Finkurve September-quarter profit rises 62% to Rs 9.60 crore

Finkurve Financial Services Limited reported profit of Rs 9.60 crore for the quarter ended September 30, 2026, 62% above Rs 5.92 crore a year earlier, as interest income rose 86% to Rs 88.81 crore. Total income increased 88% to Rs 90.39 crore, while total expenses rose 90% to Rs 77.44 crore.

How did Finkurve's September-quarter profit change?

Finkurve's profit for the quarter ended September 30, 2026 increased 62% year on year to Rs 9.60 crore from Rs 5.92 crore in the quarter ended September 30, 2025. Profit before tax rose 75% to Rs 12.95 crore from Rs 7.39 crore, while tax expense increased to Rs 3.36 crore from Rs 1.47 crore. Basic earnings per share rose to Rs 0.68 from Rs 0.42, based on an equity share face value of Rs 1.

Finkurve also reported a higher profit than in the preceding June 2026 quarter, when profit was Rs 8.44 crore and profit before tax was Rs 11.21 crore. September-quarter total income of Rs 90.39 crore was above Rs 75.82 crore in June, but total expenses also increased to Rs 77.44 crore from Rs 64.62 crore. The resulting sequential profit increase was 14%, compared with the 62% year-on-year increase.

What drove Finkurve's income growth?

Finkurve's income growth was principally driven by interest income, which increased by Rs 41.12 crore year on year to Rs 88.81 crore in the September 2026 quarter. Interest income represented most of total revenue from operations of Rs 89.93 crore, compared with revenue from operations of Rs 48.05 crore in the September 2025 quarter. Total income, including other income, reached Rs 90.39 crore against Rs 48.14 crore a year earlier.

Other operating revenue lines were also higher in the quarter. Fees and commission income increased to Rs 0.69 crore from Rs 0.22 crore, while net gain on fair-value changes rose to Rs 0.44 crore from Rs 0.14 crore. Other income was Rs 0.46 crore, compared with Rs 0.09 crore in the prior-year quarter. Together, fees and commission income plus fair-value gains were Rs 1.13 crore, compared with Rs 0.36 crore a year earlier.

For the half year ended September 30, 2026, Finkurve reported interest income of Rs 163.59 crore, up from Rs 87.13 crore in the corresponding six months of 2025. Total income for the half year rose to Rs 166.21 crore from Rs 88.18 crore, while profit for the period increased to Rs 18.03 crore from Rs 11.01 crore. Finkurve identifies financial services as its only reportable business segment under Indian Accounting Standard 108, and states that its operations are located in India.

Which Finkurve costs increased during the quarter?

Finkurve's finance costs rose to Rs 30.57 crore in the September 2026 quarter from Rs 8.42 crore a year earlier, representing the largest increase among its reported expense categories. Fees and commission expenses increased to Rs 23.36 crore from Rs 17.91 crore, and employee benefits expense rose to Rs 16.49 crore from Rs 4.47 crore. These three categories together amounted to Rs 70.43 crore, versus Rs 30.79 crore in the September 2025 quarter.

Impairment on financial instruments moved in the opposite direction, declining to Rs 1.74 crore from Rs 5.27 crore a year earlier. Depreciation and amortisation increased to Rs 1.17 crore from Rs 0.75 crore, and other expenses rose to Rs 4.09 crore from Rs 3.95 crore. Despite the lower impairment charge, total expenses rose 90% year on year to Rs 77.44 crore because the increases in funding, commission and employee costs were larger.

The half-year comparison shows a similar mix of cost movements. Finance costs for the six months ended September 30, 2026 were Rs 57.29 crore, compared with Rs 15.53 crore in the prior-year period, while employee benefits expense rose to Rs 29.96 crore from Rs 8.43 crore. Impairment was Rs 1.95 crore, lower than Rs 10.05 crore a year earlier. Total half-year expenses were Rs 142.05 crore, compared with Rs 73.95 crore in the corresponding period of 2025.

What do Finkurve's loans, borrowings and asset-quality figures show?

Finkurve's loans increased to Rs 1,225.09 crore as of September 30, 2026 from Rs 1,070.34 crore at March 31, 2026. Total assets rose to Rs 1,361.52 crore from Rs 1,233.04 crore over the same period, while cash and cash equivalents declined to Rs 84.24 crore from Rs 102.12 crore. Net cash used in operating activities for the six months ended September 30 was Rs 47.23 crore, compared with Rs 206.35 crore used in the corresponding prior-year period.

Borrowings through debt securities increased to Rs 520.92 crore at September 30 from Rs 293.25 crore at March 31, while borrowings other than debt securities declined to Rs 402.86 crore from Rs 542.68 crore. Finkurve reported net worth of Rs 364.52 crore, a debt-equity ratio of 2.53 and a capital to risk-weighted assets ratio of 28.74% as of September 30. Its current ratio was 3.32 and total debts to total assets were 0.68.

Finkurve reported gross non-performing assets, or gross NPA, of Rs 32.45 crore and net NPA of Rs 29.18 crore as of September 30, 2026. The gross NPA ratio was 2.63%, the net NPA ratio was 2.37%, and provision coverage was 10.07%. The company also disclosed two co-lending arrangements in the gold-loan sector as an originating regulated entity, with Rs 19.58 crore outstanding and a weighted average annual interest rate of 19.18%.

Conclusion

Finkurve's September-quarter result combined substantially higher interest income with a 62% increase in profit to Rs 9.60 crore. The company generated Rs 88.81 crore of interest income, but finance costs, fees and commission expenses, and employee benefits also increased sharply. Lower impairment charges than a year earlier contributed to the difference between the 90% rise in total expenses and the 62% increase in profit.

The filing provides no profit guidance, operating target or scheduled future business milestone. The next results will clarify whether growth in loans from Rs 1,070.34 crore at March 31 to Rs 1,225.09 crore at September 30 is accompanied by changes in finance costs, the 2.63% gross NPA ratio and the Rs 19.58 crore co-lending balance.