Aditya Birla Capital is a diversified financial services group spanning NBFC and housing finance lending, asset management, life and health insurance, broking and a stressed-asset platform, reporting into a quarter when lending demand stayed firm but funding costs began to rise. The print will speak most to whether the promised 25-30 bps NBFC margin expansion finally shows up, and how the newly launched gold loans vertical executes in its first quarter.
| Results date | October 30, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Previous quarter revenue | Rs. 12,180 Cr |
| Previous quarter PAT | Rs. 1,175 Cr (net profit after minority interest) |
| Market cap | Rs. 95,076.42 Cr |
| CMP | Rs. 347.25 |
The Board will meet on Friday, October 30, 2026, to approve the unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2026, under Regulation 29(1) and 50(1) of SEBI LODR. The trading window for designated persons has been closed from October 1, 2026 until 48 hours after the results.
The quarter's central test is the NBFC margin bridge: the 25-30 bps expansion promised over 2-3 quarters from Q4 FY26 had not appeared by Q1 FY27 (NIM 6.07% vs 6.08%), and within the July-September window the 10-year G-sec yield hardened from 6.84% at end-July to 7.05% by September 21, before the RBI's October hike of 25 bps to 5.50% lands on the funding book from Q3 onward. Volume momentum entered the quarter strong, with the lending book at Rs. 2,19,289 crore (+32% YoY), NBFC AUM at Rs. 1,67,456 crore and HFC AUM at Rs. 51,833 crore (+50% YoY), while the gold loans vertical — confirmed for Q2 FY27 launch with 200-300 branches targeted by March 2027 — adds a new origination engine in a quarter when gold collateral values were elevated. On flows, record industry SIP contributions of Rs. 31,961 crore (July), Rs. 32,297 crore (August) and Rs. 32,490 crore (September) support the AMC's QAAUM off the Rs. 4,27,675 crore June base, though September industry AUM fell 5.1% MoM on mark-to-market losses. In life insurance, the GST drag of 200-250 bps on VNB margins persists — the October 8, 2026 GST Council meeting gave no relief on individual-policy input-tax credit — so the Q1 print of 15.1% versus the raised 'above 20%' 3-year target faces no policy tailwind this quarter. Credit cost at 1.03% in Q1 runs below the FY27 guided 1.1%-1.2% even as the unsecured mix climbs from 23% toward 25% of the book, and the call is likely to cover whether management re-rates that guidance alongside the HFC RoE rebuild from 11.29%.
Performance vs Guidance Tracking: Where each stated target stood after Q1 FY27:
Gold loan launch execution: Q2 FY27 is the stated launch quarter for the new vertical.
NBFC margin expansion evidence: The margin promise has not yet printed.
HFC RoE rebuild and IFRS comparability: RoE sits just below the FY27 guided band after the Advent capital infusion.
Credit-cost normalization risk: Management-flagged watch item for the guidance band.
Management quantified HFC RoE at 11.29% in Q1 FY27 and guided to roughly a 150 bps increase over the next 2-3 quarters, about 13% exiting FY27, and 15% in 6-8 quarters as AUM approaches Rs. 1 lakh crore. The dilution follows the Rs. 2,750 crore Advent International capital infusion completed on April 17, 2026.
Q1 FY27 credit cost of 1.03% ran below the FY27 guided band of 1.1%-1.2%, attributed to 'continued cohort correction' in the retail and unsecured portfolio over the last 1.5 years. Management has expressed confidence from a 76 bps stage 2+3 trend, but the unsecured mix rising from 23% toward 25% of the book is the direction analysts are testing against the below-guide print.
The gold loans entry was announced on August 20, 2026, with the Q1 FY27 call confirming launch in Q2 FY27. The plan is a phase-wise rollout of 200-300 dedicated branches by March 2027 and about 1,000 branches over three years, with management describing an organic plan while remaining open to small acquisitions.
Management flagged an anticipated 200-250 bps impact on life VNB margins after the 18% GST on individual policies was scrapped effective September 22, 2025 but insurers lost input-tax-credit ability. The October 8, 2026 GST Council meeting kept existing rates unchanged and allowed no relief on the individual-policy ITC loss, while Q1 FY27's net VNB margin printed at 15.1% against the raised 'above 20%' 3-year target.
Yes — the lending portfolio (NBFC plus HFC) stood at Rs. 2,19,289 crore in Q1 FY27, up 32% YoY, with NBFC disbursements of Rs. 21,201 crore (+34% YoY) and HFC AUM of Rs. 51,833 crore (+50% YoY). Asset quality improved alongside, with NBFC GS3 at 1.30% and HFC GS3 at 0.41% as of June 30, 2026.