Shriram Finance Limited (SFL) announced its Q3 & 9M FY26 results, showcasing a 16.17% increase in net interest income for Q3. Multiple credit rating agencies upgraded the company’s ratings, reflecting a positive outlook. The Board approved raising funds via a preferential issue to MUFG Bank Ltd. at ₹840.93 per share. Employee benefits expenses have increased. The company has also provided updates on its subsidiaries, Shriram Automall India Limited (SAMIL) and Shriram Overseas Investment Limited (SOIL).
Financial Performance Highlights
Shriram Finance Limited (SFL) has reported its unaudited financial results for the third quarter (Q3) and nine months (9M) ended December 31, 2025. Key financial highlights include:
- Total Income: Increased by 13.88% to ₹121,915.8 million in Q3, and by 17.27% to ₹356,500.7 million in 9M.
- Net Interest Income: Rose by 16.17% to ₹67,640.9 million in Q3, and by 13.55% to ₹190,573.6 million in 9M.
- Profit After Tax (excl. exceptional items): Increased by 21.21% to ₹25,216.7 million in Q3, and by 13.90% to ₹69,845.8 million in 9M.
- Earnings Per Share (excl. exceptional items): Increased by 21.05% to ₹13.40 in Q3, and by 13.86% to ₹37.14 in 9M.
- Assets Under Management (AUM): Grew by 14.63% to ₹2,917,090.3 million in Q3.
Credit Rating Upgrades
Several credit rating agencies have upgraded Shriram Finance’s ratings:
- CARE: Upgraded to AAA stable on December 31, 2025.
- CRISIL: Upgraded to AA+/Watch Positive on January 14, 2026.
- ICRA: Upgraded to AA+ on December 31, 2025, placed on Watch with Positive Implications.
- Fitch: Upgraded to BB+/Stable on January 21, 2026.
- S&P Global Ratings: Upgraded to BBB-/Stable/A-3 on January 15, 2026.
- Moody’s: Upgraded to BA1/Positive on January 9, 2026.
Investment and Capital
The Board of Directors approved raising funds of ₹396,179.8 million through a preferential issue of equity shares to MUFG Bank Ltd at ₹840.93 per share. This represents 20% of the post-preferential equity share capital and is awaiting regulatory approvals.
Labor Code Impact
Employee benefits expenses for the quarter and nine months periods ended December 31, 2025 include an incremental impact of ₹1,969.5 million due to changes in the definition of wages under the New Labour Codes.
Subsidiary Updates
Key performance indicators for Shriram Automall India Limited (SAMIL) and Shriram Overseas Investment Limited (SOIL) were also provided.
Source: BSE
