IIFL Finance: FY26 PAT Up 214% At Rs1817 Cr; Strong Q4FY26 Performance; AUM crosses Rs1.08 lakh Cr
FinTech BizNews Service
Mumbai, April 29, 2026: IIFL Finance Limited (“IIFL Finance”), a leading retail-focused NBFC, today announced its financial results for the quarter and year ended March 31, 2026, delivering strong growth, improved asset quality, and robust profitability.
Kapish Jain, CFO, IIFL Finance
Performance Overview
• IIFL Finance delivered a robust quarter with consistent growth across core businesses, driven by a strategic focus on secured lending, disciplined portfolio rebalancing, and improved operating efficiency
• Total income for Q4FY26 stood at Rs2,090 Cr, up 51% YoY, while pre-provision operating profit rose 80% YoY to Rs1,173 Cr. Profit before tax increased 169% YoY to Rs833 Cr, reflecting strong operating leverage and improved asset quality
• For FY26, PAT (pre-NCI) stood at Rs1,817 Cr, marking a 214% YoY growth, highlighting the success of the company’s strategic reset and recovery
Key Highlights
➢ Consolidated AUM grew to Rs1,08,180 Cr, up 10% QoQ and 38% YoY
➢ Profit After Tax (pre-NCI) stood at Rs623 Cr, up 24% QoQ and 148% YoY
➢ Gross NPA improved to 1.5% (down 14 bps QoQ)
➢ Net NPA at 0.7% (down 2 bps QoQ)
➢ Provision Coverage Ratio strengthened to 93%
➢ ROA at 2.4% and ROE at 13.1%
➢ Strong liquidity position of Rs6,638 Cr
➢ Consolidated CRAR at 25.3%
Mr. Nirmal Jain, Founder & Managing Director, IIFL Finance said: ” The performance in Q4FY26 reflects the strength of our strategic direction and disciplined execution. Our focus on secured lending, portfolio quality, and capital efficiency is delivering consistent results, with strong growth in gold loans and stable performance in mortgages. We have significantly strengthened our balance sheet, improved asset quality, and built a scalable operating model anchored in AI and colending partnerships. As we move into FY27, we are well positioned to deliver sustainable, high-quality growth while continuing to serve underserved segments across India.”
Business Segment Performance
• Gold Loans: Gold loan AUM surged to Rs52,581 Cr, up 150% YoY and 21% QoQ, emerging as the primary growth driver. Asset quality remained strong with GNPA at 0.35%
• Home Finance: AUM stood at Rs40,075 Cr with a stable performance. Asset quality improved with GNPA at 1.2%, reflecting continued focus on prudent underwriting
• MSME Loans: Shift towards secured MSME lending continues, with disciplined reduction in unsecured exposure, leading to improved risk profile
• Microfinance: Portfolio stabilization underway with improving asset quality and calibrated growth Strategic Focus The company continues to execute on its strategy of “Resilient, Capital-Efficient Growth” anchored on:
• Secured lending focus (Gold + Mortgages)
• Expansion in underserved MSME and Bharat segments
• AI-led operating model driving productivity and risk management
• Branch-led distribution with hyperlocal sourcing
• Co-lending partnerships enabling capital-light growth
• Strong capital efficiency through DA/PTC and co-lending Co-lending continues to scale meaningfully, with cumulative originations exceeding Rs50,000 Cr and zero losses reported in co-lent portfolios.
AI Transformation
IIFL Finance is accelerating its AI-led transformation across underwriting, collections, customer engagement, and cross-sell:
• AI-driven lead generation engine contributing Rs1,000 Cr monthly pipeline
• Multilingual customer interface across 22 languages
• AI-powered branch productivity tools and call analytics
• AI-powered Image fraud detection that scores and flags images for field audit; 1,895 loans flagged by AI
Outlook
IIFL Finance enters FY27 with strong momentum, a robust balance sheet, and a clear strategic roadmap focused on:
• Scaling secured lending franchises
• Expanding co-lending partnerships with banks
• Driving AI-led productivity and cost efficiency • Maintaining superior asset quality and capital discipline
Mr. Kapish Jain, CFO, IIFL Finance said: ” Fiscal 2026 has been a milestone year in the history of the company where we have conclusively established ourselves as a strong retail franchise led by Gold loans and mortgage assets. The growth has been enabled through a strong partnership with banks for both Direct Assignment and Col ending which collectively form around 36% of our Asset Under Management and going strong.”
