Sammaan Capital (SAMMAANCAP) Q1 25/26 earnings summary

Executive summary

• RBI's revised co-lending guidelines and technology investments have enabled an asset-light, digital-led mortgage business model focused on affordable housing and semi-urban markets.

• Total AUM reached ₹62,378 crore in Q1 FY26, with net worth increasing to ₹22,137 crore and continued rundown of the legacy loan book.

• Consolidated net profit for Q1 FY26 was ₹334.3 crore, with consolidated income at ₹2,409.4 crore.

• Strategic initiatives include digital origination, new equity partner for Sammaan Finserve, and organizational restructuring.

• Transitioned to a professionally run, board-governed company with de-promoterisation completed.

Financial highlights

• Net worth increased to ₹22,137 crore; AUM at ₹62,378 crore, with gross AUM at ₹39,805 crore.

• Net interest income was ₹1,213 crore, PPOP at ₹993 crore, and profit after tax at ₹334 crore.

• Net interest margin improved to 6.9%; cost to income ratio at 20.8% (SCL consolidated).

• Disbursements in Q1 were ₹3,736 crore; liquidity coverage ratio at 280%.

• Net gain on derecognition of financial instruments was ₹732.4 crore in Q1 FY26.

Outlook and guidance

• AUM growth to continue with moderate gearing (2x–2.5x), prioritizing yield improvement and digital onboarding for up to 60% of new customers by FY26.

• Annualized credit costs expected at 100 basis points, with quarterly provisioning around ₹100 crore barring one-offs.

• Legacy loan book projected to reduce to ₹15,000 crore by FY26 end, with targeted collections of ₹6,000–7,000 crore in H1.

• ROE targeted to reach low teens by FY27.

• Strong industry outlook with retail credit projected to grow at a CAGR of 14.9% from FY25 to FY27.