Mumbai: South India-focused lender SBFC Finance has delivered strong results for Q3 FY26, with its net profit rising 34% year on year to ₹118 crore as the company benefitted from improved asset quality and lower NPAs.
The company’s revenues have reached ₹426 crores, a 27.8% YoY growth, with its Assets Under Management rising to ₹10,478, a 29% increase. Its Net Non Performing Assets (NPAs) have reduced to 1.48% in Q3, from 1.63% last year.
The revenue growth was driven mostly by its core lending business, with its interest income growing to ₹393 crore from ₹301 crore in the quarter ended December 2024.
The company has focused on lending to MSMEs, with its focus segment being ticket sizes of ₹50k to ₹3 lakh, which has grown at 24.4% CAGR. SBFC Finance has been growing steadily, with its AUM crossing ₹10,000 crore in Q3 FY26.
For investors, these developments offer hope for better returns, despite the company’s shares falling 13.70% in the last six months. The Earnings Per Share (EPS) for SBFC has improved from ₹0.82 last year to ₹ 1.08 this time, even as the company offers consistent returns over the past 5 years
SBFC’s Finance shares closed at ₹102.30 on January 23, the last trading session before the company released its Q3 finances.
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.
