Akme Fintrade AUM crosses Rs 1,000 crore as H1 profit rises

Akme Fintrade (India) Limited reported assets under management (AUM) of Rs 1,039.35 crore at September 30, 2026, crossing Rs 1,000 crore after 35.43% year-on-year growth. Akme Fintrade's H1 FY27 profit after tax rose 19.48% to Rs 23.49 crore, while Q2 FY27 disbursements increased 43.88% sequentially to Rs 121 crore.

How did Akme Fintrade grow its loan book in H1 FY27?

Akme Fintrade grew closing AUM to Rs 1,039.35 crore at September 30, 2026, from Rs 767.46 crore a year earlier, an increase of 35.43%. The RBI-registered non-banking financial company provides vehicle finance and micro, small and medium enterprise, or MSME, business loans in rural and semi-urban markets.

Disbursements on Akme Fintrade's own books rose 22.18% to Rs 205.10 crore in H1 FY27 from Rs 167.87 crore in H1 FY26. AUM growth exceeded the increase in half-year disbursements, while the loan book also rose 7.70% from Rs 965.07 crore at the end of Q1 FY27 to Rs 1,039.35 crore at the end of Q2 FY27.

What drove Akme Fintrade's second-quarter disbursements?

Akme Fintrade disbursed Rs 121 crore in Q2 FY27, compared with Rs 84.10 crore in Q1 FY27 and Rs 97.47 crore in Q2 FY26. The disclosed Q2 FY27 figure, derived as H1 FY27 less Q1 FY27, represented a 43.88% quarter-on-quarter increase and 24.14% year-on-year increase.

Management attributed the sequential acceleration to pre-festive demand for vehicle and MSME credit in rural and semi-urban markets. It said Navratri saw strong two-wheeler demand compared with two years earlier and electric-vehicle sales rising by more than a quarter, without providing disbursement values for those categories.

Interest income in Q2 FY27 rose 6.48% sequentially to Rs 43.73 crore from Rs 41.07 crore in Q1 FY27. Net interest income, or interest earned less interest expense, increased 2.67% to Rs 24.19 crore, while profit after tax rose 3.03% to Rs 11.93 crore.

How much did Akme Fintrade's H1 FY27 profit increase?

Akme Fintrade reported profit after tax of Rs 23.49 crore for H1 FY27, compared with Rs 19.66 crore in H1 FY26, a gain of 19.48%. Earnings per share rose 17.39% to Rs 0.54 from Rs 0.46 in the unaudited standalone results approved by the board on October 30, 2026.

Interest income increased 30.92% year on year to Rs 84.80 crore, a faster rate than the 19.48% rise in profit. Net interest income increased 18.45% to Rs 47.77 crore from Rs 40.33 crore, and Akme Fintrade reported an annualised net interest margin of 11.48% for H1 FY27.

Average cost of borrowing declined by 92 basis points, or 0.92 percentage points, to 13.23% from 14.15% in H1 FY26. Credit cost fell by 21 basis points to 0.40% from 0.61%, while annualised return on assets was 4.68% and annualised return on equity was 10.45%.

Did Akme Fintrade's asset quality improve in Q2 FY27?

Akme Fintrade reported gross non-performing assets, or GNPA, of 2.88% at September 30, 2026, down from 2.91% at June 30, 2026 and 2.96% in September 2025. Net non-performing assets, or NNPA, declined to 1.39% from 1.41% in June 2026 and 1.43% a year earlier.

The Q2 FY27 movement reduced GNPA by 3 basis points sequentially and 8 basis points year on year. NNPA decreased by 2 basis points from Q1 FY27 and by 4 basis points from Q2 FY26, while the provision coverage ratio stood at 51.74% at September 30, 2026.

Management said Akme Fintrade had not loosened its standards as Q2 FY27 disbursements reached Rs 121 crore. It also identified pockets of stress in small-ticket MSME lending and the effect of high fuel prices on transport operators, saying asset quality would take priority over volume.

What capital capacity does Akme Fintrade have for growth?

Akme Fintrade reported a capital adequacy ratio, or CRAR, of 44.95% at September 30, 2026, including Tier I capital of 44.15%. The company said its CRAR was nearly three times the 15% regulatory minimum, providing the reported regulatory capital position as AUM reached Rs 1,039.35 crore.

CRAR was 671 basis points below the 51.66% reported for H1 FY26, while closing AUM increased by Rs 271.89 crore over the same comparison. The filing does not provide a separate lending-growth target for the remainder of FY27.

Management said it would invest in technology to improve turnaround times, collections and customer experience during H2 FY27. It also cited Akme GreenX for financing electric two-wheelers, clean mobility and rooftop solar, and said its insurance partnership adds fee income and customer value.

Conclusion

Akme Fintrade combined 35.43% year-on-year AUM growth with a 19.48% increase in H1 FY27 profit after tax and a 43.88% sequential rise in Q2 FY27 disbursements. Interest income grew 30.92%, average borrowing cost declined to 13.23%, and both GNPA and NNPA were lower than their June 2026 and September 2025 levels.

The next period to watch is H2 FY27, which management described as seasonally its strongest half for vehicle and small-business credit. Management expects Dhanteras, Diwali, the wedding season and kharif harvest cash flows to support demand, while remaining watchful of small-ticket MSME stress and fuel-price pressure on transport operators.