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SBFC Finance Limited (SBFC)

₹85.20 -2.78% last close, 16 Oct

📊 NSE: SBFC 🏢 Finance & Investments 📢 Latest filing: 14 Oct 2026 📝 Analysis written: 14 Dec 2025

Q2 FY27 results

📅 Next results: 24 Oct 2026 (board meeting)

SBFC Finance Limited's board meets on 24 Oct 2026 to consider its Q2 FY27 results (July-September 2026).

In its latest reported quarter, Q1 FY27, SBFC Finance's net interest income was ₹339 Cr (+28.9% year on year, +10.4% on the previous quarter), and net profit ₹130 Cr (+28.8% year on year).

Q1 FY27 (₹ Cr)	Value	YoY vs Q1 FY26	QoQ
Net interest income	₹339	+28.9%	+10.4%
Operating profit	₹174	—	—
Net profit	₹130	+28.8%	+5.8%
EPS (₹)	1.18	+26.9%	+6.3%

Full quarterly financials → Results calendar →

SBFC delivery percentage

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

On Fri, 16 Oct 2026, 48.34% of the SBFC shares traded on NSE were taken to delivery, against the stock's own 20-session average of 52.51%. That is close to its usual level. Volume was 0.4 times its average, well below normal.

48.34%Delivery, 16 Oct

52.51%Own 20-session average

0.4×Volume vs its average

₹85.20NSE close · -2.78%

Delivery in the last 5 sessions: 18.1% · 34.7% · 49.2% · 48.3% · 48.3%

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

India Ratings Affirms Ratings for SBFC-Originated Securitisation Notes of INR 395.09M

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 14 Oct 2026, 08:05 PM

India Ratings and Research has affirmed the credit ratings for the pass-through certificates issued under Prime Trust LAP Aug 22, originated by SBFC Finance Limited. The Series A1 securitisation notes (INR 309.09 million) were affirmed at 'IND AA(SO)/Stable', while the Series A2 notes (INR 86 million) were affirmed at 'IND BBB-(SO)/Stable'. As of September 15, 2026, the underlying collateral pool had an aggregate principal outstanding balance of INR 395 million across 479 loans, amortised by 65.56%. The 90+ days past due loans stood at 1.94% of original principal with a cumulative collection efficiency of 98.3%.

India Ratings affirmed Series A1 notes (INR 309.09 million) at IND AA(SO)/Stable
Series A2 notes (INR 86 million) affirmed at IND BBB-(SO)/Stable
Underlying pool amortised by 65.56% with INR 395 million principal outstanding across 479 loans
90+ days past due delinquencies stood at 1.94% of original POS with cumulative collection efficiency of 98.3%
Total issue size across both tranches equals INR 395.09 million

💡 Track overall asset quality metrics and collection efficiencies in upcoming quarterly results, particularly across the MSME Loan Against Property (LAP) portfolio.

SBFC Finance Confirms No Change in Compliance Officer and RTA for Q2 FY27

🟡 NEUTRAL ⭐ 1/10

ROUTINE 📅 13 Oct 2026, 11:54 AM

SBFC Finance Limited submitted its quarterly compliance disclosure pursuant to Regulations 6(1) and 7(1) of SEBI LODR for the quarter ended September 30, 2026. The company confirmed that Ms. Namrata Sajnani continues as the Company Secretary and Compliance Officer. KFin Technologies Limited remains the Registrar and Share Transfer Agent (RTA). The filing confirms zero changes to either role during the quarter, representing a purely procedural disclosure.

Compliance disclosure filed under SEBI LODR Regulations 6(1) and 7(1) for quarter ended 30th September, 2026
Ms. Namrata Sajnani confirmed as Company Secretary and Chief Compliance Officer
KFin Technologies Limited (SEBI Reg. No. INR000000221) maintained as Registrar & Share Transfer Agent
Company reported zero changes in Compliance Officer or RTA positions during the quarter

💡 No investor action required; this is a standard quarterly compliance filing. Investors should track upcoming Q2 FY27 operational earnings releases.

