluate incremental borrowing costs and lending margins.

RBI Imposes ₹6.20 Lakh Penalty on Northern Arc Capital for Complaint Disclosure Lapses

🟡 NEUTRAL ⭐ 3/10

REGULATORY 📅 14 Aug 2026, 10:10 PM

The Reserve Bank of India (RBI) has imposed a monetary penalty of ₹6.20 Lakhs on Northern Arc Capital Limited via an order dated August 14, 2026. The penalty pertains to non-compliances observed as of March 31, 2025, where the company disclosed only 938 complaints instead of 23,956 in its financial statement notes and failed to auto-escalate 11,109 complaints to its Internal Ombudsman. The financial impact is negligible relative to Northern Arc's TTM net profit of ₹404 Cr, and the company stated it has undertaken necessary corrective actions.

RBI imposed a monetary penalty of ₹6.20 Lakhs under Section 58G(1)(b) of the RBI Act, 1934.
The company disclosed only 938 customer complaints instead of 23,956 in the Notes to Accounts for FY25.
Failed to auto-escalate 11,109 rejected/partially rejected complaints to the Internal Ombudsman.
Order received on August 14, 2026; corrective actions have been undertaken by the company.

💡 Track ongoing compliance improvements and grievance redressal disclosures in future annual reports to ensure systems align with RBI norms.

Northern Arc Capital Releases Q1 FY27 Earnings Call Transcript; Targets 30% Retail Growth

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 03 Aug 2026, 07:40 PM

Northern Arc Capital has published the transcript of its earnings conference call held on July 27, 2026. The company recently reported a net profit of ₹133.0 cr for the March 2026 quarter, continuing a growth trend from ₹102.0 cr in the previous quarter. The transcript provides management's detailed perspective on achieving its 30% growth target in the direct retail book and managing credit costs, which rose by 205 basis points in FY25. This filing is a standard regulatory requirement following the quarterly results.

Net profit reached ₹133.0 cr in the March 2026 quarter, up from ₹102.0 cr in Dec 2025
Management maintains a growth target of over 30% for the direct retail book
MSME lending strategy focuses on 42% growth to build long-tenure assets
Credit costs increased by 205 basis points to 3.22% in FY25 due to microfinance stress
Retail segments now comprise 52% of the total AUM as of the latest reporting period

💡 Investors should review the transcript for management's specific commentary on the 15 new branches planned for H1 FY26 and the stabilization of credit costs in the microfinance segment.

Northern Arc Capital Releases Q1 FY27 Earnings Call Audio Recording

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 27 Jul 2026, 08:15 PM

Northern Arc Capital has published the audio recording of its earnings conference call held on July 27, 2026. The call discussed the unaudited financial results for the first quarter ended June 30, 2026. This follows a period of steady growth, with the company reporting a net profit of Rs 133 Cr in the preceding March 2026 quarter. Investors can access the recording via the company's website to understand management's commentary on asset quality and its 30% growth target.

Earnings conference call was conducted on July 27, 2026, at 18:30 IST
Recording pertains to the unaudited financial results for the quarter ended June 30, 2026
The intimation is provided in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015
The company previously reported a TTM PAT of Rs 404 Cr as of the latest available data

💡 Investors should listen to the recording specifically for management's commentary on credit costs, which were 3.22% in FY25, and the execution of the MSME expansion strategy.

Rs 449.8 Cr IPO proceeds: Northern Arc reports zero deviation in utilization

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 27 Jul 2026, 05:39 PM

Northern Arc Capital Limited has confirmed zero deviation in the utilization of its IPO proceeds for the quarter ended June 30, 2026. The company raised a net amount of Rs 4,498.45 million (approximately Rs 449.8 crore) through its initial public offering on September 23, 2024. This mandatory filing under Regulation 32(1) indicates that funds are being deployed as per the objects stated in the prospectus. CRISIL Ratings Limited acts as the monitoring agency for this fund utilization, and no adverse comments were noted.

