Tata Capital (TATACAP) Q1 26/27 earnings summary

Executive summary

• Q1 FY 2027 delivered strong growth with consolidated AUM at INR 2.91 lakh crore (₹2,90,502 Cr), up 22% year-on-year, and PAT rising 56% year-on-year to INR 1,547 crore.

• Retail and SME segments made up 85.4% of Net AUM, with unsecured retail loans at 10.3%.

• Housing Finance AUM grew 24% year-on-year to INR 89,416 crore, with PAT up 29%.

• Strategic acquisition of Yogloans (88.6% stake) to expand gold loan segment, subject to regulatory approval.

• Board approved unaudited financial results and re-appointed Chief Compliance Officer for three years.

Financial highlights

• Disbursements grew 33% year-on-year to INR 46,212 crore, with unsecured retail disbursals up 50%.

• Net interest income for Q1FY27 was ₹3,571 Cr, up 25% year-on-year.

• Cost-to-income ratio improved to 36.4%, down 190 bps sequentially.

• Gross stage 3 assets/GNPA at 1.9%, NNPA at 0.8%, and PCR at 57%.

• Capital adequacy at 18.5%, debt-to-equity at 5.3x, and total equity at INR 46,237 crore.

Outlook and guidance

• AUM growth guidance maintained at 23%-25% for FY 2027; PAT CAGR >30% for FY25–28E.

• Targeting ROA of 2.5–2.7% and ROE of 17–18%.

• Credit cost guidance held at 1%, with potential upside if portfolio quality remains strong.

• Retail and SME to remain 85%-88% of the book, with corporate growth capped.