ICRA Reaffirms [ICRA]AA- (Stable) for SBFC; Long-Term Bank Facilities Enhanced to ₹3,000 Cr

🟡 NEUTRAL ⭐ 4/10

ROUTINE 📅 05 Oct 2026, 08:16 PM

SBFC Finance announced that rating agency ICRA has reaffirmed its long-term ratings across key borrowing instruments on October 5, 2026. The company's long-term fund-based bank facilities were reaffirmed at [ICRA]AA- (Stable) and enhanced by ₹900 crore to ₹3,000.00 crore (previously ₹2,100.00 crore). Additionally, ratings for ₹200.00 crore Commercial Paper ([ICRA]A1+) and ₹400.00 crore Non-Convertible Debentures ([ICRA]AA- Stable) were reaffirmed. The reaffirmation and facility expansion support SBFC's borrowing capacity against its TTM revenue of ₹1,307 crore.

Long-term bank facilities rating reaffirmed at [ICRA]AA- (Stable) with rated limit enhanced by ₹900.00 crore to ₹3,000.00 crore
Commercial Paper rating reaffirmed at [ICRA]A1+ for an amount of ₹200.00 crore
Non-Convertible Debentures (NCDs) rating reaffirmed at [ICRA]AA- (Stable) for ₹400.00 crore (including ₹300.00 crore unutilised)
Largest bank limit allocations include State Bank of India (₹731.35 crore across two tranches) and Bank of India (₹508.24 crore across three tranches)

💡 Track the upcoming quarterly earnings for updates on borrowing costs and credit spreads, as well as loan book growth utilizing the enhanced ₹900 crore bank facility limits.

India Ratings Revises SBFC Finance Outlook to Positive; Affirms 'IND AA-' Rating

🟢 POSITIVE ⭐ 9/10

OTHER 📅 30 Sep 2026, 07:16 PM

India Ratings and Research has affirmed SBFC Finance Limited's long-term debt rating at 'IND AA-' while revising its outlook from Stable to Positive. The rating agency also assigned an 'IND AA-/Positive' rating to an additional Rs 1,000 crore bank loan facility, covering total rated bank facilities of Rs 6,000 crore and NCDs of Rs 500 crore. As of 1QFY27, SBFC's AUM reached Rs 11,920 crore with a Return on Average AUM of 4.5% and Return on Tangible Equity of 14.8%. The outlook revision is supported by granular lending, healthy capitalisation, and expanding franchise across 256 branches.

Outlook revised to Positive from Stable on 'IND AA-' rating across Rs 6,000 crore bank loan facilities and Rs 500 crore NCDs
Assigned 'IND AA-/Positive' rating to a fresh Rs 1,000 crore bank loan facility
AUM expanded to Rs 11,920 crore (INR 119.2 billion) as of 1QFY27 with Return on Tangible Equity at 14.8%
Borrowing costs reduced to 7.6% in 1QFY27 (from 9.1% in FY25), aided by a diversified borrowing base across 36 lenders

💡 Track subsequent credit rating upgrades and monitor quarterly borrowing costs alongside asset quality seasoning (GNPA was 2.66% in 1QFY27).

Ind-Ra Affirms 'IND AA(SO)/Stable' Rating for SBFC-Originated PTCs Worth ₹37.6 Cr

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 23 Sep 2026, 06:44 PM

India Ratings & Research (Ind-Ra) has affirmed its rating of 'IND AA(SO)/Stable' on Series A1 securitised notes issued by Prime Trust SBL Aug 22, originated by SBFC Finance Limited. The underlying issue size stands at INR 376.25 million (₹37.625 cr) against an underlying loan pool principal outstanding of INR 495.32 million across 998 loans. The loan pool is amortised by 67.82% with a weighted average seasoning of 59.85 months and cumulative collection efficiency of 97.9%. SBFC Finance's standalone debt remains rated at 'IND AA-'/Stable.