Net proceeds raised through the IPO totaled Rs 4,498.45 million.
The funds were raised via equity shares on September 23, 2024.
Reported deviation or variation in the use of funds is 0% for the quarter ended June 30, 2026.
CRISIL Ratings Limited is the appointed monitoring agency for the fund utilization.

💡 Investors should review the 'Objects of the Issue' in the company's original IPO prospectus to understand the specific business areas where this capital is being deployed. This is a routine compliance filing requiring no immediate action.

41% PAT Growth: Northern Arc Q1 FY27 PAT reaches ₹114 Cr; AUM up 26% to ₹16,855 Cr

🟢 POSITIVE ⭐ 7/10

EARNINGS 📅 27 Jul 2026, 05:31 PM

Northern Arc Capital reported a strong Q1 FY27 with Profit After Tax (PAT) rising 41% YoY to ₹114 Cr, representing approximately 28% of its TTM PAT in a single quarter. Net Interest Income (NII) saw a significant jump of 61% YoY to ₹394 Cr, driven by a shift toward the Direct-to-Customer (D2C) segment which now accounts for 64% of total AUM. Asset quality remains robust with Net NPA at 0.5% and credit costs improving to 2.6% from 3.04% a year ago. The company successfully crossed the ₹10,000 Cr milestone in D2C AUM during this period.

Profit After Tax (PAT) increased 41% YoY to ₹114 Cr for the quarter ended June 30, 2026.
Total Assets Under Management (AUM) grew 26% YoY to ₹16,855 Cr from ₹13,351 Cr.
Direct-to-Customer (D2C) AUM reached ₹10,766 Cr, now comprising 64% of the total lending book.
Net Interest Income (NII) surged 61% YoY to ₹394 Cr, reflecting improved yields from retail segments.
Asset quality improved with Net NPA declining to 0.5% and RoE expanding by 220 bps to 11.5%.

💡 Investors should monitor the execution of the MSME lending strategy, which is growing at a 45% CAGR, and the stability of credit costs in the rural finance segment where 94% of the portfolio is currently covered under the CGFMU scheme.

41% PAT Growth in Q1 FY27; Northern Arc AUM Reaches ₹16,855 Cr

🟢 POSITIVE ⭐ 7/10

EARNINGS 📅 27 Jul 2026, 05:24 PM

Northern Arc Capital reported a strong Q1 FY27 with Profit After Tax (PAT) rising 41% YoY to ₹114 Cr. Total Assets Under Management (AUM) grew 26% YoY to ₹16,855 Cr, driven by a significant shift toward the Direct-to-Customer (D2C) segment, which now represents 64% of the book. Asset quality improved with Net NPA at 0.5% and credit costs reducing to 2.6%. Return on Assets (RoA) expanded to 2.7%, reflecting improved operational efficiency and a higher-yielding retail mix.

Profit After Tax (PAT) increased 41% YoY to ₹114 Cr, the highest ever Q1 profit for the company
Total AUM grew 26% YoY to ₹16,855 Cr, with the D2C segment crossing the ₹10,000 Cr milestone
Net Interest Income (NII) rose 32% YoY to ₹394 Cr, supported by a 64% D2C mix
Net NPA improved by 6 bps YoY to 0.5%, while credit costs fell 44 bps to 2.6%
Return on Equity (RoE) improved by 220 bps YoY to 11.5%

💡 Investors should monitor the execution of the MoU with Yes Bank for inclusive credit and the performance of the MSME book, which is a key growth driver. Watch for the impact of branch expansion (currently 430 branches) on the cost-to-income ratio in upcoming quarters.

41% YoY PAT Growth to ₹114 Cr in Q1 FY27; D2C Portfolio Crosses ₹10,000 Cr

🟢 POSITIVE ⭐ 7/10

EARNINGS 📅 27 Jul 2026, 04:36 PM

Northern Arc Capital reported a strong Q1 FY27 with consolidated Profit After Tax (PAT) rising 41% YoY to ₹114 Cr. Growth was driven by a 32% YoY increase in Net Interest Income to ₹394 Cr, supported by the Direct-to-Customer (D2C) lending portfolio crossing the ₹10,000 Cr milestone. Asset quality improved significantly with the Gross NPA ratio declining to 1.0% (down 20 bps QoQ) and credit costs reducing to 2.6%. Return on Assets (RoA) expanded to 2.7%, reflecting improved operational efficiency despite ongoing branch expansions.

