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Earnings Call

Northern Arc Capital Earnings Call: Key Takeaways

Northern Arc Capital delivered strong FY26 performance with a record ₹133cr quarterly PAT, transition to a diversified lender with 59% direct-to-customer book and solid return on equity.

Why this was an Alfa AlertNot a filter event; results are in line with long-term strategic targets and prior guidance.
Highlights
Revenue growthNet interest income grew 20% YoY reaching ₹1,376cr in FY26.
MarginsNIM improved 25bps YoY to 9.4% due to segment mix shift.
Demand visibilityStrong consumption-led demand in India and ₹30 lakh cr MSME credit gap.
Management confidenceBalanced and disciplined focus on risk-calibrated growth across various credit segments.

Growth

AUM grew 22% YoY to ₹16,594cr; Profit After Tax rose 33% YoY to ₹406cr, driven by MSME and consumer segments.

Outlook

Guidance of 22-25% AUM growth and 15-18% ROE within 8-10 quarters.

Risks

Geopolitical tensions in West Asia, monsoon dependency, and competitive intensity in the MSME sector could impact credit costs.

Source

Earnings Call filed with BSE, NSE: NORTHARC. Summary written with AI assistance from the document.

Read the document ↗

Northern Arc Capital Ltd: key numbers

Share price
₹300.90
Market cap
₹4,869 Cr
Revenue (annual)
₹2,690 Cr
Net profit (annual)
₹406.0 Cr
P/E (TTM)
11.1×Sector 22.0×
Promoter holding
0.00%+0.00% QoQ
FII holding
8.64%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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