India Ratings affirmed Series A1 securitised notes at 'IND AA(SO)/Stable' for Prime Trust SBL Aug 22.
Issue size is INR 376.25 million, maturing on 20 September 2032 with a coupon rate of 8.45% p.a.
Pool amortisation reached 67.82% with 90+ dpd delinquency standing at 2.57% of original POS as of July 2026.
Cumulative collection efficiency of the 998-loan pool is strong at 97.9% with weighted average seasoning of 59.85 months.

💡 Track quarterly asset quality and collection trends in SBFC's core MSME-LAP portfolio to ensure delinquency levels remain well-managed.

Ind-Ra Affirms 'IND AA(SO)/Stable' Rating for SBFC-Originated PTCs Worth ₹37.6 Cr

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 23 Sep 2026, 06:39 PM

India Ratings affirmed Series A1 securitised notes at 'IND AA(SO)/Stable' for Prime Trust SBL Aug 22.
Issue size is INR 376.25 million, maturing on 20 September 2032 with a coupon rate of 8.45% p.a.
Pool amortisation reached 67.82% with 90+ dpd delinquency standing at 2.57% of original POS as of July 2026.
Cumulative collection efficiency of the 998-loan pool is strong at 97.9% with weighted average seasoning of 59.85 months.

💡 Track quarterly asset quality and collection trends in SBFC's core MSME-LAP portfolio to ensure delinquency levels remain well-managed.

SBFC Finance Allots ₹100 Cr Floating Rate Secured NCDs on Private Placement

🟡 NEUTRAL ⭐ 4/10

FUNDRAISE 📅 18 Sep 2026, 09:16 PM

SBFC Finance has approved the allotment of 10,000 secured, listed, redeemable, rated NCDs of face value ₹1,00,000 each, raising ₹100 Crore on a private placement basis. The NCDs carry an initial floating coupon of 8.00% (3M MIBOR-OIS benchmark of 5.43% plus a spread of 2.57%) reset quarterly. The tenor is 45 months, maturing on June 18, 2030, with scheduled amortizing redemption payments. The fundraising represents roughly 2.7% of SBFC's net worth of ₹3,725 Crore and ~7.6% of FY25 revenue (₹1,307 Crore).

Allotment of 10,000 secured NCDs of face value ₹1,00,000 aggregating to ₹100 Crore
Initial coupon set at 8.00% (3M MIBOR-OIS at 5.43% + 2.57% spread) with quarterly reset
Maturity tenure of 45 months with final maturity on June 18, 2030
Secured by a first ranking pari-passu charge over hypothecated assets and proposed to list on BSE

💡 Track the impact of floating borrowing rates on SBFC's net interest margin (NIM) in upcoming quarterly results as interest rates adjust.

SBFC Finance Assigned FY26 ESG Rating of 75.00 ('Leader') by Niche99

🟡 NEUTRAL ⭐ 2/10

OTHER 📅 16 Sep 2026, 11:53 AM

SBFC Finance Limited informed exchanges that Niche99 ESG Ratings, a SEBI-registered provider, has assigned the company an ESG score of 75.00, placing it in the 'Leader' category for FY26. The rating was independently prepared based on publicly available data, without direct engagement by SBFC. The intimation was received by the company on September 15, 2026. While positive for ESG-focused institutional visibility, it has no immediate impact on revenue or earnings.

Assigned an ESG rating of 75.00 for the financial year 2025-26
Categorized as a 'Leader' by SEBI-registered provider Niche99 ESG Ratings
Rating was unsolicited and prepared independently from public domain data
Rating receipt date was 15th September, 2026

💡 Track whether high ESG scores aid in lowering borrowing costs or improving institutional shareholding over time.

ICRA Revalidates [ICRA]AA- (Stable) Rating for SBFC Finance's ₹400 Cr NCDs

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 08 Sep 2026, 11:49 AM

SBFC Finance has disclosed that ICRA Limited revalidated its credit rating for ₹400.00 crore of Non-Convertible Debentures (NCDs) on September 7, 2026. The assigned rating remains unchanged at [ICRA]AA- with a Stable outlook, reiterating the stance originally communicated on April 30, 2026. The rated NCDs are currently unallocated ('yet to be placed'), representing approximately 10.7% of the company's net worth (₹3,725 crore). This is a routine revalidation confirming funding lines remain open under existing rating terms.

