SRG Housing Finance Ltd Q2 FY26 Results & Concall Highlights: Revenue, Margins & Order Book
Published 28 May 2026 | Finance | Market Cap: ₹456 Cr
AUM Growth:** Targeted AUM for FY26 is INR 970 crores with plans to reach INR 1,500 crores by 2028, potentially within 1-2 years after FY26 depending on execution (Page 7, 15). The company envisions long-term sustainable growth driven by increasing lender interest, including mutual funds, especially upon achieving an A rating.
From SRG Housing Finance Ltd's Q2 FY26 earnings-call transcript · updated 23 Aug 2026.
Price
₹264
Market Cap
₹456 Cr
P/E Ratio
13.3
How does SRG Housing Finance Ltd rank in Finance?
Compare SRG Housing Finance Ltd against every Finance company this quarter on revenue, margins and earnings-call signals.
📊 Revenue & Sales Performance
- →**AUM Growth:** Targeted AUM for FY26 is INR 970 crores with plans to reach INR 1,500 crores by 2028, potentially within 1-2 years after FY26 depending on execution (Page 7, 15).
- →**Disbursement Guidance:** Disbursement target for FY26 is INR 400 crores; quarterly disbursements expected to increase beyond INR 150 crores in Q3 and Q4 (Pages 5, 15, 17).
- →**Branch Expansion:** Current branches at 93, expected to increase to 100 by year-end FY26, with cautious expansion limited to 5-10 branches over 2-3 years, focusing on increasing AUM per branch to INR 20-25 crores rather than rapid branch addition (Pages 7, 8).
- →**Revenue and Profit Outlook:** With improved asset quality and cost efficiencies, profit has crossed INR 8 crores this quarter, expected to grow steadily with cost-to-income ratio decreasing gradually (Page 4).
- →**Rating Upgrade:** Anticipation of A rating post achieving INR 1,000 crore AUM which should reduce cost of funds and aid growth (Pages 12, 15).
📈 Profitability & Margins
- →The company envisions long-term sustainable growth driven by increasing lender interest, including mutual funds, especially upon achieving an A rating.
- →Profitability has improved from single-digit to double-digit figures and is expected to continue growing gradually.
- →Cost-to-income ratio is expected to reduce progressively over coming quarters, enhancing profitability margins.
- →Net Interest Margin (NIM) is currently around 9%, expected to stabilize in the 9% range.
- →Disbursement targets for FY26 are INR 400 crores with AUM growth targeted at INR 970 crores, though growth guidance was slightly moderated due to NHB guidelines on LAP exposure.
- →AUM of INR 1,500 crores is expected to be achieved by 2027-28, reflecting steady expansion.
- →The company plans no immediate equity raise until substantial growth necessitates it, ensuring disciplined financial management.
- →Overall, earnings and operating profits are expected to improve steadily as cost efficiency improves and asset quality remains stable.
🏗️ Capital Expenditure Plans
- →No specific mentions of current or future capex or strategic investments were detailed during the Q2 & H1 FY26 post earnings call.
- →The focus appears to be on organic growth through branch expansion and AUM growth rather than large capital expenditures.
- →Branch network is projected to grow moderately from 93 to 100 branches by year-end, with only 5-10 new branches over the next 2-3 years, emphasizing increasing AUM per branch (~INR 20-25 crores) instead of rapid branch addition.
- →Fundraising will be done only as needed, with no immediate plans for equity raises until AUM reaches around INR 1,500-2,000 crores.
- →The management’s focus is on sustainable, disciplined growth, optimizing funding cost, and improving credit ratings to attract mutual fund investments rather than pursuing large strategic investments or capital expenditures.
💰 Fundraising & Capital Structure
- →The company recently completed a fundraise and currently does not foresee the need for additional fundraising until the AUM reaches around INR1,500 to INR2,000 crores.
- →Fundraising will be done only when needed; the company does not plan to dilute equity prematurely based on market conditions or share prices.
- →Fundraise and borrowing cost are considered separate; borrowing cost may not reduce immediately after fundraise.
- →The company anticipates better borrowing terms once it achieves an A rating, which will attract more lenders and mutual fund investments.
- →There is no commitment to specific timing, but the management emphasizes disciplined growth and fundraising aligned with actual capital needs.
📋 Order Book & Pipeline
Key Metrics
Frequently Asked Questions
What were SRG Housing Finance Ltd Q2 FY26 results?
AUM Growth:** Targeted AUM for FY26 is INR 970 crores with plans to reach INR 1,500 crores by 2028, potentially within 1-2 years after FY26 depending on execution (Page 7, 15). The company envisions long-term sustainable growth driven by increasing lender interest, including mutual funds, especially upon achieving an A rating.
What is SRG Housing Finance Ltd share price analysis?
SRG Housing Finance Ltd currently shows a neutral. The stock trades at a P/E of 13.3 with a market cap of ₹456 Cr. Investors should review the full earnings analysis for detailed insights.
Is SRG Housing Finance Ltd planning capital expenditure?
No specific mentions of current or future capex or strategic investments were detailed during the Q2 & H1 FY26 post earnings call.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.