Tata Capital Reports 80.6% Surge in Q4FY26 Net Profit to ₹1,182 Crore
Tata Capital Q4FY26 results: Net profit rises 80.6% to ₹1,182 crore
Business Standard
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Tata Capital, a non-banking financial company in India, reported a standalone net profit of ₹1,182 crore for the January-March quarter of FY26, marking an 80.6% increase from the previous year. The growth was driven by higher revenues and improved asset quality, with total income rising to ₹3,740 crore.
- 01Standalone net profit rose to ₹1,182 crore, an 80.6% increase year-on-year.
- 02Consolidated net profit, including motor finance, reached ₹1,502 crore, up 43%.
- 03Net total income increased by 31% to ₹3,740 crore.
- 04Asset quality improved, with gross stage 3 assets at 1.5%.
- 05Cost-to-income ratio improved to 36.1% from 37.8% a year earlier.
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Tata Capital, a prominent non-banking financial company based in India, reported a remarkable 80.6% increase in standalone net profit for the January-March quarter of FY26, reaching ₹1,182 crore, up from ₹654.79 crore in the same period last year. This growth was attributed to a significant rise in revenues and lower expenses. On a consolidated basis, the net profit, excluding the motor finance segment, rose 51% year-on-year to ₹1,459 crore, while total profit including motor finance stood at ₹1,502 crore, reflecting a 43% increase. The company’s net total income surged 31% to ₹3,740 crore from ₹2,861 crore a year earlier. Notably, net interest income grew 28% to ₹3,127 crore, and fee income saw a 35% increase to ₹646 crore. The improvement in asset quality was evident as the annualized credit cost declined to 0.8% from 1.0% in the previous quarter. The company’s asset under management (AUM), excluding motor finance, grew 28% year-on-year to ₹2.52 trillion as of March 31, 2026. Rajiv Sabharwal, managing director and CEO of Tata Capital, highlighted advancements in risk management and operational efficiencies as key factors in achieving these results.
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The significant profit increase and improved asset quality may lead to enhanced lending capabilities for Tata Capital, benefiting borrowers and contributing to economic growth.
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