Nisus Finance — Q4 FY26 earnings call

So approval, so the regulatory challenges or other delays in some of the micro-markets have resulted in some of these transactions to get deferred to the next quarter. So, for example, this is more of a last month thing where in March 1st week, it should have come. It has now come effectively only in May as opposed to having come in March.

Revealed specific reasons for delays in India's investment pipeline, including regulatory flux and complex lender approval processes, impacting near-term deployment.

Asked by Shruti Malpani

As repeat, I said as we speak luckily, we just got the SEBI approval on the Neon Fund yesterday. So, we are good to go live on that. Should be active on that predominantly, majorly from Q2. It's a INR 1,800 crore fund with a INR 500 crore green shoe option.

Provided concrete details on the new fund's size, expected launch timeline, and SEBI approval status, indicating future growth avenues.

Asked by Shruti Malpani

Just know we explained because, there is definitely scope of increasing the PAT margin, but then this business is not only the PAT margin. This business is a volume again. So, where we're talking about today's turnover of INR 600 crores plus, we have been targeting in next year for the 3x-4x because that is where because these numbers will dramatically change. So, industry is always works on because of EBITDA of around 9-10%, because of PAT is around because 3-4%maximum. So, it's a one volume game.

Clarified the NCCCL's margin profile and strategic focus on volume growth to achieve higher PAT, rather than solely optimizing PAT percentage.

Asked by Harshad Singhania

So, we have hired new employees. And as a part of annual appraisal, there's a two factor. One is the new employees, and another is the annual appraisal. And this year, also, we have a I mean, earlier, we used to do the bonus on the cash business, but that from this financial year, we have changed our accounting method to make it on an accrual basis. So that's the major reason behind increase in employee benefit expense.

Provided a clear explanation for the significant increase in employee benefit expenses, attributing it to new hires, appraisals, and a change in bonus accounting.

Asked by Purva Shah

The FY26 percentage is an aberration because of two factors. The first is that we could opportunistically sell our investments at a premium because of compression of yields, and therefore, high yielding investments in our book would make a very large upside. It's not a normal scenario. Second was that we could build very high-value consulting contracts UAE. But on a going concern basis, we are conservative given the current geopolitical environment. If it's closer to 3% estimate, it's the most reasonable one.

Addressed a key concern about a significant drop in a core metric, explaining it as a normalization from an 'aberrant' high-performance year and a conservative outlook.

Asked by Natasha Singh

Impact has been more on the under-development industry or the off-plan. So last year, 78% was off-plan, and I believe 82% was RTMI was ready to move in. That ratio has changed dramatically where almost 60%-70% is ready to move in, and off-plan is much smaller. So, I think that's the first, which is clearly where the global capital, like you mentioned, whether Russians or Iranians or even Chinese or British or Indian investors put money was under construction project. And that has obviously fallen off massively, of course, because of the current geopolitical pressures, due to the issue about the but more importantly, also the disruption in the supply chain for building materials, etc., which also we are facing India, not just the UAE.

Provided a detailed assessment of the Dubai real estate market, distinguishing between off-plan and ready-to-move-in segments, and explaining the shift in investor profile and market dynamics due to geopolitical factors.

Asked by Harsh Jhanwar

Sir, our job is to give QoQ the performance, and that is what we have committed to deliver. We have moved as you will see, we are the India's only listed AIF fund manager. There is no like-to-like peer for us in the market. We are not a pure AMC business. We are not a NBSC business. We are not a pure advisory business. We are at the center where we take the best of all three.

Management acknowledged the stock's underperformance but focused on delivering results and highlighting the company's unique hybrid business model, suggesting market misunderstanding rather than operational issues.

Asked by R. Dilip Kumar

But we are operating in a AIS structure. Our income, the company's income is in the way of management fees. The assets are acquired by the AIS, which is operates like a trust structure, okay? So these are not the assets which sits on our balance sheet. We are the investment managers. This is point number one. So, any damage to those assets or any, reduction in value to those assets, doesn't directly impact our income as such, we will still continue to earn our management fees, point number one.

Clarified the company's asset-light model, explaining that asset value fluctuations in underlying funds do not directly impact the company's management fee income, mitigating concerns about direct war-related losses.

Asked by Achuth Pabbath