CreditAccess Grameen541770Quarterly results

Q2 FY27 call: record quarterly profit, FY27 guidance raised

Transcript of the Q2 FY27 earnings call held on October 22, 2026 is out.

By ScoutQuest · Mon 26 Oct 2026, 12:53 PM IST · 3 min read

Highest ever quarterly profit: INR 502 Crore
H1 FY27 PAT: INR 995 Crore versus INR 778 Crore last year
AUM: INR 30,946 Crore, up 19.5% YoY

Here is what management said on the Q2 FY27 earnings call held on October 22, 2026.

Business performance

AUM at INR 30,946 Crore, up 19.5% YoY and 2.1% QoQ.
Q2 disbursements of INR 6,355 Crore, up 19.4% YoY and 4.1% QoQ; H1 disbursements INR 12,461 Crore.
2.3 Lakh new borrowers added in the quarter, 35% new-to-credit; H1 additions 4.9 Lakh customers.
60 new branches opened, taking the network to 2,326 branches across 460 districts.
Retail Finance AUM INR 7,200 Crore, now 23.3% of total AUM; secured book INR 695 Crore, up 60.9% YoY.
Group Loan portfolio INR 23,746 Crore, a marginal 2% decline from the start of FY27 after write-offs and graduation; most of the INR 614 Crore written off in H1 FY27 was Group Loans.

Profitability

Highest ever quarterly profit of INR 502 Crore.
H1 FY27 PAT INR 995 Crore against INR 778 Crore in the previous financial year; H1 ROA 5.9% and ROE 23.8%.
NIM expanded to 15.1% in Q2 from 14.4% in Q1.
PPOP INR 970 Crore, up 39.6% YoY and 11.2% QoQ; cost-to-income ratio 28.2%.
Q2 credit cost INR 299 Crore, or 0.99% on a non-annualised basis; annualised H1 FY27 credit cost 3.43%, including INR 137 Crore (45 bps) of macroprudential buffer.

Asset quality

Gross NPA 1.79%, net NPA 0.59% and PAR 90 plus 1.11%, each improving sequentially.
ECL provisioning strengthened to 3.31%.
Collection efficiency excluding arrears 97.9%; X-Bucket collection efficiency for September 99.71%.

Capital and funding

Capital adequacy 26.9%, Tier 1 26.2%; total equity base INR 8,919 Crore.
USD 175 million ECB loan signed in October, syndicated by Standard Chartered Bank and DBS Bank; the fifth ECB syndication in five years.
INR 940 Crore of domestic NCDs raised through private placement this financial year.
Marginal and average cost of borrowing both at 9.1% in Q2 FY27.

FY27 guidance given by management

ROA raised to 5.2% to 5.8%, from 4% to 4.8% earlier.
ROE raised to 21% to 24%, from 16% to 20% earlier.
AUM growth guidance retained at 20% to 25%.
NIM guided at 14.4% to 14.7%, versus 12.8% to 13.2% earlier, after factoring a 50-bps lending rate cut applicable from October.
Cost-to-income expected at 29% to 30%.
Credit cost guidance maintained at 3% to 4%.

Watch points management flagged

Some signs of drought-related stress in October in certain pockets of Maharashtra, where borrowers are asking for additional time to repay, including restructuring options.
Asset quality was temporarily dented in August and September by excess rainfall and flooding in parts of Bihar, UP, Chhattisgarh and Madhya Pradesh, plus festivities in a few geographies.
Management said northeast monsoons are expected to be normal, which would help the southern peninsula.

What it means for retail investors: the call points to record profitability, improving asset quality and a higher full-year guidance for both ROA and ROE, with margins guided higher despite a rate cut. The main sensitivities management named are weather-related stress in a few states and the effect of the lending rate cut on margins.

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