Fusion Finance Reports 23% QoQ Growth in Disbursements in Q3 FY26; PAT at INR 14Cr.

Fusion Finance Limited reported a strong operational and financial performance in Q3 FY26, with total loan disbursements rising 23% quarter-on-quarter to INR 1,594 crore. The company reported a profit after tax of INR 14 crore in Q3 FY26, compared to a loss of INR 22 crore in Q2 FY26. The reported profitability includes a one-time impact of INR 6.91 crore arising from the implementation of the new labour code. Asset under management stood at INR 6,876 crore as of December 2025, while the active borrower base stood at ~23.4 lakh. The company operated through 1537 branches across 22 states, including 3 Union Territories, with collection efficiency reaching its highest level in the last six quarters. Net Interest Margin (NIM) improved to 11.32% in Q3 FY26 from 10.85% in Q2 FY26. Total income stood at INR 424 crore in Q3 FY26 compared to INR 433 crore in Q2 FY26, while net interest income remained stable at INR 237 crore versus INR 247 crore in the previous quarter. Pre- provision operating profit rose to INR 94 crore in Q3 FY26 from INR 89 crore in Q2 FY26. Asset quality indicators continued to strengthen during the quarter. Gross NPA declined to 4.38% from 4.61% in Q2 FY26, while Net NPA stood at 0.63%. Credit cost reduced to INR 79 crore in Q3 FY26 from INR 111 crore in Q2 FY26, with sustained Stage 3 provision coverage of ~86%. The balance sheet remained robust, supported by a healthy capital adequacy position with CRAR at 38.80%, backed by the recently completed Rights Issue. Liquidity remained strong at INR 1783 crore, comprising cash, cash equivalents, and liquid assets, amounting to 23.01% of total assets.