Piramal Finance Limited Earnings Summary — Q4 FY2026
Piramal Finance Reports Strong Q4 Profit Growth Amid Successful Retail Pivot
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 1.6% sequentially in Q1 FY2027.
- Revenue of ₹3,368 Cr is 27.6% higher year-on-year.
- Revenue has compounded at 35.9% annualised over the last 10 quarters.
- Net profit of ₹461 Cr is 66.8% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 81.2% annualised across the period.
- Operating margin stands at 61.5% in Q1 FY2027.
- Operating margin compressed by 365 bps year-on-year.
- Over the last two years operating margin has expanded by 12345 bps.
- PBT margin is 13.2%.
- Expenses grew 41.0% against revenue growth of 27.6%.
- Operating profit of ₹2,073 Cr is 20.5% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 72/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q4 FY2024 | Q3 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 3,368 | 3,424 | 2,918 | 2,872 | 2,639 | 2,854 | 2,825 | 2,365 | 1,717 | 1,689 |
| Expenses | Volatile | 1,296 | 1,978 | 983 | 922 | 919 | 1,537 | 1,374 | 936 | 2,780 | 729 |
| Operating Profit | Volatile | 2,073 | 1,446 | 1,935 | 1,949 | 1,721 | 1,317 | 1,451 | 1,429 | -1,063 | 960 |
| Operating Margin | Volatile | 61.5% | 42.2% | 66.3% | 67.9% | 65.2% | 46.1% | 51.4% | 60.4% | -61.9% | 56.8% |
| Other Income | Accelerating | 160 | 1,377 | 96 | 11 | 129 | 269 | 58 | 121 | 249 | -1,855 |
| Interest | Improving | 1,734 | 1,674 | 1,646 | 1,567 | 1,492 | 1,417 | 1,364 | 1,305 | 999 | 928 |
| Depreciation | Volatile | 56 | 645 | 57 | 144 | 57 | 53 | 54 | 55 | 45 | 38 |
| Profit Before Tax | Improving | 443 | 505 | 328 | 249 | 301 | 116 | 91 | 190 | -1,858 | -1,862 |
| Tax | Volatile | -18 | 3 | -73 | -78 | 25 | 14 | 52 | 27 | -1,105 | -580 |
| Net Profit | Strong Uptrend | 461 | 502 | 401 | 327 | 276 | 102 | 39 | 163 | -752 | -1,282 |
| Net Margin | Strong Uptrend | 13.7% | 14.7% | 13.7% | 11.4% | 10.5% | 3.6% | 1.4% | 6.9% | -43.8% | -75.9% |
Key Takeaways
- Piramal Finance achieved a robust quarterly net profit of ₹502 crore, continuing its turnaround from historical volatility.
- Total sales grew to ₹3,424 crore, a significant sequential and year-on-year increase driven by the 'retailization' strategy.
- The quarterly operating profit margin compressed to 42% from 66% in the previous quarter due to a spike in expenses (₹1,978 crore).
- Company is successfully navigating a transition from wholesale real estate lending to retail products like home and used car loans.
- The balance sheet remains highly levered with borrowings increasing to ₹79,989 crore as of March 2026.
- Management has significantly cleaned up legacy stressed assets, though historical impairments still weigh on overall ROE.
- Promoter alignment remains high with recent increases in holding, supporting the long-term structural transformation.
Management Guidance
Management is focused on geographic expansion into Tier 2 and Tier 3 cities and scaling the retail loan book to improve capital efficiency.
Sentiment Shift
Improving
The transition to a retail NBFC is yielding consistent quarterly profits and revenue growth, moving away from the massive losses seen in FY20-21.
Outlook
The outlook is positive as the company transitions into a pure-play retail NBFC-ICC. While legacy issues are being contained, the primary challenge remains improving the sub-par Return on Equity (ROE) through better asset utilization and leverage management.
From the Annual Report (Key Quotes)
“Piramal Finance is currently undergoing a massive structural transformation, transitioning from a wholesale-heavy real estate lender to a retail-focused NBFC-ICC.”
“The business is essentially a 'turnaround' story backed by a strong promoter group but carries the baggage of legacy wholesale stress.”
“MD&A commentary is vision-heavy, focusing on 'retailization' and geographic expansion into Tier 2 and Tier 3 cities.”
Official Quarterly Documents
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This summary is AI-generated from Piramal Finance Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.