Shriram Finance Delivers Strong Q1 FY27 Results: Consolidated Net Profit Surges 60% YoY to ₹3,453 Crore; AUM Reaches ₹3.14 Lakh Crore

Non-banking financial giant Shriram Finance Limited (NSE: SHRIRAMFIN, BSE: 511218) announced its unaudited consolidated and standalone financial results for the first quarter ended June 30, 2026 (Q1 FY27). Backed by robust credit demand in commercial vehicle financing and high-margin retail segments, the lender registered a 59.90% year-on-year (YoY) jump in consolidated net profit, alongside a 16.16% expansion in total operational revenue.

Executive Financial Summary

Total Revenue from Operations: Reached ₹13,400.43 crore in Q1 FY27, up 16.16% YoY from ₹11,536.32 crore recorded in Q1 FY26. Sequentially, revenue expanded by 7.09% against ₹12,513.43 crore in Q4 FY26.

Interest Income: Grew 15.60% YoY to ₹12,916.27 crore, compared to ₹11,173.55 crore in Q1 FY26.

Total Income: Reached ₹13,418.74 crore for the quarter, supported by ₹18.31 crore in other income.

Profit Before Tax (PBT): Climbed 59.17% YoY to ₹4,625.72 crore, compared to ₹2,906.23 crore in Q1 FY26 and ₹3,917.48 crore in Q4 FY26.

Consolidated Net Profit After Tax (PAT): Surged 59.90% YoY to ₹3,452.77 crore, up from ₹2,159.39 crore in Q1 FY26 and ₹3,020.95 crore in Q4 FY26.

Net Profit Margin: Expanded significantly to 25.73%, up 702 basis points from 18.71% in Q1 FY26 and 24.11% in Q4 FY26.

Earnings Per Share (EPS): Basic and diluted EPS for total operations stood at ₹14.86 and ₹14.85 respectively (face value ₹2/- per share), compared to ₹11.48 in Q1 FY26.

Standalone Performance & Assets Under Management (AUM)

On a standalone basis, Shriram Finance reported a 33.67% YoY increase in Net Interest Income (NII), which rose to ₹8,055.70 crore compared to ₹6,026.43 crore in Q1 FY26. Standalone profit after tax grew 59.79% YoY to ₹3,444.56 crore (versus ₹2,155.73 crore in Q1 FY26).

Total Assets Under Management (AUM) expanded by 15.26% YoY to ₹3,13,798.39 crore (₹3.14 lakh crore), up from ₹2,72,249.01 crore as of June 30, 2025, and ₹3,02,273.75 crore as of March 31, 2026.

Segment-wise AUM Breakdown (Standalone)

Commercial Vehicles: Remains the largest portfolio driver at ₹1,47,034.28 crore (46.86% of total AUM), growing 19.41% YoY.

Passenger Vehicles: Reached ₹68,650.23 crore (21.88% of AUM), up 21.22% YoY.

MSME Financing: Stood at ₹41,962.42 crore (13.37% of AUM), registering an 8.08% YoY growth.

Two-Wheelers: Increased 12.35% YoY to ₹17,813.84 crore (5.68% of AUM).

Construction Equipment: Stood at ₹12,372.66 crore (3.94% of AUM), reflecting a 25.17% YoY drop amid project seasonality.

Personal Loans: Expanded 11.04% YoY to ₹11,420.65 crore (3.64% of AUM).

Gold Loans: Experienced the sharpest segment growth, surging 45.78% YoY to ₹7,513.72 crore (2.39% of AUM).

Farm Equipment: Grew 20.65% YoY to ₹7,030.59 crore (2.24% of AUM).

Operating Cost & Provisioning Breakdown

Consolidated expenditure for Q1 FY27 was well-managed at ₹8,793.02 crore, rising marginally by 1.82% YoY compared to ₹8,636.21 crore in Q1 FY26:

Finance Costs: Reduced by 3.63% YoY to ₹5,204.45 crore (versus ₹5,400.76 crore in Q1 FY26), reflecting optimized borrowing costs.

Impairment on Financial Instruments (Provisions): Stood at ₹1,463.26 crore, compared to ₹1,285.57 crore in Q1 FY26 and ₹1,409.73 crore in Q4 FY26.

Employee Benefits Expense: Increased to ₹1,144.33 crore from ₹977.37 crore in Q1 FY26.

Other Operating Expenses: Totaled ₹680.12 crore, compared to ₹657.09 crore in the year-ago quarter.

Fees and Commission Expenses: Stood at ₹118.07 crore.

Balance Sheet Strengths & Key Ratios

Total tax expense for Q1 FY27 was ₹1,178.46 crore, comprising current tax of ₹1,397.56 crore and a deferred tax credit of ₹219.10 crore.

Net Worth: Expanded significantly to ₹1,08,520.62 crore as of June 30, 2026, compared to ₹65,459.01 crore as of March 31, 2026, and ₹59,059.62 crore as of June 30, 2025.

Debt-to-Equity Ratio: Improved markedly to 2.14 times, down from 3.80 times as of March 31, 2026, and 4.14 times as of June 30, 2025.

Total Debts to Total Assets: Reduced to 0.67, compared to 0.78 as of March 31, 2026.

Capital Reserve Ratios: Debenture Redemption Reserve stood at ₹136.87 crore, while Capital Redemption Reserve was recorded at ₹53.88 crore.

Share Capital: Paid-up equity share capital increased to ₹470.58 crore (face value ₹2/- per share), while Other Equity reached ₹65,542.28 crore.

Source : Equity Bulls

Keywords

ShriramFinance Q1FY27 Q1FY2027 ResultUpdate