Shriram Finance (SHRIRAMFIN) Q1 25/26 earnings summary

Executive summary

• Disbursement growth of 13.01% year-over-year, reaching INR 41,816.75 crore in Q1 FY26.

• Total income for Q1 FY26 rose 20.11% year-over-year to Rs. 115,417.6 mn, with net interest income up 12.55% to Rs. 60,264.3 mn and PAT up 8.84% to Rs. 21,557.3 mn.

• Assets under management (AUM) grew 16.62% year-over-year to INR 2,72,249.01 crore as of June 30, 2025.

• The company acquired 100% equity in Shriram Overseas Investments Limited in May 2025.

• Strong rural and semi-urban demand, especially in used commercial vehicles and passenger vehicles.

Financial highlights

• Net interest income rose 12.55% year-over-year to INR 6,026.43 crore.

• Profit after tax increased by 8.84% year-over-year to INR 2,155.73 crore.

• Net interest margin (NIM) was 8.11%, down from 8.79% in Q1 FY25 and 8.25% in Q4 FY25.

• Earnings per share for the quarter stood at INR 11.46, up from INR 10.54 in Q1 FY25.

• Book value per share rose to Rs. 310.93, a 15.59% increase year-over-year.

Outlook and guidance

• Credit cost expected to remain under 2% for the full year.

• NIM targeted to reach 8.5% by the end of FY26.

• Confident of meeting full-year AUM growth guidance, with MSME growth expected to pick up in coming quarters.

• Expectation of improved performance in Q2 due to favorable rural economic conditions.

• Forward-looking statements caution that actual results may differ due to risks and uncertainties, including strategy execution and policy changes.