Mumbai: Leading non-banking financial company (NBFC) Piramal Finance has delivered a strong turnaround for the quarter ended March 31, 2026 with the lender’s consolidated net profit rising by a staggering 390% from ₹102 crore in Q4FY26 to ₹502 crore this time. Along with this, the company has reported a 25% year on year (YoY) growth in consolidated Assets Under Management (AUM) to ₹1,01,230 crore as the company has successfully turned itself around through targeted retail growth that remains the strongest and fastest in the industry.
Piramal Finance has also worked to clean up its toxic loans to builders, which once made up to 66% of its AUM. Today, that number is down to just 3%, as the company marks the fastest clean ups to its balance sheets in years. Beyond this, the company has also expanded its retail presence to 701 branches across 26 states, as it increased its customer base by 22% to 5.7 million borrowers.
The NBFC received a strong ₹1,590 crore boost in one-off capital gains as it sold off its stake in Shriram Life Insurance and received $148 million in deferred cash consideration for the sale of Piramal Imaging, the company noted in a disclosure to the bourses.
Beyond this, the company has been at the forefront of deploying Generative AI technologies, as it deployed 29 live automated voice and chat bots to handle customer support, Beyond that, it has deployed its generative AI technologies by over 3x as well. Crucially, the company has seen its loan collections scale up nearly 10x, allowing it to drive down overall retail operating expenses to AUM from 4% to 3.4%.
Q4 Financial Snapshot
| Key Financial Metric | Fourth Quarter (Q4 FY25) | Fourth Quarter (Q4 FY26) | Year-on-Year (YoY) Change % | Full Year Performance (Audited FY26 Ledger) |
| Net Interest Income (NII) | ₹964 Crore | ₹1,362 Crore | 41.29% | Fueled by a robust 34% increase in retail loan disbursements, which touched ₹13,101 crore in Q4 alone. |
| Net Interest Margin (NIM) | 6.36% | 6.50% | +14 bps | Expanded due to a highly profitable retail yield mix and a 29 bps decline in borrowing costs to 8.84%. |
| Reported Net Profit (PAT) | ₹102 Crore | ₹502 Crore | 392.15% | Full-year FY26 PAT soared 210% to ₹1,506 crore, beating management’s target band of ₹1,300–1,500 crore. |
| Gross NPA (Stage 3 Ratio) | 2.80% | 2.30% | -50 bps | Asset quality improved significantly, with the core retail 90+ DPD delinquency dropping down to just 0.6%. |
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investing in stocks includes financial risks, and past performance is not indicative of future results. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
