Sundaram Finance posts 22% rise in Profit After Tax for Q1FY27; AUM grows 17%

Sundaram Finance posts 22% rise in Profit After Tax for Q1FY27; AUM grows 17%​

Sundaram Finance Limited has reported robust unaudited standalone and consolidated financial results for the quarter ending June 30, 2026. The company saw a 22% increase in profit after tax, reaching Rs. 522 crores, while assets under management (AUM) expanded by 17% to Rs. 62,275 crores.

The Board of Directors approved these results at its meeting held on August 3, 2026. Despite a complex macro backdrop characterized by geopolitical uncertainty, higher energy and commodity prices, and supply-chain disruption, the company managed strong growth across its businesses.

Disbursements for Q1FY27 grew significantly by 22%, recording Rs. 8,947 crores compared to Rs. 7,310 crores in Q1FY26. The profit from operations also saw a substantial jump of 37% during the quarter, reaching Rs. 598 crores against Rs. 436 crores in Q1FY26.

The financial metrics highlighted demonstrate improved asset quality and efficiency:


The company's profitability indicators also strengthened, with the Cost to Income ratio standing at 30.70% in Q1FY27, down from 29.84% in Q1FY26.

Harsha Viji, Executive Vice Chairman of Sundaram Finance Ltd., stated that the team delivered 17% AUM growth and improved asset quality (net stage 3 assets at 0.88%) alongside a 22% year-on-year growth in profit after tax. He affirmed the company’s commitment to steady, sustainable growth and best-in-class asset quality.

Rajiv Lochan, Managing Director, added that Q1FY27 was encouraging, noting that Sundaram Finance delivered stronger growth and resilient profitability. He highlighted the company's position—supported by its strong franchise and disciplined execution—to deepen its market presence amidst geopolitical uncertainty and monsoon shortfalls.

Consolidated and Group Performance​

The consolidated results of SFL encompass Sundaram Home Finance, Sundaram Asset Management, and the joint venture Royal Sundaram General Insurance.

In lending and general insurance businesses, the assets under management (AUM) reached Rs. 92,887 crores as on June 30, 2026, representing a growth of 15% from the Rs. 80,939 crores recorded in Q1FY25. For the asset management business, AUM stood at Rs. 90,089 crores against Rs. 80,501 crores in Q1FY25. Consolidated profit after tax for Q1FY27 grew by 34% to Rs. 636 crores from Rs. 475 crores in Q1FY26.

The company's subsidiaries also reported strong operational performance:

• Asset Management: The business closed the quarter with AUM of Rs. 90,089 crores and generated consolidated profits of Rs. 51 crores, compared to Rs. 45 crores in Q1FY26.
• Royal Sundaram (Insurance): Reported a Gross Written Premium (GWP) of Rs. 1,380 crores, up from Rs. 1,289 crores in the previous year. The company reported a profit after tax of Rs. 135 crores for Q1FY27 versus Rs. 127 crores in Q1FY26.
• Sundaram Home Finance: Disbursements grew by 10% to Rs. 1,643 crores in Q1FY27. The profit was reported at Rs. 85 crores, up from Rs. 62 crores in Q1FY26.

For the NBFC segment, Gross and Net NPA stood at 2.28% and 1.35% respectively for Q1FY27, improved compared to 2.66% and 1.71% recorded as of June 30, 2025.

SUNDARMFIN Stock Price Movement​

Today, Sundaram Finance Limited saw its stock gain 2.47%, settling in post-market trading at ₹4780.7. The equity closed out the day after strong activity, with a total traded volume of 241,055 shares recorded.