NDL Ventures posts Rs 200.43 crore September-quarter profit

NDL Ventures Limited reported consolidated profit after tax of Rs 200.43 crore for the quarter ended September 30, 2026, on total income of Rs 2,364.50 crore, after accounting for the Hinduja Leyland Finance Limited business combination from April 1, 2026. The September-quarter result followed a Rs 274.53 crore profit in the June quarter.

What did NDL Ventures report for the September 2026 quarter?

NDL Ventures reported Rs 2,364.50 crore of total income, Rs 283.66 crore of profit before tax and Rs 200.43 crore of profit after tax for the quarter ended September 30, 2026. Revenue from operations was Rs 2,277.17 crore, consisting of Rs 1,907.13 crore in interest income and Rs 370.04 crore in other operating income, while other income added Rs 87.33 crore.

The quarterly profit after tax was Rs 74.10 crore lower than the Rs 274.53 crore reported in the restated June 2026 quarter. Total income declined by Rs 14.42 crore from Rs 2,378.92 crore, while total expenses increased by Rs 34.50 crore to Rs 2,080.42 crore. Finance costs were broadly stable at Rs 1,222.84 crore, compared with Rs 1,224.12 crore in June, whereas impairment on financial assets fell to Rs 453.70 crore from Rs 462.20 crore.

NDL Ventures recorded a Rs 163.53 crore total comprehensive loss in the September quarter despite the quarterly net profit. Other comprehensive income was negative Rs 363.96 crore, including a Rs 254.39 crore fair-value loss on financial assets measured at fair value through other comprehensive income and a Rs 229.20 crore loss on the designated portion of cash-flow hedges, partly offset by related tax effects.

How did the business combination change NDL Ventures' results?

NDL Ventures accounted for the acquisition of Hinduja Leyland Finance Limited from the April 1, 2026 appointed date, using the acquisition method under Indian Accounting Standard 103, Business Combinations. The National Company Law Tribunal sanctioned the merger scheme on November 3, 2026, with a clarification order dated November 5, 2026; remaining administrative filings were pending at the results date.

The accounting resulted in Rs 5,503.47 crore of goodwill on the September 30 consolidated balance sheet. NDL Ventures said the difference between purchase consideration and the fair value of acquired assets and liabilities was recorded as goodwill. Upon the scheme becoming effective, every 10 shares in Hinduja Leyland Finance will entitle holders to 25 shares in NDL Ventures, while its non-convertible debenture holders will become NDL Ventures debenture holders on the same terms.

The filing says periods before the April 1, 2026 appointed date are not comparable with the current consolidated numbers. That qualification is material when reading the September 2025 quarter, which showed only Rs 1.20 crore total income and Rs 0.28 crore profit after tax, and the March 31, 2026 balance sheet, which predated the combination.

What were NDL Ventures' loans, borrowings and liquidity at September 30?

NDL Ventures had Rs 56,273.95 crore of loans at September 30, 2026, comprising Rs 40,341.55 crore of non-current loans and Rs 15,932.40 crore of current loans. Its balance sheet total was Rs 73,529.63 crore, with financial investments of Rs 2,620.47 crore across current and non-current categories.

Borrowings totalled Rs 59,259.42 crore, made up of Rs 40,859.68 crore of non-current borrowings and Rs 18,399.74 crore of current borrowings. Equity attributable to owners was Rs 11,510.47 crore, including Rs 1,363.18 crore in a share suspense account and Rs 10,113.31 crore in other equity. These figures reflect the business combination rather than a like-for-like movement from March 2026.

Cash and cash equivalents stood at Rs 2,099.66 crore at September 30, while bank balances other than cash equivalents were Rs 3,380.70 crore. The cash-flow statement records Rs 3,725.63 crore of cash and bank balances taken over through the business combination. Cash and cash equivalents fell by Rs 1,626.65 crore during the half year after that takeover balance was included.

What did NDL Ventures' half-year cash flow show?

NDL Ventures used Rs 1,453.74 crore in operating activities during the half year ended September 30, 2026, compared with Rs 2.40 crore used in the corresponding 2025 half year. The operating outflow included a Rs 2,807.44 crore increase in loans, Rs 2,297.19 crore of finance-cost cash outflow and Rs 150.15 crore of taxes paid, partly offset by Rs 3,947.49 crore of interest received.

Investing activities generated Rs 221.07 crore in the 2026 half year, compared with Rs 3.93 crore generated a year earlier. Redemptions or sales of debt instruments were Rs 575.64 crore, exceeding Rs 455.99 crore of investments in non-convertible debentures, pass-through certificates, government securities and other debt instruments. Financing activities used Rs 393.98 crore, as Rs 7,615.13 crore of long-term borrowing repayments exceeded Rs 6,640.44 crore of proceeds.

What unresolved matters did NDL Ventures disclose?

NDL Ventures disclosed that Hinduja Leyland Finance is reconciling differences in loan balances between underlying sub-systems, and the financial impact, if any, was not ascertainable at September 30, 2026. An independent systems expert has been engaged to review the related systems and processes. Management said it does not expect the differences to be significant enough to adversely affect Hinduja Leyland Finance's financial health or debt-servicing ability.

The independent auditor drew attention to the transferor company's auditors having issued a disclaimer of conclusion because sufficient appropriate audit evidence could not be obtained pending completion of the exercise. The auditor of NDL Ventures did not modify its conclusion, but said the matter remained pending independent review. The consolidated results were approved by the audit committee and board on November 13, 2026.

NDL Ventures also reported that Hinduja Housing Finance Limited's principal business criteria ratio declined to 59.11% at September 30, 2026, from 62.91% at June 30, 2026, after certain loan exposures were reclassified from housing to non-housing. The subsidiary is formulating a corrective action plan for board approval aimed at restoring the ratio above the prescribed regulatory threshold.

Conclusion

NDL Ventures' first detailed post-combination quarter shows a Rs 200.43 crore consolidated profit on Rs 2,364.50 crore of income, alongside a balance sheet containing Rs 56,273.95 crore of loans and Rs 59,259.42 crore of borrowings. The June-to-September comparison shows lower income and profit, while impairment reduced modestly and expenses rose.

The next disclosures to watch are completion of the merger's administrative formalities and the independent review of Hinduja Leyland Finance's loan-balance reconciliation. NDL Ventures also disclosed a planned corrective action process at Hinduja Housing Finance to restore its 59.11% principal business criteria ratio above the regulatory threshold.