ICRA revalidated rating of [ICRA]AA- with Stable outlook on September 7, 2026
Instrument covered is Non-Convertible Debentures amounting to ₹400.00 crore
Revalidated rating reaffirms terms originally communicated on April 30, 2026
Rated NCDs are categorized as 'yet to be placed'

💡 Track the eventual placement and coupon pricing of the ₹400 crore NCDs to monitor SBFC's incremental cost of borrowing.

SBFC Finance Allots 8.16 Lakh Equity Shares Under ESOP Schemes

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 03 Sep 2026, 07:37 PM

SBFC Finance Limited has allotted 8,15,852 equity shares of face value Rs 10 each to eligible employees pursuant to the exercise of options under various ESOP schemes. The shares were exercised across multiple schemes at prices ranging from Rs 40 to Rs 87.33 per share. Following this allotment, the company's paid-up equity share capital increased from 1,10,82,06,715 shares to 1,10,90,22,567 shares. The equity dilution is minimal at approximately 0.07% of the total paid-up base.

Allotment of 8,15,852 equity shares of Rs 10 face value under various ESOP schemes
Exercise prices range from Rs 40 to Rs 87.33 per share across 5 different ESOP schemes
Issued and paid-up capital increased to Rs 11,09,02,25,670 (1,10,90,22,567 shares)
Largest tranche allotted under SBFC Stock Option Policy 2023-II comprising 5,00,000 shares at Rs 55

💡 This is a routine administrative filing regarding ESOP allotment. Investors should track quarterly financial performance and AUM growth in upcoming earnings releases.

SBFC Finance Assigned ESG Rating of 68 by NSE Sustainability Ratings for FY 2025-26

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 03 Sep 2026, 02:15 PM

SBFC Finance Limited informed the exchanges that NSE Sustainability Ratings and Analytics Limited, a SEBI-registered ESG Rating Provider, has assigned an ESG rating of 68 to the company for FY 2025-26. The company noted that this rating was unsolicited and prepared independently based on publicly available data. SBFC Finance received the rating report on September 2, 2026. This announcement has no direct impact on financial performance or credit ratings.

ESG rating of 68 assigned to the company for FY 2025-26
Assigned by SEBI-registered provider NSE Sustainability Ratings and Analytics Limited
Independent evaluation conducted without direct engagement by SBFC Finance using public data
Report received by the company on September 2, 2026

💡 Track core operational metrics including MSME loan growth and asset quality in upcoming quarterly results; no action is required on this routine ESG scoring update.

India Ratings assigns final 'IND AA+(SO)/Stable' to SBFC's ₹217.6 Cr LAP securitised notes

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 26 Aug 2026, 02:28 PM

SBFC Finance announced that India Ratings and Research has converted its provisional rating to a final rating of 'IND AA+(SO)/Stable' for Series A1 Securitised Notes issued under Horizon Trust LAP June 2026. The asset-backed securitisation (ABS) issue is sized at INR 2,176.02 million (~₹217.6 cr), representing about 16.6% of SBFC's TTM revenue of ₹1,307 cr. The floating-rate instrument matures on August 20, 2040, and is linked to the ICICI 6M MCLR.

Final rating of IND AA+(SO)/Stable assigned by India Ratings to Series A1 Securitised Notes
Total issue size stands at INR 2,176.02 million (~₹217.6 cr)
Securitisation notes carry a floating coupon linked to ICICI 6M MCLR with maturity on 20 August 2040
Conversion from provisional to final rating followed execution of standard transaction documentation

💡 Track SBFC's asset quality and collection efficiency across its loan-against-property (LAP) book in upcoming quarterly results, as securitisation forms a standard liquidity management tool.

