CP Capital cash reaches Rs 161.96 crore as loans fall in six months

CP Capital Limited reported standalone cash and cash equivalents of Rs 161.96 crore at 30 September 2026, compared with Rs 2.45 crore at 31 March 2026, as its standalone loan balance declined by Rs 148.67 crore to Rs 258.08 crore over the six-month period.

Why did CP Capital's cash balance rise?

CP Capital's standalone cash and cash equivalents increased by Rs 159.51 crore in the half year ended 30 September 2026, reaching Rs 161.96 crore from Rs 2.45 crore at 31 March 2026. The consolidated cash balance was Rs 162.35 crore at 30 September, only Rs 0.39 crore higher than the standalone balance.

The company reported standalone net cash generated from operating activities of Rs 167.48 crore for the half year. The largest stated operating movement was a Rs 148.15 crore decrease in loans, while cash generated from operations before tax payments was Rs 169.87 crore and income tax paid was Rs 2.39 crore.

Cash used in standalone investing activities was Rs 27.54 crore, principally reflecting net purchases of investments of Rs 27.95 crore. This outflow was partly offset by Rs 0.42 crore from asset sales and Rs 0.17 crore from fixed deposits and earmarked bank balances, net of redemptions and interest.

Financing activities generated Rs 19.56 crore in the half year, comprising Rs 24.75 crore of net proceeds from borrowings and Rs 5.18 crore of interest paid. The opening standalone cash balance was Rs 2.45 crore, and the reported movements reconcile to the Rs 161.96 crore closing balance.

How much did CP Capital's loan book decline?

CP Capital's standalone loans fell 36.6%, or Rs 148.67 crore, to Rs 258.08 crore at 30 September 2026 from Rs 406.75 crore at 31 March 2026. The balance-sheet decline was broadly consistent with the Rs 148.15 crore loan decrease recorded in the standalone cash-flow statement for the half year.

Consolidated loans also declined over the six months, falling by Rs 148.44 crore to Rs 293.72 crore at 30 September 2026 from Rs 442.16 crore at 31 March 2026. Consolidated loans exceeded standalone loans by Rs 35.65 crore at the September reporting date.

Standalone investments moved in the opposite direction, rising by Rs 52.39 crore to Rs 191.41 crore at 30 September from Rs 139.02 crore at 31 March. Loans remained larger than investments by Rs 66.67 crore at 30 September, compared with a difference of Rs 267.72 crore six months earlier.

CP Capital also disclosed a technical write-off of a loan with Rs 43.97 crore outstanding during the quarter ended 30 June 2026. The company said it had fully impaired or provided for that loan in earlier years, meaning the write-off had no material impact on the financial results; it said it would continue recovery efforts through legal and other available remedies.

How did CP Capital's borrowings and equity change?

CP Capital's standalone borrowings rose by Rs 24.74 crore to Rs 112.42 crore at 30 September 2026 from Rs 87.68 crore at 31 March 2026. The increase closely corresponds with the Rs 24.75 crore net proceeds from borrowings reported in financing cash flows for the half year.

Standalone finance costs were Rs 5.18 crore for the half year ended 30 September 2026, compared with Rs 3.71 crore in the corresponding half year ended 30 September 2025. Finance costs in the September 2026 quarter were Rs 3.01 crore, above Rs 2.17 crore in the preceding June 2026 quarter.

Total standalone equity increased by Rs 34.04 crore, or 6.2%, to Rs 582.23 crore at 30 September from Rs 548.19 crore at 31 March. Equity share capital remained unchanged at Rs 18.19 crore, while other equity increased to Rs 564.03 crore from Rs 530.00 crore.

Standalone total assets rose by Rs 64.87 crore to Rs 710.96 crore at 30 September 2026. Financial assets increased by Rs 66.37 crore to Rs 615.87 crore, while non-financial assets declined by Rs 1.40 crore to Rs 95.09 crore and assets held for sale fell to Rs 1.10 lakh from Rs 11.28 lakh.

What did CP Capital report for half-year earnings?

CP Capital reported standalone profit after tax of Rs 34.04 crore for the half year ended 30 September 2026, compared with Rs 16.07 crore in the corresponding prior-year half. Total revenue increased to Rs 54.68 crore from Rs 30.74 crore, while total expenses rose to Rs 9.75 crore from Rs 9.43 crore.

A net gain on fair-value changes of Rs 24.44 crore was the largest individual revenue component in the half year. Interest income was Rs 26.24 crore, marginally below Rs 27.02 crore a year earlier, while fees and commission income increased to Rs 2.18 crore from Rs 1.12 crore.

Consolidated profit after tax was Rs 38.76 crore for the half year ended 30 September 2026, compared with Rs 20.94 crore a year earlier. Consolidated total revenue rose to Rs 60.83 crore from Rs 37.49 crore, while consolidated finance costs increased to Rs 4.66 crore from Rs 3.03 crore.

The company identifies financing and infrastructure as its reportable segments. Consolidated rental and infrastructure income declined to Rs 5.62 crore in the half year from Rs 7.69 crore in the comparable period, whereas consolidated interest income was Rs 28.52 crore, compared with Rs 28.61 crore a year earlier.

Conclusion

CP Capital's 30 September 2026 balance sheet shows a substantial shift in its standalone financial assets: loans decreased by Rs 148.67 crore, cash and cash equivalents increased by Rs 159.51 crore, and investments rose by Rs 52.39 crore. Borrowings also increased by Rs 24.74 crore, while total equity rose 6.2% to Rs 582.23 crore.

The disclosed item to watch next is CP Capital's continuing recovery action on the technically written-off Rs 43.97 crore loan. The company has said it will pursue legal and other remedies, while future filings will show whether the lower loan balance affects interest income, which was Rs 26.24 crore in the half year ended 30 September 2026.