PMC Fincorp September-quarter profit rises 62% as costs fall

PMC Fincorp Limited reported unaudited standalone profit after tax of Rs 3.16 crore for the quarter ended September 30, 2026, a 62% increase from Rs 1.95 crore a year earlier, as total expenses declined to Rs 0.59 crore from Rs 2.64 crore despite total income rising only to Rs 5.24 crore from Rs 5.06 crore.

Why did PMC Fincorp’s September-quarter profit increase?

PMC Fincorp’s September-quarter profit increased because the Rs 2.05 crore year-on-year reduction in total expenses was much larger than the Rs 0.19 crore increase in total income. Profit before tax rose to Rs 4.65 crore in the quarter ended September 30, 2026, from Rs 2.42 crore in the corresponding 2025 quarter. Tax expense increased to Rs 1.49 crore from Rs 0.69 crore, but profit after tax still rose by Rs 1.21 crore.

The reported cost movement included lower other expenses and the absence of a loss on sale of investments. Other expenses fell to Rs 0.26 crore from Rs 0.75 crore a year earlier, while the September 2025 quarter included a Rs 0.52 crore loss on sale of investments and the latest quarter showed no such loss. Employee-benefit expense was Rs 0.22 crore, close to Rs 0.22 crore a year earlier, while net loss on fair-value changes rose to Rs 0.10 crore from Rs 0.03 crore.

How did PMC Fincorp’s income mix change in the September quarter?

PMC Fincorp’s total income increased by about 4% year on year to Rs 5.24 crore, although interest income, its largest disclosed income stream, declined to Rs 4.44 crore from Rs 4.79 crore. The company reported Rs 0.49 crore of profit on sale of investments in the September 2026 quarter, whereas no amount was reported under that line in the September 2025 quarter. Other income rose to Rs 0.30 crore from Rs 0.24 crore, while dividend income was Rs 0.02 crore compared with Rs 0.03 crore.

The September result was lower than the immediately preceding June 2026 quarter on both income and profit. Total income declined from Rs 6.38 crore in June to Rs 5.24 crore in September, while profit after tax decreased from Rs 4.32 crore to Rs 3.16 crore. Profit on sale of investments was Rs 1.48 crore in June, compared with Rs 0.49 crore in September, and interest income also moved down from Rs 4.64 crore to Rs 4.44 crore.

PMC Fincorp reported basic earnings per share of Rs 0.04 for the September 2026 quarter, compared with Rs 0.03 in the year-earlier quarter and Rs 0.06 in the June 2026 quarter. Diluted earnings per share were Rs 0.04, against Rs 0.03 a year earlier and Rs 0.05 in June. The company stated that these per-share figures were not annualised, and its paid-up equity share capital was Rs 71.21 crore, based on a face value of Rs 1 per share.

What do PMC Fincorp’s half-year results show?

PMC Fincorp’s profit after tax for the six months ended September 30, 2026 rose to Rs 7.48 crore from Rs 6.04 crore in the comparable 2025 period, even as total income declined to Rs 11.62 crore from Rs 11.85 crore. Profit before tax increased to Rs 10.38 crore from Rs 8.04 crore, while total tax expense increased to Rs 2.90 crore from Rs 2.00 crore.

Total expenses for the first half fell to Rs 1.24 crore from Rs 3.81 crore a year earlier. Other expenses declined to Rs 0.57 crore from Rs 1.24 crore, and the comparable period included a Rs 0.52 crore loss on sale of investments. In contrast, PMC Fincorp reported Rs 1.97 crore of profit on sale of investments in the six months ended September 2026. Interest income declined to Rs 9.07 crore from Rs 9.72 crore, while net loss on fair-value changes increased to Rs 0.21 crore from Rs 0.03 crore.

Total comprehensive income for the first half was Rs 9.13 crore, compared with Rs 8.26 crore a year earlier. The September 2026 figure comprised Rs 7.48 crore of profit after tax and Rs 1.66 crore of other comprehensive income, including fair-value changes of equity instruments through other comprehensive income. In the comparable half year, other comprehensive income was Rs 2.22 crore, so the increase in total comprehensive income was smaller than the increase in profit after tax.

How did PMC Fincorp’s balance sheet and cash flow change?

PMC Fincorp’s total assets were Rs 201.63 crore at September 30, 2026, compared with Rs 189.92 crore at March 31, 2026. Loans increased to Rs 173.98 crore from Rs 161.07 crore, while investments rose to Rs 21.89 crore from Rs 18.70 crore. Cash and cash equivalents on the balance sheet were Rs 4.38 lakh at September 30, compared with Rs 1.04 lakh at the March year-end, and bank balances other than cash equivalents were Rs 1.32 crore compared with Rs 2.96 crore.

Total equity rose to Rs 194.83 crore at September 30 from Rs 185.70 crore at March 31. Equity share capital remained Rs 71.21 crore, while other equity increased to Rs 123.62 crore from Rs 114.49 crore. Borrowings other than debt securities were Rs 15.93 lakh at September 30, compared with Rs 15.51 lakh at March 31. PMC Fincorp said it is a non-banking financial company with loan and investment activities only, and therefore reported no separate operating segments under Indian Accounting Standard 108.

The half-year cash-flow statement recorded net cash used in operating activities of Rs 2.04 crore for the six months ended September 30, 2026. Operating profit before working-capital changes was Rs 8.64 crore, but increases in short-term loans and advances and other financial assets resulted in an outflow of Rs 12.89 crore. Investing activities generated Rs 0.43 crore, and cash and cash equivalents under the cash-flow statement were Rs 1.37 crore at September 30, 2026, compared with Rs 2.97 crore at the beginning of the period.

Was PMC Fincorp’s September 2026 result reviewed by auditors?

PMC Fincorp’s standalone results for the quarter and six months ended September 30, 2026 were unaudited and subject to a limited review by the statutory auditors. The board approved the results on November 11, 2026, and the company said the results carried an unmodified limited review report.

The auditor’s report dated November 11, 2026 stated that nothing had come to its attention indicating that the financial results did not disclose the required information or contained a material misstatement. The report also explained that a limited review provides less assurance than an audit because it principally involves inquiries and analytical procedures.

Conclusion

PMC Fincorp’s September-quarter increase in profit after tax reflected a sharp fall in reported expenses, alongside a modest increase in total income. The first-half figures show a similar outcome: profit after tax rose to Rs 7.48 crore despite lower total income, with the results also including profit on sale of investments and lower other expenses.

The next results will show whether interest income, which declined to Rs 4.44 crore in the September quarter, changes further and whether the investment-sale contribution of Rs 0.49 crore recurs. PMC Fincorp disclosed no earnings guidance, operating target or future business plan in the November 11, 2026 filing, leaving those income and expense movements unresolved for subsequent disclosures.