Capital India Finance Reports Strong H1 FY27 Growth; Disbursements Rise 39%, AUM Grows 25% and Interest Income Increases 47%

Mumbai (Maharashtra) [India], November 7: Capital India Finance Limited (CIFL), a listed NBFC focused on MSME lending (BSE: 530879 | NSE: CIFL), reported strong operating growth for the half year ended September 30, 2026.

Disbursements increased 39% year-on-year to ₹386.68 crore, while Assets Under Management (AUM) grew 25% to ₹1,284.13 crore. Interest income increased 47% year-on-year to ₹119.01 crore, reflecting the growing scale of the Company’s core lending operations.

Total standalone income increased 44% year-on-year to ₹145.32 crore, while Profit After Tax (PAT) stood at ₹7.71 crore.

Key Performance Highlights – Standalone

  • AUM: ₹1,284.13 crore as of September 30, 2026, registering 25% year-on-year growth.
  • Disbursements: ₹386.68 crore during H1 FY27, up 39% year-on-year, reflecting improving business momentum and deeper market penetration.
  • Interest Income: ₹119.01 crore, registering 47% year-on-year growth.
  • Total Income: ₹145.32 crore, up 44% year-on-year.
  • Profit After Tax: ₹7.71 crore for H1 FY27.
  • Asset Quality: Gross NPA stood at 2.89% and Net NPA at 1.65% as of September 30, 2026, with asset quality improving sequentially during Q2 FY27 compared to Q1 FY27.
  • Capital Adequacy: CAR remained strong at 40.77%, providing significant headroom to support future growth.
  • Distribution Network: 46 branches across nine states, supported by an expanded leadership team and employee base.
  • Liability Franchise: Continued diversification of funding sources, supported by participation from existing and new lenders and access to the capital markets through an NCD issuance.

Management Commentary

Mr. Surender Rana, Executive Vice Chairman, Capital India Finance Limited, said: “The MSME sector continues to present significant opportunities for responsible and sustainable credit growth. At Capital India, our priority is to build a strong, well-capitalised lending institution supported by disciplined risk management, sound governance and a diversified funding franchise.

The Company’s growing distribution network, strengthened leadership capabilities and strategic focus on core lending provide a solid foundation for long-term growth. We remain committed to building an institution that balances growth ambitions with financial prudence and creates sustainable value for all stakeholders.”

Mr. Pinank Shah, Chief Executive Officer, Capital India Finance Limited, commented: “The foundation we have laid over the past few quarters through investments in distribution, people and technology has started delivering results, reflected in the strong growth in disbursements, AUM and interest income during H1 FY27.

We are also encouraged by the improvement in asset quality during Q2 compared to Q1. Going forward, our focus remains on driving higher productivity, improving operating efficiencies and sustaining profitable growth, while maintaining disciplined underwriting and robust asset quality.

With a strong capital position and an expanding liability franchise, we remain confident of building a scalable and sustainable MSME lending business.”

Strategic Developments

During August 2026, the Company approved the transfer of certain assets of its foreign exchange division, operating under the RemitX brand, subject to fulfilment of the terms of the agreement.

Following the divestment of Capital India Home Loans Limited in FY26, this proposed transaction is another step towards simplifying the Company’s business portfolio and sharpening its focus on core MSME lending operations.

RapiPay Fintech Private Limited – Material Subsidiary

For the half year ended September 30, 2026:

  • Total Revenue: ₹133.25 crore
  • Loss After Tax: ₹18.34 crore

Consolidated Financial Performance

For the half year ended September 30, 2026:

  • Total Revenue: ₹256.61 crore
  • Loss After Tax: ₹11.77 crore

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

Indianews Syndication

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