| Metric | Value (₹ Cr) | Q3 FY26 | Q4 FY25 |
|---|---|---|---|
| Revenue | 4.05 | 29.4% | 16.2% |
| Total Income | 5.08 | 39.5% | 44.2% |
| Expenditure | 5.73 | 26.3% | 44.1% |
| PBT | -1.35 | 50.6% | 195.1% |
| Net Profit | -1.40 | 54.2% | 27.7% |
| OPM | -44.92% | 25.52pp | 51.89pp |
| NPM | -27.55% | 2.62pp | 3.56pp |
| EPS | 0.26 | 52.9% | 57.4% |
Transwarranty Finance Targets 3x AUM Growth in FY27
13 May 2026 · 13 May, 9:32 pm
Summary
Transwarranty Finance Limited announced its audited financial results for the quarter and year ended March 31, 2026, showcasing a strong performance driven by its digital lending platform. The company reported a significant turnaround to profitability, achieving a Profit After Tax of ₹0.07 crore in Q4FY26, compared to a loss of ₹1.63 crore in the same period last year. This positive shift was underpinned by a 61% year-over-year growth in AUM to ₹19.17 crore and a 99% surge in Net Interest Income (including fees) to ₹2.02 crore in Q4FY26. Transwarranty Finance also demonstrated improved asset quality with GNPA at 2.88% and NNPA at 0%, coupled with reduced credit costs. Looking ahead, management expressed optimism, targeting a 3x AUM growth in FY27 as it expands into higher-yield, lower-risk segments.
Key Highlights
- 1
Transwarranty Finance Limited reported a total disbursement of ₹36.51 crore during FY26, representing a significant year-over-year growth of 61%.
- 2
Assets Under Management (AUM) from its digital loans stood at ₹19.17 crore as of March 31, 2026, marking a robust 61% increase year-over-year.
- 3
The company recorded a Net Interest Income (including fees) of ₹2.02 crore in Q4FY26, demonstrating a substantial 99% year-over-year growth.
- 4
Transwarranty Finance Limited achieved a Profit After Tax (PAT) of ₹0.07 crore in Q4FY26, signaling a positive turnaround from a loss of ₹1.63 crore reported in Q4FY25.
- 5
Asset quality showed notable improvement, with Gross Non-Performing Assets (GNPA) at 2.88% in Q4FY26, down from 3.72% in Q4FY25, and Net Non-Performing Assets (NNPA) at 0%.
- 6
Credit cost as a percentage to average AUM significantly improved to 3.47% in Q4FY26 from 7.64% in Q4FY25, reflecting enhanced credit underwriting practices.
- 7
The company maintained a low leverage of 0.9x as on March 31, 2026, indicating sufficient capital adequacy and considerable room for expanding its lending activities.
Management Comments
Kumar Nair
We stand today at a defining inflection point in our journey. After the recent pivot to the digital lending business — through inhouse technology platform “Oroboro”, one that tested our resolve and sharpened our fundamentals — we are entering what we firmly believe will be a period of sustained, profitable growth. The groundwork has been laid with discipline. Over the past several quarters, we have increased focus providing Smart Phone Finance in Tier 2 & 3 markets, using technology-led underwriting. The business model followed of embedded finance through a PAN Indian network of Strategic Partners gives access to large customer base, capable of exponential growth. Looking ahead, we are actively expanding our lending portfolio toward higher-yield, lower-risk segments. We are cautiously optimistic about sustaining and improving our profitability in the times to come. Our commitment to you, our investors, remains unchanged: transparent governance, responsible growth, and a relentless focus on long-term value creation.
Informational and educational content only. Not investment advice.