Shriram Finance Q3 PAT rose 21%, excluding one-time gains

Auto loan giant Shriram Finance on Friday reported a 21 per cent year-on-year (yoy) rise in net profit for the quarter ended December at ₹2,522 crore, excluding the one-time gain of ₹1,489 crore from the sale of the non-bank lender’s stake in subsidiary Shriram Housing Finance in the same period of the previous year. Including the profit in Q3FY25, net profit fell 29 percent in Q3FY26.

Shriram Finance’s net interest income (NII) rose 16 per cent year-on-year to ₹6,764 crore. Net interest margin (NIM), meanwhile, rose to 8.58 percent from 8.19 percent last quarter as financing costs fell following NBFC’s deal with Japanese lender MUFG Bank. A host of credit rating agencies have changed their view on Shriram Finance from positive to stable, with one rating agency upgrading its credit rating after the NBFC signed a pact with MUFG Bank, in which the latter will invest nearly ₹40,000 crore in the company for a 20 per cent stake.

Shriram Finance’s assets under management (AUM) rose 15 per cent year-on-year to ₹2.91 lakh crore. Commercial vehicles constituted 46 percent of the NBFC’s assets under management, while passenger cars had the second largest share at 22 percent.

The gross stage-3 ratio fell by 3 basis points (bps) to 4.54 percent in the quarter, while the net stage-3 ratio fell by 11 basis points to 2.38 percent. NBFC officials are meeting to consider raising money through debt for the period between February and April 2026.

Published on January 23, 2026