Fedbank Financial Services Limited Reports 13.8% PAT Growth in Q1 FY27, Pushing Profit After Tax to ₹114.4 Cr
Mumbai: Fedbank Financial Services Limited (Fedfina), a retail focused NBFC specializing in Loan Against Property and Gold Loans, announced strong financial results for the First Quarter (Q1 FY27) ended June 30, 2026. The company reported a 13.8% year-on-year growth in Profit After Tax (PAT), reaching ₹114.4 Cr.The comprehensive results show significant growth across lending activities and asset management, with Net Interest Income increasing by 38.7% year-on-year to ₹371.9 Cr. Operating Profit grew by 49.9% year-on-year, reaching ₹187.5 Cr.
Financial Performance Overview (₹ Cr)
The financial health of Fedfina saw steady growth across all core operational segments in Q1 FY27 compared to previous quarters and fiscal years.| Metric | Q1FY26 | Q4FY26 | Q1FY27 | QoQ Change | YoY Change |
|---|---|---|---|---|---|
| Net Interest Income | 268.2 | 348.8 | 371.9 | 6.6% | 38.7% |
| Operating Profit | 125.1 | 162.8 | 187.5 | 15.2% | 49.9% |
| Profit After Tax | 75.0 | 100.5 | 114.4 | 13.8% | 52.5% |
| Credit Cost | 24.7 | 27.9 | 34.1 | 22.1% | 37.8% |
Asset Management and Credit Quality Metrics
Fedfina demonstrated robust growth in its asset base while maintaining tight control over credit quality risks, as reflected in key ratios for Q1 FY27.AUM increased by 34.7% year-on-year (YoY) to ₹21,136 Cr. Disbursements for the quarter stood at ₹6,760 Cr, reflecting a 13.9% YoY growth.
Key financial ratios provided during the reporting period include:
| Ratio | Q1FY26 | Q4FY26 | Q1FY27 | QoQ Change | YoY Change |
|---|---|---|---|---|---|
| Cost to Income | 58.2% | 56.9% | 52.8% | -411 bps | -538 bps |
| Return on Average Assets | 2.3% | 2.6% | 2.6% | 4 bps | 34 bps |
| Return on Average Equity | 11.6% | 14.0% | 15.4% | 140 bps | 385 bps |
| Gross NPA | 2.0% | 1.9% | 1.6% | -32 bps | -44 bps |
| Net NPA | 1.2% | 1.3% | 1.0% | -31 bps | -28 bps |
The company maintained a credit cost of 0.8% for the quarter. Gross and Net Stage III ratios were recorded at 1.6% and 1.0% respectively, down by 32bps and 31bps QoQ.
Operational Footprint Expansion
Fedfina continues to scale its operations across India. The company currently operates 757 branches, which is a 13.3% increase compared to Q1 FY26. These branches are spread across 17 states and union territories.Operational metrics show steady growth in the workforce:
| Operational Metric | Q1FY26 | Q4FY26 | Q1FY27 | QoQ Change | YoY Change |
|---|---|---|---|---|---|
| Branches | 668 | 757 | 757 | 0.0% | 13.3% |
| Employees | 4,797 | 5,303 | 5,376 | 1.4% | 12.1% |
Fedbank Financial Services Limited is a Mumbai-based NBFC promoted by Federal Bank Limited and has specialized in the collateralized lending model targeting the emerging self-employed customer segment since its establishment in 1995.
FEDFINA Stock Price Movement
As of 12:21 PM, shares of Fedbank Financial Services Limited are surging in live trading, climbing a substantial 10.30% and currently resting at ₹170.8. The equity is experiencing high activity, with 7.26 million shares traded so far into the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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