L&T Finance Limited (LTF) Q2 Results FY27 Preview: Date, Time, Expectations & Key Things To Watch

Cofacto Research Published October 10, 2026 5 min read

L&T Finance is a retail-focused NBFC lending across rural and urban India, serving roughly 2.8 crore customers with more than 90% of turnover from retail lending. The Q2 print will speak to whether the NIM plus fee corridor of 10% to 10.5% held against rising funding costs, and how the fast-scaling Gold Finance book and the flat rural microfinance book are reshaping credit costs.

Quick Details
Results dateOctober 15, 2026
QuarterQ2 FY 2026-2027
Previous quarter total incomeRs. 5,243.31 Cr (Q1 FY27)
Previous quarter PATRs. 915.99 Cr (Q1 FY27)
Market capRs. 65,467.22 Cr
CMPRs. 261.2

L&T Finance Limited Q2 Results Date and Time

On October 1, 2026, the company announced an October 15, 2026 board meeting to consider unaudited standalone and consolidated results for the quarter and half year ended September 30, 2026.

What to expect from L&T Finance Limited's Q2 FY27 results

The Q2 FY27 print tests whether L&T Finance can hold its guided NIM plus fee corridor of 10% to 10.5% as NBFC incremental cost of funds rose 30-50 bps versus February 2026 levels, with the 10-year G-sec at ~7.29% and the repo rate unchanged at 5.25%. The provisional Q2 business update already signalled retail disbursements of ~Rs. 24,000 Cr, up 27% YoY, and a retail loan book of ~Rs. 1,34,500 Cr, up 29% YoY, with retailisation at 99%. Gold Finance disbursements more than tripled YoY to Rs. 3,230 Cr from Rs. 983 Cr, the first full evidence of delivery on management's stated ambition of 10x growth in two years post-April 2026, while Rural Business Finance (Rs. 6,350 Cr) and Farmer Finance (Rs. 1,640 Cr) were held essentially flat, consistent with management's risk-calibrated approach amid microfinance stress. Sector-level collection efficiency is recovering, which supports the guided credit cost range of 2.3%-2.5%, and management has set a combined opex plus credit cost target of 6% by FY27. The call is likely to cover the NIM plus fee bridge, Stage-2 migration and coverage, the gold loan run-rate, and the updated AUM mix.

Key Things To Watch

NIM plus fee corridor and cost of funds: Whether the blended yield on advances held the guided range despite funding cost pressure.

  • NIM plus fee target corridor of 10% to 10.5% stated as open-ended guidance — actual Q2 FY27 level and direction within the corridor to be disclosed
  • NBFC incremental cost of funds was expected to rise 30-50 bps versus February 2026 levels, with the 10-year G-sec at ~7.29% and repo unchanged at 5.25%

Credit cost and microfinance asset quality: Asset quality update after the flat rural book and earlier low Stage-2 coverage.

  • Credit cost guidance of 2.3%-2.5% (open-ended) — whether Q2 landed within the range
  • Stage-2 provision coverage was 22.58% in Q2 FY26, down from 59.93% in Q2 FY25 — update on Stage-2 migration and coverage pending
  • Rural Group Loans/JLG were 41% of AUM, with Tamil Nadu, Karnataka and Bihar identified as key states; management has stated a focus on diversifying into less-penetrated geographies

Gold Finance ramp-up: First full-quarter evidence on the 10x ambition.

  • Q2 FY27 Gold Finance disbursements of Rs. 3,230 Cr, 3.3x YoY versus Rs. 983 Cr, against the stated ambition of 10x growth in two years post-April 2026
  • RBI data showed NBFC gold loans growing 69.3% YoY to Rs. 3.41 lakh crore as of June 2026, with LTV ratios declining per the RBI Financial Stability Report

Disbursement mix and retailisation: Provisional Q2 business update figures subject to limited review.

  • Retail disbursements of ~Rs. 24,000 Cr (+27% YoY) and retail loan book of ~Rs. 1,34,500 Cr (+29% YoY), with retailisation at 99%
  • Segment disbursements: Urban Finance Rs. 10,320 Cr, Rural Business Finance Rs. 6,350 Cr (flat YoY), Farmer Finance Rs. 1,640 Cr (flat), SME Finance Rs. 1,820 Cr, Acquired Portfolio Rs. 640 Cr

Performance vs guidance tracking: Status of previously stated targets management can be asked about on the call.

  • FY26 AUM growth guidance of 20% to 25% — reaffirmed in Q2 FY26; Q2 retail loan book growth of +29% YoY is within or above the range
  • Combined opex plus credit cost target of 6% by FY27 — Q1 FY27 opex was ~Rs. 1,204 Cr against total income of Rs. 5,243 Cr
  • Target of 200 new branches by March 2026 at a stated pace of one branch every day — target period has elapsed; execution update expected
  • Technology investment and growth-phase spending expected over the next 15-18 months, including Project Cyclops, Project Nostradamus and the KAI voice agent

Frequently Asked Questions

Is L&T Finance on track with its credit cost guidance?

Management's credit cost guidance is 2.3%-2.5%, with no target period specified. The provisional Q2 update kept rural disbursements flat — the segment carrying the highest credit risk at 41% of AUM — while sector-level collection efficiency has been recovering.

What is L&T Finance's NIM plus fee target?

Management has stated a NIM plus fee corridor of 10% to 10.5% for upcoming quarters, described as open-ended guidance with no specific end date. Movement within the range depends on whether conditions are favourable or unfavourable.

How fast are L&T Finance's gold loan disbursements growing?

Provisional Q2 FY27 Gold Finance disbursements were Rs. 3,230 Cr, 3.3x the Rs. 983 Cr a year earlier. This tracks management's stated ambition of 10x growth in two years post-April 2026 for Gold Loans.

How much did L&T Finance disburse in Q2 FY27?

The provisional Q2 business update showed retail disbursements of ~Rs. 24,000 Cr, up 27% YoY from Rs. 18,883 Cr, and a retail loan book of ~Rs. 1,34,500 Cr, up 29% YoY. Retailisation reached 99%, and these figures are provisional and subject to limited review.

What was L&T Finance's profit in the previous quarter?

In Q1 FY27, consolidated profit for the period was Rs. 915.99 Cr on total income of Rs. 5,243.31 Cr, with diluted EPS of 3.59. Both total income and profit were higher than in Q4 FY26.

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