Starteck Finance posts profit but Rs 12.82 crore total loss

Starteck Finance Limited reported consolidated profit after tax of Rs 7.61 crore for the quarter ended 30 September 2026, but a Rs 20.43 crore other comprehensive income loss resulted in a Rs 12.82 crore total comprehensive loss. The board approved the unaudited results on 13 November 2026.

How did Starteck Finance's September-quarter profit change?

Starteck Finance's consolidated profit after tax rose to Rs 7.61 crore in the quarter ended 30 September 2026, from Rs 4.32 crore in the preceding quarter and Rs 7.36 crore a year earlier. Profit before tax was Rs 9.41 crore, compared with Rs 5.21 crore in the June 2026 quarter and Rs 8.51 crore in the September 2025 quarter. Current tax expense was Rs 1.96 crore, while deferred tax was a credit of Rs 15.08 lakh.

Starteck Finance reported basic and diluted earnings per share of Rs 7.68 for the September 2026 quarter, against Rs 4.36 in June 2026 and Rs 7.43 a year earlier. For the half year ended 30 September 2026, consolidated profit after tax was Rs 11.92 crore, higher than Rs 10.90 crore in the corresponding half of the prior year. Paid-up equity share capital remained Rs 9.91 crore across the reported periods.

What caused Starteck Finance's comprehensive loss?

Starteck Finance recorded a consolidated other comprehensive income, or OCI, loss of Rs 20.43 crore in the September 2026 quarter, reversing OCI income of Rs 4.38 crore in the preceding quarter and following a Rs 1.93 crore loss a year earlier. The principal line item was a Rs 26.51 crore fair-value loss on investments held through OCI. The associated income-tax line was a negative Rs 6.08 crore, resulting in the stated OCI loss.

Because the OCI loss exceeded the Rs 7.61 crore profit after tax, total comprehensive income was a loss of Rs 12.82 crore, compared with income of Rs 8.69 crore in June 2026 and Rs 5.43 crore in September 2025. The statement classifies the fair-value movement as an item not to be reclassified subsequently to profit and loss. On a standalone basis, Starteck Finance reported a Rs 12.98 crore total comprehensive loss alongside standalone profit after tax of Rs 7.45 crore.

How did Starteck Finance's income and expenses move?

Starteck Finance's revenue from operations was Rs 10.65 crore, down from Rs 10.91 crore in June 2026 but up from Rs 9.44 crore in September 2025. Interest income increased to Rs 10.10 crore from Rs 9.47 crore sequentially and Rs 7.77 crore a year earlier. Dividend income was Rs 52.37 lakh, compared with Rs 13,000 in June 2026 and Rs 57.62 lakh in the year-earlier quarter.

Total income nevertheless rose to Rs 23.30 crore from Rs 11.84 crore in the June quarter because other income increased to Rs 12.65 crore from Rs 92.15 lakh. Fees and commission income fell to Rs 2.70 lakh from Rs 1.44 crore sequentially and Rs 1.09 crore a year earlier. The filing does not provide a separate description of the components driving the Rs 12.65 crore other-income line.

Starteck Finance's total expenses were Rs 13.89 crore, versus Rs 6.62 crore in June 2026 and Rs 7.61 crore in September 2025. Other expenses increased to Rs 6.68 crore from Rs 42.32 lakh in the preceding quarter, while provisions, contingencies and bad-debt write-offs rose to Rs 1.44 crore from Rs 10.71 lakh. Finance costs declined to Rs 5.36 crore from Rs 5.73 crore sequentially and Rs 5.70 crore a year earlier.

Starteck Finance states that it operates under a single activity and therefore has no reportable operating segments under Indian Accounting Standard 108. The release consequently does not split Rs 10.65 crore of operating revenue or Rs 7.61 crore of quarterly profit by lending product, geography, customer type or business division. The unaudited results were subjected to limited review by the statutory auditor.

What changed in Starteck Finance's balance sheet and cash flow?

Starteck Finance's consolidated loans increased to Rs 265.79 crore at 30 September 2026 from Rs 228.33 crore at 31 March 2026. Consolidated investments decreased to Rs 181.13 crore from Rs 322.76 crore over the same period, while total assets declined to Rs 573.17 crore from Rs 675.23 crore. Consolidated borrowings fell to Rs 258.50 crore from Rs 350.98 crore, and other equity reduced to Rs 248.85 crore from Rs 253.04 crore.

The cash-flow statement reported Rs 4.79 crore of net cash from operating activities for the half year ended 30 September 2026. Investing activities generated Rs 126.94 crore, including Rs 141.62 crore of proceeds from sale of investments and assets and Rs 14.21 crore of investment purchases. Financing activities used Rs 131.54 crore, including a Rs 92.48 crore reduction in borrowings and Rs 39.00 crore of loans given or repaid; closing consolidated cash and cash equivalents were Rs 62.01 lakh.

Conclusion

Starteck Finance produced higher consolidated quarterly profit of Rs 7.61 crore and half-year profit of Rs 11.92 crore, while its reported comprehensive outcome moved in the opposite direction because of fair-value movements in OCI. The September-quarter Rs 20.43 crore OCI loss was larger than profit after tax, resulting in a Rs 12.82 crore total comprehensive loss despite total income of Rs 23.30 crore.

The disclosed issue to watch in subsequent results is the movement in the investments whose fair-value change generated the Rs 26.51 crore OCI loss. The next reported balance-sheet changes in the Rs 265.79 crore loan book, Rs 258.50 crore borrowings and Rs 1.44 crore quarterly provisions, contingencies and bad-debt write-offs will also show how the positions reported at 30 September 2026 develop.