Consolidated Profit After Tax (PAT) grew 41% YoY to ₹114 Cr for the quarter ended June 30, 2026.
Direct-to-Customer (D2C) lending portfolio reached a milestone of ₹10,000 Cr during the quarter.
Gross NPA ratio improved by 20 bps quarter-on-quarter to 1.0%.
Credit costs decreased by 44 bps YoY to 2.6%, remaining within the guided range of 2.7%-2.8%.
Net Interest Income (NII) increased by 32% YoY to ₹394 Cr.

💡 Monitor the company's ability to maintain asset quality in the MSME and rural segments, especially given management's watchfulness regarding El Niño's impact on the monsoon.

Northern Arc FY26 BRSR: 29,768 Customer Complaints and 51.8% Employee Attrition Reported

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 25 Jul 2026, 07:05 PM

Northern Arc Capital has released its Business Responsibility and Sustainability Report (BRSR) for FY 2025-26, detailing its ESG and operational metrics. The company reported a turnover of ‡2,643.83 Cr, derived entirely from its NBFC operations across 91 Indian offices. While the company met its CSR obligation of ‡7.53 Cr, the report highlights significant operational friction points, including a high permanent employee turnover rate of 51.80% and nearly 30,000 customer complaints. The workforce stands at 1,524 individuals with 16.67% female representation.

Total turnover of ‡2,643.83 Cr for FY26, 100% from financial services
Permanent employee turnover rate reached 51.80% in FY26, up from 40.15% in FY25
Received 29,768 customer complaints during the year, with 938 remaining pending at year-end
CSR expenditure of ‡7.53 Cr fully met the 2% average net profit requirement
Total workforce of 1,524 employees, including 1,126 permanent staff

💡 Investors should monitor the high employee attrition rate (51.8%) and customer complaint volumes in upcoming quarterly results to see if these impact operational costs or brand reputation.

View All NORTHARC Announcements on Live Market Tracking →

💰 Financial Performance

Revenue Growth by Segment

The Direct-to-Customer (D2C) business assets under management grew by 32% YoY, with the MSME segment specifically growing by 42% YoY. Intermediate retail grew by 13% YoY, while performing credit funds increased by 14% YoY. Total AUM reached INR 13,351 Cr as of June 2025, a 12% YoY increase from Q1 FY25.

Geographic Revenue Split

Not disclosed in available documents, though secured business loans are noted to be spread across seven states with 84 branches.

Profitability Margins

Net Interest Margin (NII) stood at 9.0% for H1 FY26. Profit After Tax (PAT) was INR 318 Cr in FY24 and INR 264 Cr in 9M FY25. Return on Managed Assets (RoA) moderated to 2.2% in FY25 and Q1 FY26 from 2.8% in FY24, primarily due to a 205 bps increase in credit costs.

EBITDA Margin

Pre-Provision Operating Profit (PPoP) was 6.1% of quarterly average total assets in H1 FY26, down slightly from 6.3% in H1 FY25. Net Revenue margin stood at 9.7% for H1 FY26.

Capital Expenditure

The company raised INR 500 Cr through an IPO in September 2024, with net proceeds of INR 449.85 Cr fully utilized for onward lending to meet future capital requirements. Additionally, equity funding of INR 3,823 Cr was received in April 2024.

Credit Rating & Borrowing

The company holds a CARE A1+ rating for its INR 500 Cr Commercial Paper. Interest expenses stood at 6.2% of average total assets in H1 FY26, compared to 6.7% in H1 FY25, reflecting a diversified funding profile.

⚙️ Operational Drivers

Raw Materials

Capital is the primary 'raw material' for NACL. Interest expense, representing the cost of this capital, accounts for 6.2% of average total assets, which is approximately 64% of the total net revenue of 9.7%.