SBFC Finance Assigned ESG Rating of 76.7 by SES ESG Research for FY26

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 17 Aug 2026, 06:34 PM

SBFC Finance Limited announced that SES ESG Research Private Limited, a SEBI-registered ESG Rating Provider, assigned the company an ESG rating of 76.7 for FY 2025-26. The rating was prepared independently using publicly available information, without direct commercial engagement by SBFC Finance. The company received the report on 16th August, 2026. This disclosure is informational and has no direct impact on the company's financial operations or credit standing.

SES ESG Research assigned an independent ESG rating of 76.7 to SBFC Finance for FY 2025-26.
The rating report was prepared independently from public domain data without company engagement.
SBFC Finance received the formal rating report on 16th August, 2026.

💡 Monitor regular quarterly operational performance and MSME AUM growth; no action is required on third-party unsolicited ESG ratings.

8.99 Lakh Shares Allotted Under Various ESOP Schemes

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 31 Jul 2026, 06:33 PM

SBFC Finance Limited has allotted 899,942 equity shares to employees and ex-employees following the exercise of stock options on July 31, 2026. The allotment spans five different ESOP schemes with exercise prices ranging from ₹40 to ₹87.33 per share. This action results in a marginal equity dilution of approximately 0.08% of the pre-allotment share capital. The total paid-up equity capital has increased to ₹1,108.21 crore following this issuance.

Allotment of 899,942 equity shares completed on July 31, 2026
Exercise prices set at ₹40, ₹55, and ₹87.33 across different policy years
Largest single scheme allotment of 662,500 shares under the 2023 II Policy
Total issued share count increased from 1,10,73,06,773 to 1,10,82,06,715
Equity dilution resulting from this allotment is approximately 0.08%

💡 Investors should treat this as a routine administrative event. Monitor upcoming quarterly results for any significant changes in employee benefit expenses related to ESOP amortisation.

SBFC Q1 FY27: PAT Grows 29% YoY to ₹130 Cr; NIMs Expand to 10.6% Amid Tighter Credit Filters

🟢 POSITIVE ⭐ 7/10

EARNINGS 📅 31 Jul 2026, 03:27 PM

SBFC Finance reported a strong Q1 FY27 with PAT rising 29% YoY to ₹130 Cr, supported by a 27% YoY growth in AUM to ₹11,922 Cr. Net Interest Margins (NIMs) expanded by 39 bps to 10.6%, driven by a 90 bps YoY reduction in the cost of funds. Management has adopted a cautious stance on the sub-₹10 lakh loan segment, leading to a drop in login-to-disbursal conversion from 42% to 34%. To build a buffer against rising 0+ DPD (up 70 bps), the company doubled its Stage 2 ECL provisioning to 16%.

AUM reached ₹11,922 Cr, a 27% YoY increase, with MSME disbursements growing 3% QoQ to ₹809 Cr.
NIMs and Spreads both expanded by 39 bps to 10.6% and 9.4% respectively, aided by lower borrowing costs.
PAT of ₹130 Cr for the quarter represents approximately 37.6% of the total TTM PAT of ₹345 Cr.
Total provisioning increased to 1.91% of assets, which is 2x the regulatory minimum, following a hike in Stage 2 ECL coverage to 16%.
Co-origination mix reset to 10% from the usual 20% due to new regulatory norms on collateral, but is expected to normalize in Q2.

💡 Watch for the stabilization of 0+ DPD levels in Q2 and the recovery of the co-origination business run-rate following the regulatory reset.

View All SBFC Announcements on Live Market Tracking →

💰 Financial Performance

Revenue Growth by Segment

Total Income grew 28% YoY to INR 1,306.1 Cr in FY25. Interest Income on Loans grew 35% to INR 1,167.4 Cr, while Fee & Other Income grew 8% to INR 109.8 Cr. Interest Income other than on Loans declined 45% to INR 28.9 Cr.

Geographic Revenue Split

Operations are spread across 205 branches in 16 states and 2 Union Territories, focusing on underbanked Tier II and Tier III cities.

