L&T Finance
Book value per share of the company stood at Rs 108.4 per share at end December 2025. Adjusted book value (net of NNPA) per share of the company stood at Rs 104.3 per share at end December 2025.
Retailisation stands at 98% at end December 2025.The company has achieved highest ever retail disbursements for Q3FY26 at Rs 22701 crore, up 49% YoY. Robust retail franchise with a retail portfolio of Rs 111990 crore, reflecting a 21% growth YoY. Consolidated loan book grew by 20% YoY to Rs 114285 crore
All-time high disbursements in Two-Wheeler Finance at Rs 3217 crore and Farmer Finance at Rs 2783 crore growing 33% YoY and 12% YoY, respectively
NIMs+Fees sequentially improved by 19 basis points (bps) QoQ to 10.41% from 10.22% in Q2FY26 owing to a continuous focus on yield and fee improvement and efficient liability management strategy
Rural Business Finance business asset quality improves significantly with 0 Days Past Due (DPD) collection efficiencies reaching 99.7% in December 2025
Credit cost improved sequentially - Credit Cost (before macro) reduced from 2.98% in Q2FY26 to 2.83% in Q3FY26, a reduction of 15 bps QoQ and 8 bps YoY
Return on Assets (RoA) stood at 2.31% in Q3FY26 (before exceptional items at 2.37%)
Improvement in both Profitability and RoA registered during the quarter despite nil utilization of macro-prudential provisions highlights the strength of the retail franchise
GST 2.0 and robust festive demand resulted in all-time high disbursements in Two-wheeler Finance at Rs 3217 crore and Farmer Finance at Rs 2783 crore growing 33% YoY and 12% YoY, Respectively
Business Highlights:
The Company?s granular and deep pan-India Retail franchise is led by its strong distribution capabilities, namely, its geographic presence in around 2 Lakh villages from around 2257 rural meeting centers/branches and 439 branches across urban centers. This extensive geographic presence is also supported by around 14000 distribution points built over 15 years. In Q3FY26, the Company also launched its first Sampoorna Branch in Ujjain, Madhya Pradesh. The Company also leverages around 2.8 crore of its customer database to drive a credible cross-sell and up-sell franchise, contributing 40% of the Company?s repeat disbursements share in value and 48% in count during Q3FY26. The Company has a portfolio mix of 59% Urban and 41% Rural.Rural Business Finance: Q3FY26 disbursements at Rs 6740 crore vs. Rs 4599 crore, up 47% YoY. Book size at Rs 28976 crore vs. Rs 26231 crore, up 10% YoY. Growth driven by heightened focus on improving collection efficiency and macro sectoral trends.
Farmer Finance: Q3FY26 disbursements at Rs 2783 crore vs. Rs 2495 crore, up 12% YoY. Book size at Rs 16671 crore vs. Rs 15075 crore, up 11 % YoY. GST 2.0 along with a favourable monsoon fueled robust festive demand resulted in all-time high disbursements
Two-wheeler Finance: Q3FY26 disbursements at Rs 3217 crore vs. Rs 2414 crore, up 33% YoY. Book size at Rs 13913 crore vs. Rs 12676 crore, up 10% YoY. GST 2.0 & robust festive demand resulted in all-time high disbursements.
Personal Loans: Q3FY26 disbursements at Rs 3574 crore vs. Rs 1642 crore, up 118% YoY. Book size at Rs 12810 crore vs. Rs 7820 crore, up 64% YoY. Growth in the segment aided by big tech partnerships and focus on continuously broadening customer acquisition channels
Housing Loans and Loan Against Property: Q3FY26 disbursements at Rs 2879 crore vs. Rs 2475 crore, up 16% YoY. Book size at Rs 28682 crore vs. Rs 23461 crore, up 22% YoY.
SME Finance: Q3FY26 disbursements at Rs 1550 crore vs. Rs 1249 crore, up 24% YoY. Book size at Rs 7946 crore vs. Rs 5817 crore, up 37% YoY.
Gold Loan: Q3FY26 disbursements at Rs 1408 crore. Book size reached Rs 1738 crore. Focus remains on geo-expansion and increasing disbursement from new branches. Developing digital finance delivery as a customer value proposition.
