UCUgro Capital511742Quarterly results

Shareholder letter for Q2 FY27: record monthly disbursements, focused products at 53% of AUM

Q2 FY27 shareholder letter: AUM ₹15,019 Cr, PAT ₹50.7 Cr, focused products 53% of AUM.

By ScoutQuest · Thu 5 Nov 2026, 8:47 PM IST · 2 min read

AUM

₹15,019 Cr

PAT

₹50.7 Cr

Focused products share of AUM

53% of AUM (₹7,929 Cr)

Q2 FY27 snapshot

The shareholder letter for the quarter ended 30 September 2026 presents a business repositioned around its lending engines. AUM was ₹15,019 Cr, net disbursement was ₹3,159 Cr, and focused products — Emerging Market LAP and GROx — were ₹7,929 Cr, or 53% of AUM. Profit before tax was ₹68.3 Cr and profit after tax ₹50.7 Cr. Portfolio yield was 18.7% and GNPA (AUM) 2.7%.

The lending engines

• Emerging Market LAP: small-ticket loans against property, sourced through the company's own branches. The letter describes it as long-dated and secured.
• GROx: merchant loans embedded in partner platforms that small businesses already use. The letter describes it as short-dated, higher-yielding and supported by partner first-loss cover and collection-linked payouts.

The company says these engines earn interest month by month on its own balance sheet, rather than relying on upfront gains.

Merger and accounting change

Shareholders and creditors approved the merger of Profectus on 23 September 2026; the NCLT final hearing is on 20 November 2026. Under the Scheme, income on co-lent and assigned loans moves to the basis on which those loans actually behave. Profectus goodwill and acquisition cost are adjusted against reserves, with no charge to profit. Management expects this to make reported income less volatile than the earlier practice of booking co-lending income upfront and reversing it when loans closed early.

Management view on returns and funding

The letter sets out management's objective of a higher return on assets by FY29 and says the company intends to fund its plans through FY29 without new equity. It cites capital adequacy and retained earnings as support. These are management objectives and forward-looking statements, not guarantees.

What to watch

• The NCLT final hearing and the restated financials after the merger.
• Whether the focused-product share keeps rising and whether credit cost behaves as the newer books season.
• Delivery against the cost, funding and return targets management has set.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.

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