IFCI Ltd Q2 FY27 Results Analysis: CRAR Plunges to -18.42%, GNPA Rises to 99.23%
IFCI Ltd reported Q2 FY27 numbers with revenue of Rs. 136.72 Cr (-23.10% YoY) and PAT growth of -24.30% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 12, 2026 |
|---|---|
| Revenue (Q2) | Rs. 136.72 Cr (-23.10% YoY) |
| PAT (Q2) | Rs. 12.21 Cr (-24.30% YoY) |
| EPS (Q2) | Rs. 0.05 (-16.67% YoY) |
Quarter Snapshot
IFCI's Q2 FY27 standalone results show a run-off entity with negative core lending economics (NII of Rs.(15.16) Cr), PAT of Rs.12.21 Cr propped up by a Rs.(8.91) Cr deferred-tax credit and dividend income, and revenue down 23.10% YoY. CRAR worsened to -18.42% against the 15% RBI minimum (an auditor Emphasis of Matter) and GNPA rose to 99.23%, while H1 standalone operating cash flow was negative at Rs.(100.63) Cr. The consolidated picture is dominated by a one-off Rs.4,664.04 Cr OCI mark-to-market gain at a subsidiary, which is a balance-sheet revaluation rather than earnings.
Q2 FY27 Expectations vs Results
| Driver | What happened | Verdict |
|---|---|---|
| Fee line "ahead of Q1's run-rate on the PLI-Auto acceleration" | Standalone fees Rs.6.87 Cr vs Rs.14.08 Cr (−51.21% QoQ); consolidated Rs.166.00 Cr vs Rs.157.95 Cr (+5.10%) | Partially |
| Interest income flat (static book) | Rs.81.06 Cr vs Rs.83.78 Cr; ex stage-3 gross-up Rs.61.34 Cr | Played out |
| Dividend income hostage to SHCIL payout timing | Consolidated dividend Rs.389.93 Cr landed in Q2 (Q2 FY26: Rs.385.54 Cr); standalone Rs.63.65 Cr | Played out |
| Finance cost "likely up QoQ" on refinancing | Rs.96.22 Cr vs Rs.103.61 Cr (−7.13% QoQ; −10.10% YoY) | Contradicted |
| Fair-value losses "persisted or deepened" in a rising-yield quarter | Rs.(30.58) Cr vs Rs.(28.13) Cr in Q1; consolidated Rs.(44.20) Cr vs Rs.(26.43) Cr | Played out |
| Impairment reversal lumpy; Q1's reversal drove profit | Q2 reversal just Rs.(2.24) Cr vs Rs.(44.89) Cr in Q1; Q2 PPOP +Rs.1.06 Cr | Played out |
| Rs.9.20 Cr CAG correction residual could land in Q2 | Not identifiable; filing silent — open for the call | Not observable |
| CRAR overhang enters Q2 unresolved (no GoI infusion earmarked, per pre-call note, web-sourced) | CRAR (18.42)%, worse QoQ; no infusion disclosed | Played out |
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Management Guidance vs Delivery
| What management said | What happened | Verdict |
|---|---|---|
| FY26 profitability improved on "higher dividend income, rental income, advisory income, and reduction in finance cost" (FY26 annual report) | H1 FY27 standalone finance costs fell to Rs.199.83 Cr from Rs.209.64 Cr; but standalone fee income is −49.30% YoY and dividend receipts are seasonal, not growth | Partially |
| "Strategic initiatives aimed at enhancing recoveries… have led to improved cashflows and a healthier Balance Sheet" (FY26 annual report) | Standalone CFO Rs.(100.63) Cr, consolidated CFO Rs.3.35 Cr (0.01× PAT); GNPA ratio rose to 99.23%; CRAR fell to (18.42)% | Contradicted for H1 FY27 |
| No fresh lending; focus on resolution ("no new loan sanctioned or disbursed in FY 2025-26") | Loans acquired: NIL; standalone loans down to Rs.1,002.17 Cr from Rs.1,170.19 Cr | Confirmed |
| PLI/nodal-agency role provides "an additional revenue stream" (FY26 annual report) | Consolidated fees +12.56% YoY to Rs.166.00 Cr; standalone fees −49.30% YoY — the stream sits in subsidiaries | Partially |
Key Investment Insights
Key Positives
- Standalone interest income grew 33.85% YoY to Rs.81.06 Cr (Rs.61.34 Cr excluding a Rs.19.72 Cr stage-3 gross-up)
- Consolidated fees & commission income grew 12.56% YoY to Rs.166.00 Cr
- Standalone finance costs fell 7.13% QoQ and 10.10% YoY to Rs.96.22 Cr
- Subordinated liabilities repaid Rs.468.55 Cr in H1, down to Rs.276.12 Cr
- Consolidated impairment line showed a Rs.(2.14) Cr reversal vs a Rs.20.30 Cr charge in Q2 FY26
- 100% security cover of 7.21x on book value maintained on secured debt
Risk Factors
- CRAR deteriorated to -18.42% from -17.58% in Q1, far below the 15% RBI minimum, with no capital infusion disclosed
- Gross NPA ratio rose to 99.23% from 95.79% at March 2026; net credit-impaired assets ratio at 95.55%
- Standalone NII negative at Rs.(15.16) Cr and Q2 PPOP just Rs.1.06 Cr; core lending economics remain unviable
- H1 standalone CFO of Rs.(100.63) Cr; interest paid Rs.477.25 Cr vs interest received Rs.164.37 Cr
- Standalone revenue from operations fell 23.10% YoY and fee income halved QoQ (-51.21%) and YoY (-49.30%)
- IIDL Suites disposal (carrying Rs.149.91 Cr) committed for June 2026 completion remained unsold at September 30, 2026
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Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.