Commenting on the financial results, Sudipta Roy, Managing Director & CEO, LTF, said, ?Q3FY26 for the financial services sector has been defined by a powerful convergence of favourable macro-tailwinds. The implementation of GST 2.0, good monsoons, and a series of repo rate cuts have seen a surge in consumption and created an environment for growth. In Q3FY26, LTF?s focus remained on delivering a standout performance across business segments. We registered the highest ever quarterly disbursements of Rs 22701 crore, up 49% YoY, and the retail portfolio reaching Rs 111990 crore, reflecting a growth of 21% YoY leading to a PAT of Rs 760 crore, up 21% YoY (without the impact of a one-time exceptional item). In line with our commitment to deliver a sustainable and profitable growth across quarters, we are focused on transforming LTF into a risk-first, tech-first, multi-product retail financier of choice. In line with this, we have been continuously broadening our customer acquisition funnels while sourcing creditworthy customers backed by technology and robust credit guardrails, while keeping a strong focus on collection efficiencies across businesses. Our proprietary AI driven next-gen digital credit engine ?Project Cyclops? is now implemented in Personal Loans in addition to Two-wheeler, Farm Equipment, and SME Finance businesses. It will go live in Home Loans and LAP and Rural Group Loans and MFI businesses in FY27. At LTF, we are no longer just automating processes, we are deploying predictive intelligence at scale. Our portfolio management engine, ?Project Nostradamus,? is now live in Beta for Two-wheeler Finance, while ?Project Helios,? our AI Underwriting Co-Pilot is live in SME Finance. The recent launch of ?Project Orion? ? Nostradamus Co-pilot in December 2025 has brought automated conversational intelligence to our portfolio management, ensuring we stay ahead of risk while enhancing customer experience. We remain focused on continuously strengthening our risk and credit frameworks, which will serve us well in times to come. Furthermore, through our RAISE? 25 conference and the `Pitch Point` competition launched as a part of RAISE, we are nurturing a new ecosystem of AI entrepreneurship and thought leadership. We are confident that our focused actions will not only ensure a sustainable and resilient performance in the coming quarters, but also truly transform LTF into a risk-first, tech-first, diversified retail finance company.?Financial Performance 9MFY2026
L&T Finance has recorded 8% rise in net profit to Rs 2174.55 crore in the nine months ended December 2025 (9MFY2026). The consolidated income from operations increased 12% to Rs 12191.98 crore for the year ended December 2023, while other income of the company fell 2% to Rs 984.90 crore. The total income increased 11% to Rs 13176.88 crore for 9MFY2026. Interest expenses increased 13% to Rs 4973.05 crore. Operating expenses rose 8% to Rs 3113.87 crore, allowing the operating profits to improve 10% at Rs 5089.96 crore. The cost-to-income ratio declined to 38.0% in 9MFY2026 from 38.4% in 9MFY2025. Depreciation jumped 53% to Rs 149.34 crore, while provisions rose 9% to Rs 2016.37 crore. Profit before tax gained 9% yoy basis at Rs 2924.25 crore. Effective tax rate increased to 25.7% in 9MFY2026 from 25.3% in 9MFY2025. Net Profit of the company, after share in profit of associates and non-controlling interest, improved 8% to Rs 2174.55 crore for 9MFY2026.| L&T Finance: Consolidated Results | |||||||||
| Particulars | 2512 (3) | 2412 (3) | Var % | 2512 (9) | 2412 (9) | Var % | 2503 (12) | 2403 (12) | Var % |
| Income from operations | 4240.07 | 3806.38 | 11 | 12191.98 | 10913.41 | 12 | 14663.29 | 12913.93 | 14 |
| Other Income | 341.42 | 298.75 | 14 | 984.90 | 1000.35 | -2 | 1277.69 | 1137.12 | 12 |
| Total Income | 4581.49 | 4105.13 | 12 | 13176.88 | 11913.76 | 11 | 15940.98 | 14051.05 | 13 |
| Interest Expended | 1703.02 | 1569.24 | 9 | 4973.05 | 4396.93 | 13 | 5996.76 | 5377.19 | 12 |
| Operating Expense | 1088.88 | 1021.59 | 7 | 3113.87 | 2883.27 | 8 | 3845.67 | 3393.10 | 13 |
| Operating Profits | 1789.59 | 1514.30 | 18 | 5089.96 | 4633.56 | 10 | 6098.55 | 5280.76 | 15 |
| Depreciation / Amortization | 57.70 | 36.19 | 59 | 149.34 | 97.92 | 53 | 138.90 | 114.77 | 21 |
| Provisions and Write-offs | 739.72 | 654.21 | 13 | 2016.37 | 1849.90 | 9 | 2468.39 | 2136.96 | 16 |
| Profit before EO | 992.17 | 823.9 | 20 | 2924.25 | 2685.74 | 9 | 3491.26 | 3029.03 | 15 |
| Exceptional Item | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - |
| PBT after EO | 992.17 | 823.90 | 20 | 2924.25 | 2685.74 | 9 | 3491.26 | 3029.03 | 15 |
| Tax Expense | 254.18 | 198.25 | 28 | 750.54 | 678.16 | 11 | 847.84 | 711.90 | 19 |
| Net Profit for the period | 737.99 | 625.65 | 18 | 2173.71 | 2007.58 | 8 | 2643.42 | 2317.13 | 14 |
| Share in profit/(loss) of associate company | 0.00 | 0.00 | - | 0.00 | 0.00 | - | 0.00 | 0.00 | - |
| Profit attributable to non-controlling interest | -0.62 | -0.75 | -17 | -0.84 | 0.09 | -1033 | -0.24 | -2.97 | -92 |
| PAT | 738.61 | 626.40 | 18 | 2174.55 | 2007.49 | 8 | 2643.66 | 2320.10 | 14 |
| PPA | 0.00 | 0.00 | - | 0.00 | 0.00 | - | 0.00 | 0.00 | - |
| PAT after PPA | 738.61 | 626.40 | 18 | 2174.55 | 2007.49 | 8 | 2643.66 | 2320.10 | 14 |
| EPS* (Rs) | 11.8 | 10.0 | ? | 11.6 | 10.7 | ? | 10.6 | 9.3 | ? |
| Equity | 2499.9 | 2494.3 | ? | 2499.9 | 2494.3 | ? | 2494.9 | 2488.9 | ? |
| Adj BV (Rs) | 104.3 | 96.2 | ? | 104.3 | 96.2 | ? | 98.7 | 91.5 | ? |
| * EPS and Adj BV are calculated on diluted equity as given for each year after EO and relevant tax. Face Value: Rs 10, Figures in Rs crore | |||||||||
| PL: Profit to Loss, LP: Loss to Profit | |||||||||
| Source: Capitaline Corporate Database | |||||||||
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