Repco Home Finance (REPCOHOME) Q1 25/26 earnings summary

Executive summary

• Achieved highest-ever Q1 disbursements of INR 829 crore (Rs. 8,289 million), with sanctions at INR 907 crore (Rs. 9,066 million), up over 20% year-over-year, though lower sequentially.

• Net profit for Q1 FY26 was INR 108 crore (Rs. 1,080 million), up 2% year-over-year, with AUM at INR 14,690 crore, up 7% YoY.

• Declared a 25% interim dividend (Rs. 2.50 per share) to mark 25 years of operations.

• Appointed Mr. P.K. Vaidyanathan as director and Dr. G. Venkataiah as independent director.

• Focused on expanding branch network, improving employee morale, and strengthening business processes.

Financial highlights

• Standalone revenue from operations for Q1 FY26 was Rs. 435.51 crore, up from Rs. 407.83 crore in Q1 FY25.

• Net interest income increased 9% year-over-year to Rs. 1,914 million, with NIM at 5.23% and spread at 3.27%.

• Cost to income ratio improved to 24.26%.

• Gross NPA at 3.3% (down from 4.3% YoY), net NPA at 1.19%.

• Stage two assets reduced to 9.67% (from 11.65% YoY), with a reduction of INR 175 crore.

Outlook and guidance

• Targeting INR 4,000 crore disbursement and AUM of INR 16,200 crore by FY26 end.

• Aiming to reduce GNPA to 2.5% and stage two assets to 7-8% by year-end.

• Plan to add 40 new branches and upgrade 12 SAT centers, reaching 247 touchpoints.

• Emphasis on maintaining a balanced portfolio mix and robust risk management.

• Focus on under-penetrated markets and continued asset quality improvement.