Profitability Margins

Net Profit Margin was 26.4% (INR 345.2 Cr PAT on INR 1,306.1 Cr income). Return on Average AUM improved to 4.53% (up 39 bps) and Return on Average Tangible Equity reached 12.72% (up 144 bps).

EBITDA Margin

Pre-Provisioning Operating Profit (PPOP) margin was 40.7% (INR 532.2 Cr on INR 1,306.1 Cr income), improving from 35.6% in FY24 due to a 47% YoY growth in PPOP.

Capital Expenditure

Raised INR 750 Cr through IPO and pre-IPO funding to strengthen Tangible Net Worth to INR 2,930 Cr. Primary capital usage is for AUM growth and branch network expansion (205 branches).

Credit Rating & Borrowing

Reaffirmed [ICRA]AA- (Stable) and CARE AA- (Stable) for long-term facilities; CARE A1+ assigned for Commercial Paper. Finance costs increased 20% YoY to INR 419.2 Cr.

⚙️ Operational Drivers

Raw Materials

Debt Capital (Bank Term Loans, Non-Convertible Debentures, Commercial Paper) represents the primary cost of capital.

Import Sources

Domestic financial markets and the Indian banking system.

Key Suppliers

Public Sector Undertaking (PSU) Banks, Private Banks, and Financial Institutions (88% of funding profile).

Capacity Expansion

Current network of 205 branches across 16 states and 2 UTs. Expansion is focused on Tier II and Tier III cities to target the INR 4 Trillion MSME lending market.

Raw Material Costs

Finance costs (cost of capital) stood at INR 419.2 Cr, representing 32.1% of total income, a 20% increase YoY as the company scaled its AUM to INR 9,351 Cr.

Manufacturing Efficiency

Operating efficiency improved as OpEx to Average AUM ratio decreased by 69 bps to 4.65% in FY25.

Logistics & Distribution

Operating expenses of INR 354.6 Cr (27.1% of income) cover the distribution network of 205 branches.

📈 Strategic Growth

Expected Growth Rate

25-30%

Growth Strategy

Targeting the INR 4 Trillion MSME segment (loans between INR 0.5M-3M) which is growing at a 24% CAGR. Strategy involves deeper penetration into Tier II/III cities and leveraging a technology-led underwriting model.

Products & Services

Loan Against Property (LAP), Gold Loans, and Insurance products (Composite Corporate Agent).

Brand Portfolio

SBFC

New Products/Services

Obtained a Corporate Agent (Composite) License from the Insurance Regulatory authority to cross-sell insurance products.

Market Expansion

Deeper penetration into Tier II and Tier III cities across 16 states to capture the 24% CAGR growth in the MSME segment.

Strategic Alliances

Backed by the Clermont Group; acquired legacy portfolio from Karvy Financial Services Limited.

🌍 External Factors

Industry Trends

The MSME lending market for loans between INR 0.5M-3M is valued at INR 4 Trillion and is growing at a 24% CAGR. The industry is shifting toward digital-first lending and is governed by the RBI's scale-based regulatory framework.

Competitive Landscape

Competes with banks and other NBFCs in the INR 4 Trillion MSME lending space.

Competitive Moat

The company maintains a durable advantage through its focus on a granular, secured loan book (LAP and Gold) which limits Loss Given Default. This is supported by a management team with 28+ years of experience (ex-HDFC Bank) and a technology-led underwriting model.

Macro Economic Sensitivity

Sensitive to India's GDP growth (6.5% in 2025) and MSME sector health; MSME loan book doubling every three years (24% CAGR).

Consumer Behavior

Shift toward digital credit access and formalization of MSME lending.

Geopolitical Risks

Low direct impact; primarily domestic lending focus.

⚖️ Regulatory & Governance

Industry Regulations

RBI Scale-Based Regulatory framework and Insurance Regulatory (for corporate agency license).

Environmental Compliance

Promotes digital lending and paperless operations to reduce environmental footprint; reported zero instances of data breaches or regulatory penalties in FY25.