MUMBAI: Tata Capital has reported a healthy 39.3% growth in consolidated net income at Rs 1,285 crore (excluding motor finance) for the December quarter compared with a net profit of Rs 922 crore in the same period last year when it was not a listed entity.
The non-banking finance company from the Tata stable said Monday that its net interest income rose 26% to Rs 2,936 crore and as the credit cost declined to 1% in from 1.1%. Net profit growth came in line with the company’s guidance of 39%, it added.
The company launched a highly successful IPO last October, but the stock’s listing was muted, and it has since been trading around its issue price of Rs 326 for a prolonged period. Only last week the counter saw some traction with today seeing the stock touching a life-time high of Rs 365 but closed in the red. Its IPO was the largest issue in 2025 raising Rs 12,500 crore.
Total assets under management stood at Rs 2,34,114 crore (excluding Tata Motor Finance which it merged with itself prior to the listing), marking a 26% increase compared to Rs 1,86,404 crore. The SME segment accounts for the highest share in the loan book at Rs 70,549 crore. The retail segment, which includes home loans and personal loans, constitutes 60% of the total assets.
On the asset quality front, the annualised credit cost declined to 1% from 1.1% in Q2. Gross non-performing assets and net non-performing assets stood at 1.6% and 0.6%, respectively, and the ratios were unchanged from September 2025 levels.
While pre-provisioning operating profit rose 42% to Rs 2,311 crore from Rs 1,625 crore, provisions also increased 42% to Rs 581 crore.
Commenting on the results, Rajiv Sabharwal, managing director said there was sustained business momentum with broad-based growth across products.
"Credit quality continued to remain robust, with early leading indicators reflecting stable portfolio performance across segments. Unsecured retail disbursements, which were moderated earlier as a prudent risk measure, have seen a gradual uptick, with slippages coming down. Our distribution network and strategic focus on digital capabilities continue to drive operating efficiencies," he said.