Import Sources

Sourced from a network of over 1,000 investor partners including domestic banks, mutual funds, insurance companies, and offshore development finance institutions like the International Financial Corporation (IFC).

Key Suppliers

Key capital providers include the International Financial Corporation (IFC) and various domestic banks and private wealth firms.

Capacity Expansion

Expanded physical infrastructure by adding 15 new branches in H1 FY26 and hiring 100 employees in sales and collection. The branch network for secured business loans reached 84 branches by June 2025.

Raw Material Costs

Interest expense (cost of funds) was 6.2% of average assets in H1 FY26. Procurement strategy involves diversifying the funding base across NCDs, securitization, and bank loans to manage liquidity.

Manufacturing Efficiency

Cost-to-income ratio stood at 37.0% in H1 FY26, compared to 36.5% in H1 FY25, reflecting investments in branch and personnel expansion.

Logistics & Distribution

Operating costs, including distribution and branch expenses, stood at 1.3% of average total assets in H1 FY26.

📈 Strategic Growth

Expected Growth Rate

30%

Growth Strategy

NACL aims to achieve over 30% growth in its direct retail book by expanding its branch network (15 new branches in H1 FY26) and increasing headcount in sales/collections. The strategy focuses on MSME lending (42% growth) to build long-tenured annuity income from secured asset pools.

Products & Services

Microfinance loans, MSME loans, consumer finance, vehicle finance, affordable housing finance, and agricultural supply chain finance. Also provides syndication, structuring services, and fund management through AIFs.

Brand Portfolio

Northern Arc, Nimbus (technology platform), Altifi (retail debt investment platform), Pragati Finserv (MFI subsidiary).

New Products/Services

Secured business loans, started in Q4 FY22, now contribute 9% of AUM as of June 2025. The Altifi platform is expanding into the debt segment with pending stockbroker registrations.

Market Expansion

Expanding direct retail presence through its own branch network and the Pragati Finserv subsidiary, specifically targeting the MSME and rural finance sectors.

Strategic Alliances

Partnerships with smaller NBFCs and digital platforms for retail lending, accounting for 29% of AUM. Pragati Finserv acts as a Business Correspondent for direct MFI lending.

🌍 External Factors

Industry Trends

The industry is shifting from wholesale NBFC lending to direct retail and co-lending models. NACL has repositioned itself with retail exposures increasing from 17% in March 2022 to 52% in June 2025.

Competitive Landscape

Competes with other systemically important NBFCs and digital lending platforms in the MSME and consumer finance space.

Competitive Moat

Durable advantage through the 'Nimbus' platform which has 15 years of credit data and relationships with 1,000+ investors. This network effect facilitates debt placement for over 300 partner institutions.

Macro Economic Sensitivity

Sensitive to interest rate cycles and rural economic health. MFI stress in FY25 was driven by broader sector headwinds, impacting credit costs by over 2%.

Consumer Behavior

Increased demand for digital-first credit and secured MSME loans, prompting NACL to expand its D2C segment by 32% YoY.

Geopolitical Risks

Exposure to offshore investors like IFC makes the company sensitive to international capital flow regulations.

⚖️ Regulatory & Governance

Industry Regulations

Categorized as NBFC-Middle Layer under RBI Scale Based Regulations. Complies with MFIN guardrails for microfinance and RBI capital adequacy norms (CRAR at 26.1% vs regulatory minimum).

Environmental Compliance

Direct exposure to environmental risks is considered low due to the service-oriented nature of the business.

Taxation Policy Impact

Tax expense was 0.8% of average total assets in H1 FY26.

Legal Contingencies

The company spent INR 6.09 Cr on CSR obligations as per Section 135 of the Companies Act. No specific pending court case values were disclosed in the provided text.

⚠️ Risk Analysis

Key Uncertainties

Asset quality in the secured business loan segment is a concern, with 90+ DPD rising to 6.9% in June 2025 from 3.4% in December 2024. Credit costs rose significantly to 3.22% in FY25 due to MFI stress.