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    Satin Creditcare

    SATIN
    Financial Services·12 May 2026
    Management Summary

    Satin Creditcare reported a strong Q4 and FY26, driven by significant PAT growth, robust AUM expansion, and improved asset quality. The company's diversified business model, including its growing non-MFI subsidiaries, contributed to its performance. Management expressed confidence in achieving higher AUM growth and better profitability in FY27, supported by disciplined underwriting and a healthy liquidity position.

    Highlights

    5

    • Consolidated PAT grew 79% YoY to INR330 crores for FY26, with Q4 PAT growing 640% YoY and 125% QoQ.

    • Consolidated AUM crossed INR15,174 crores, growing 19% YoY, backed by strong disbursements.

    • FY26 Credit Cost improved significantly by 77 bps to 3.8% from 4.6% in FY25, with Q4 credit cost at 2.5%.

    • ROA improved to 2.6% and ROE to 12.3% for FY26, with Q4 ROA at 4.71% and ROE at 23.31%.

    • Subsidiaries showed strong growth: Satin Finserv AUM grew 92.5% YoY to INR1,054 crores, and Satin Housing Finance AUM reached INR1,267 crores.

    Key financials

    Metrics

    14

    Periods

    3

    Headline

    8
    • Consolidated AUM
      ₹15,174 Cr
      YoY+19%
    • Total Revenue
      ₹3,161 Cr
      YoY+23%
    • Consolidated NIM
      13.2%
    • Marginal Cost of Borrowing
      10.8%
    • Stand-alone GNPA
      3.1%

    Q4 FY26

    2
    • Consolidated PAT
      —
      YoY+6.4%QoQ+125%
    • Credit Cost
      2.5%

    FY26

    4
    • Consolidated PAT
      ₹330 Cr
      YoY+79%
    • ROA
      2.6%
    • ROE
      12.3%
    • Credit Cost
      3.8%

    Segment breakdown

    • Satin Housing Finance Limited₹1,267 Cr54.6%
    • Satin Finserv Limited₹1,054 Cr45.4%
    Donut· Share of AUM

    Capital allocation

    3
    high confidence
    CategoryHeadline
    Debt

    Debt disclosed

    Cost 10.8%

    M&A

    QTrino

    acquisition · closed · Consideration ₹NaN (undisclosed)

    Liquidity

    Cash ₹2,092 crores · Undrawn ₹2,235 crores

    Healthy balance sheet liquidity and positive ALM across all buckets.

    Guidance & targets

    7
    CategoryTargetPriority
    AUM Growth
    Consolidated AUM
    INR32,000 crores
    		High
    AUM Growth
    Non-MFI AUM contribution
    30%
    		High
    AUM Growth
    Stand-alone AUM Growth
    15% to 20%
    		High
    AUM Growth
    Consolidated AUM Growth
    25% to 30%
    		Medium
    Credit Cost
    Credit Cost
    3% to 3.5%
    		High
    Profitability
    ROA
    better than 2.6%
    		Medium
    Profitability
    NIM
    13.5% to 14%
    		High

    Consolidated AUM Growth

    next quarter
    Current19% YoY for FY26 (INR15,174 crores)
    Target~25-30% YoY for FY27

    Why it matters

    Key indicator of overall business expansion and market share gain across all segments, crucial for long-term targets.

    So the growth would probably we are looking at 15% to 20% across over there. But as per the previous thing, SFL grew by about 90% year-on-year and housing grew by about 38%. Now keeping a mix of both that, if we add up to what 15%, that's the baseline which we are taking the bare minimum for microfinance, I think it will be closer to about 25%, 30% for a consolidated basis.

    How to verify

    key_financials.metrics[label='Consolidated AUM']

    Risks & concerns

    1
    RiskSeverity

    Geopolitical issues and inflation

    Analyst asked about potential stress from geopolitical issues and inflation, but management stated no current impact and historically demand picks up. — Analyst downplayed

    low

    Q&A highlights

    7

    “So Satin Finserv does graduated microfinance customers also who need a higher ticket size. That's one vertical. The other vertical is that they do green finance and emerging micro businesses, micro enterprise businesses. The underwriting is cash flow based. It is also based on certain scores, which they have validated internally for themselves. ... So it is not just pure manual as what you said. So it follows a lot of data analytics based on that various mechanisms of underwriting through looking at how we are able to generate cash flows, look at the business there. It is secured by receivables, it is secured by equipment. It is secured by any kind of I think appropriate and movable property at Satin. So this is not unsecured lending, which we do. This is secured lending, which we do across.”

    Clarifies the business model, target segments, and risk mitigation strategies for the growing Satin Finserv subsidiary.

    asked by Anil Tulsiram

    2 min read5 chapters

    Detailed Narrative

    01

    Strong Financial Performance and AUM Growth in FY26

    Satin Creditcare delivered a robust performance in FY26, with consolidated PAT growing 79% year-on-year to INR330 crores. The momentum was particularly strong in Q4 FY26, where consolidated PAT surged 640% year-on-year and 125% quarter-on-quarter. The company's consolidated AUM crossed INR15,174 crores, marking a 19% year-on-year growth, while total revenue increased 23% year-on-year to INR3,161 crores. This performance positions FY26 as a year of immense satisfaction for the company.

    02

    Significant Improvement in Asset Quality and Risk Management

    Asset quality saw meaningful improvement, with the FY26 credit cost declining by 77 basis points to 3.8% from 4.6% in FY25. The Q4 FY26 credit cost further improved to 2.5%. Stand-alone GNPA stood at 3.1% as of March 2026, and the X-bucket collection efficiency remained high at 99.9%. Stage 3 coverage improved to 73% from 67% in December 2025, supported by INR273 crores in on-book provisions and an additional INR20.5 crores management overlay, underscoring strong risk management practices.

    03

    Diversified Business Model Driving Growth

    The company's strategy to build a diversified rural financial services platform is gaining momentum, with non-MFI businesses now contributing 17% of consolidated AUM, targeting 30% by 2030. Satin Housing Finance Limited grew its AUM to INR1,267 crores, achieving a 3-year CAGR of 36%. Satin Finserv Limited, focusing on MSME and green finance, emerged as a standout performer with AUM of INR1,054 crores, representing a 92.5% year-on-year growth and a 3-year CAGR of 66%.

    04

    Enhanced Funding and Liquidity Position

    Satin Creditcare successfully raised INR10,826 crores during FY26, contributing to a 43 basis points decline in its marginal cost of borrowing to 10.82%. The company maintains a healthy balance sheet liquidity of INR2,092 crores and has undrawn sanctions of INR2,235 crores. This robust funding position, coupled with a positive ALM across all buckets, ensures adequate resources for sustained growth and operational stability.

    05

    Strategic Technology Investments and Future Outlook

    The company made strategic investments in technology, including the acquisition of a stake in QTrino, an IIT Patna incubated deep tech cybersecurity firm. For FY27, the company guides for stand-alone AUM growth of 15% to 20% and a credit cost target of 3% to 3.5%. The long-term consolidated AUM target has been revised upwards to INR32,000 crores by 2030, reflecting confidence in its growth trajectory and diversified business model.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.