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Earnings Call Transcript

SBFC Finance Earnings Call Transcript: Key Takeaways

SBFC reported strong Q3 FY26 results with PAT growing 34% YoY to ₹118 crore. Strategy focuses on secured MSME lending with a pan-India footprint across 230 branches.

Highlights
Revenue growthTotal Income grew 27.8% YoY for Q3.
MarginsYield at 17.78%; Spreads stable at 9.04%.
Demand visibilityTargeting large MSME market of ₹4 lakh crore.
Management confidenceHigh; citing consistent AUM growth and credit underwriting.

Growth

AUM grew 29% YoY to ₹10,478 crore. 9M FY26 PAT rose 31% YoY to ₹328 crore.

Outlook

AUM crossed ₹10,000 crore milestone in Q3. Focus remains on ₹5-30 lakh ticket size secured MSME segment.

Risks

Gross NPA slightly increased to 2.71% from 2.70% YoY. Credit costs rose from 0.97% to 1.29% YoY.

Last quarter's promises, checked

Delivered

  • Guided Gold share 20% → delivered 21% (= BEAT)
  • Guided 50 bps opex reduction → delivered 161 bps cumulative (= BEAT)
  • Guided 25 branch additions → delivered 46 (= BEAT)

Partly delivered

  • Guided 5-7% quarterly growth → delivered 7.5% (= BEAT/PARTIAL)

Missed

  • Guided credit cost stable → delivered 1.38% vs 1.29% prev (= MISS)
Source

Earnings Call Transcript filed with NSE, NSE: SBFC. Summary written with AI assistance from the document.

Read the document ↗

SBFC Finance Ltd: key numbers

Share price
₹88.86
Market cap
₹9,855 Cr
Revenue (annual)
₹1,679 Cr
Net profit (annual)
₹450.8 Cr
P/E (TTM)
20.5×Sector 22.0×
Promoter holding
52.31%-0.04% QoQ
FII holding
7.22%Current quarter

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

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