IIFL Finance delivers Strong Q1FY27 Results; PAT Jumps 160% YoY as AUM Crosses ₹1.15 Lakh Crore Mark

IIFL Finance delivers Strong Q1FY27 Results; PAT Jumps 160% YoY as AUM Crosses ₹1.15 Lakh Crore Mark​

IIFL Finance Limited, a prominent retail-focused Non-Banking Financial Company (NBFC), announced robust financial results for the quarter ended June 30, 2026. The company reported significant profitability growth and expanded its Asset Under Management (AUM) to Consolidated ₹1,15,523 Crore.

The results highlight a strong operating performance across core business lines, driven by disciplined lending strategies and improved asset quality management, leading to a substantial increase in profit after tax (pre-NCI).

Profitability and Efficiency Highlights​

IIFL Finance recorded Total Income of ₹2,202.4 Cr for Q1FY27, marking a 34% growth year over year (YoY). Pre-provision operating profit saw an impressive 50% YoY rise, reaching ₹1,252.4 Cr. The Profit Before Tax (PBT) increased by 161% YoY to ₹928.6 Cr.

The company’s Profit After Tax (PAT preNCI) stood at ₹713.1 Cr for Q1FY27, which represents a 160% growth compared to the same quarter last year. This strong profitability was underpinned by key efficiency metrics:

• Consolidated AUM: Grew to ₹1,15,523 Cr, up 38% YoY and 7% QoQ.
• ROE: Stood at 19.5%, a marked increase from the previous year.
• ROA: Registered at 3.1%.

In terms of asset quality, Gross Non-Performing Assets (GNPA) were reported at 1.6% and Net NPA (NNPA) was at 0.8%. The provision coverage ratio improved to 94%.

Business Segment Performance Drivers​

The growth in Q1FY27 was primarily propelled by the Gold Loans segment, which registered a surge in AUM to ₹58,406 Cr—a 114% increase YoY and 11% QoQ. The asset quality within the gold loan portfolio remained strong, with GNPA at 0.61%.

The Home Finance division also showed stable growth, with its AUM reaching ₹41,540 Cr, up 4% QoQ, maintaining a Gross NPA of 1.46%. In MSME Loans, AUM grew 9% QoQ to ₹10,808 Cr amid a continued focus on securing these lending products, which helped improve the risk profile in this segment.

The consolidated performance of IIFL Finance across its key financial indicators is summarized below:

Strategic Upgrades and Funding Milestones​

IIFL Finance secured a Ba3 Issuer rating and a (P)Ba3 GMTN program rating from Moody's, reflecting the company’s improved financial standing. Furthermore, the company successfully raised US$500 million through a Social Bonds Issuance, directing these proceeds toward income-generating loans for women, low-income, and rural/semi-urban borrowers. Crisil ESG Ratings assigned 'Crisil ESG 66' and 'Crisil Core ESG 69' to the Company.

Nirmal Jain, Founder & Managing Director of IIFL Finance, stated that Q1FY27 demonstrates "a decisive return to best-in-class profitability," noting that the balance is now nearly 90% secured. He added confidence in delivering resilient, capital-efficient growth through FY27, driven by AI-led operations and deepening bank partnerships.

The company’s strategy remains anchored on secured lending (Gold and Mortgages), expansion into underserved MSME and Bharat segments, and an AI-led operating model designed to enhance productivity and risk management across underwriting and collections processes.

IIFL Stock Price Movement​

IIFL Finance Limited's shares closed today, shedding 0.75% to settle at ₹570.35 after trading in the post-market session. The stock traded down by ₹4.30 and finished with a volume of 3.38 million shares.