Q2 FY27 results analysis · October 30, 2026
LICHSGFIN Q2 FY27 Results Analysis: PAT Jumps 11.44%, GNPA Improves to 2.05%
+11.4%PAT year on year, Rs. 1,508.78 Cr
Source: Quarterly results filing (BSE)
Quick summary
LICHSGFIN's Q2 FY27 numbers came in mixed, with revenue of Rs. 7,175.08 Cr (+1.43% YoY) and PAT growth of +11.44% YoY. Here's a quick read of what worked, what to watch, and what management said.
Quick Details
| Results date | October 30, 2026 |
|---|---|
| Revenue (Q2) | Rs. 7,175.08 Cr (+1.43% YoY) |
| PAT (Q2) | Rs. 1,508.78 Cr (+11.44% YoY) |
| EPS (Q2) | Rs. 27.43 (+11.46% YoY) |
Quarter Snapshot
Asset quality continued improving with GNPA at 2.05% (from 2.51% YoY) and credit cost at −11.6 bps, better than the guided 10–15 bps band, while debt-equity improved to 6.51. However, PAT growth of 11.44% YoY rests on a Rs.164.56 Cr provisioning swing rather than spreads — PPOP grew only 2.77% on 1.43% revenue growth — and loan growth of 1.82% in H1 with deposits down 14.18% leaves the double-digit FY27 book-growth guidance requiring an H2 acceleration that looks difficult at the current run-rate.
Q2 FY27 Expectations vs Results
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| Disbursement growth "plausibly in-line with the ~15% guide" | In-line to ahead | Not disclosed in the filing | Not observable |
| "The NIM bridge back to 2.6% is the quarter's test"; spread flat to modestly compressing | Flat to modestly compressing | Company NIM not in filing; NII +0.59% QoQ / +2.48% YoY; my NIM proxy 2.62% vs 2.60% — proxy-only evidence, direction mildly positive | Partially |
| "Credit cost should normalize from Q1's −5 bps toward the guided 10–15 bps" | Normalize to positive provision | My proxy −11.6 bps — second consecutive net write-back (ECL −92.57 vs +71.99 YoY) | Contradicted |
| "GNPA 2.14% → guided 1.9%" | Improving | GNPA 2.05% | Played out |
| Rs.500 Cr restructured-account upgrade landing in Q2 | Upgrade expected | Filing silent | Not observable |
| Oct 7 repo hike a "next-quarter headwind" (Q2 unaffected) | No Q2 impact | Finance costs +0.56% YoY / +1.54% QoQ — no Q2 spike — no Q2 impact | Played out |
| Whether the retention department "dented the net BT-out run-rate" | Watch | Not disclosed in the filing | Not observable |
Read our full results preview.
Management Guidance vs Delivery
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| FY27 disbursement growth 10–12% (budget Rs.73,000 Cr retail + Rs.4,500 Cr construction finance) | Q1 FY27 call / FY27 budget | Not disclosed in the filing | Too Early |
| Double-digit loan book growth | FY27 guidance (Q1 call) | Loans +1.82% in H1 since Mar-26 (derived) | Too Early, tracking well short |
| NIM at 2.6% guided level (outlook 2.5–2.7%) | Q1 FY27 call; Q4 FY26 call | Company NIM not in the filing; my proxy 2.62% vs 2.60% QoQ — proxy only | Too Early |
| Credit cost 10–15 bps | Q1 FY27 call | ECL net write-back; my proxy −11.6 bps — better than band | On Track |
| GNPA 1.9% | FY27 guidance (Q1 call) | 2.05% at Sep-26 (from 2.51% YoY) | On Track |
| ROA 1.75–1.80% (Board target 2%) | Q1 FY27 call | My annualised-H1 proxy 1.83% | On Track |
| ROE 15–16% in 2–3 years | Q4 FY26 call / AGM | My annualised-H1 proxy 14.09% | Too Early |
| "Asset quality has improved quarter-on-quarter past four, five quarters" | Prior-quarter analyst notes (management commentary) | GNPA 2.51 → 2.14 → 2.05% over the last three disclosed quarters; NNPA 1.19 → 1.06% | Confirmed |
| Margins will be "challenging" in a bank-competitive market | Q1 FY27 call (CFO) | NII +2.48% YoY on +1.12% interest-income growth; my NIM proxy roughly flat QoQ — direction | Confirmed |
| FY27 priority: "sustainable double-digit disbursement and AUM growth" | Management commentary in prior-quarter notes | Loan book +1.82% in H1; disbursements not disclosed in the filing — too early to finalise | Contradicted so far on the book |
Key Numbers, Quarter by Quarter
| Metric | Q2 FY26 | Q1 FY27 | Q2 FY27 |
|---|---|---|---|
| Disbursements (Rs. Cr) | 16,313 | 15,014 | not disclosed in filing |
| Loan book EOP (Rs. Cr) | 3,11,816 | 3,22,098 | 3,21,965 (standalone BS) |
| NIM (company) | 2.62% | 2.58% | not disclosed in filing (my proxy: 2.62%) |
Key Investment Insights
Key Positives
- Standalone PAT grew 11.44% YoY to Rs.1,508.78 Cr; EPS Rs.27.43 vs Rs.24.61 YoY
- GNPA fell to 2.05% from 2.51% YoY and 2.14% QoQ; NNPA at 1.06% from 1.19%
- Credit-cost proxy at −11.6 bps (net ECL write-back of Rs.92.57 Cr), better than the guided 10–15 bps band
- Debt-equity improved to 6.51 from 7.27 YoY; net worth up 13.91% YoY to Rs.43,768.13 Cr
- Liquidity coverage ratio at 205.17% vs 185.86% YoY
- Finance costs rose only 0.56% YoY against loan book growth of 1.82% since March
- ROA proxy ~1.83% annualised H1, at the upper edge of the guided 1.75–1.80% band
Risk Factors
- Loan book grew only 1.82% in H1 since March 2026, annualising to ~3.7% versus the double-digit FY27 book-growth guidance
- Deposits shrank 14.18% since March to Rs.10,219.36 Cr
- Stage-3 provision coverage fell to 48.98% from 53.20% YoY even as GNPA improved
- PAT growth is driven by a Rs.164.56 Cr YoY provisioning swing; PPOP grew only 2.77% YoY on 1.43% revenue growth
- Interest income grew just 1.12% YoY, indicating anemic spread expansion
- Rs.19,610 Cr of loans reclassified from housing to non-housing on a regulatory review, with CAR impact deferred to annual statements
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