Shriram Finance (SHRIRAMFIN) investor relations material

Executive summary

• Achieved strong Q4 and FY26 results, with AUM surpassing ₹3 trillion and robust growth in disbursements, AUM, and profitability despite macroeconomic volatility.

• Completed a major capital infusion with MUFG Bank acquiring a 20% stake via a ₹396.2 billion preferential allotment, strengthening capital adequacy and supporting long-term expansion.

• Board recommended a final dividend of ₹6 per share, bringing total FY26 dividend to ₹10.8 per share, subject to AGM approval.

• Credit ratings upgraded to AAA/Stable by ICRA, CRISIL, and India Ratings; Fitch upgraded to BBB-/Stable.

• Disinvestment of Shriram Housing Finance Limited and Bharath Investments Pte Ltd completed, impacting exceptional items and discontinued operations.

Financial highlights

• Disbursements grew 14.91% YoY in Q4 FY26 to ₹509,523 million.

• AUM rose 14.85% YoY to ₹3,022,737.5 million; sequential growth was 3.62%.

• Net interest income increased 15.58% YoY to ₹69,940.8 million in Q4 FY26.

• PAT surged 40.86% YoY in Q4 FY26 to ₹30,135.7 million; FY26 PAT (excl. exceptional items) up 20.87% YoY to ₹99,981.5 million.

• EPS for FY26 stood at ₹53.15 (standalone) and ₹53.29 (consolidated).

Outlook and guidance

• Projected AUM growth of 18% for FY27, with segmental growth: CV 15-18%, PV >20%, MSME 13-15%, gold >30%.

• Net interest margin budgeted at 8.5% for FY27.

• OpEx to remain at 26-27% of income; credit cost to be revisited after Q1 based on macro conditions.

• Strengthened capital base and upgraded credit ratings position the company for long-term strategic expansion.

• Resource mobilisation plan for FY27 approved, including debt securities, ECBs, and securitisation.