BSESakthi Finance LtdHighNeutral
Announced Wed, 12 Nov · 14:55 IST

Unaudited Financial Results for the quarter and half year ended 30 September 2025. (Integrated)

Revenue DeclineNegative Operating CashflowDebt Equity ThresholdResults View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Sakthi Finance, an NBFC based in Coimbatore, reported broadly stable results for Q2 FY26. Total income from operations stood at ₹52.87 crore (vs ₹54.29 crore in Q2 FY25), while profit after tax rose modestly to ₹3.76 crore (vs ₹3.57 crore, up ~5.3%). For H1 FY26, PAT grew ~5.6% to ₹7.88 crore on total income of ₹106.62 crore. The loan book remained nearly flat at ₹1,179 crore, but asset quality improved — GNPA fell to 4.92% (from 5.13%) and NNPA to 2.17% (from 2.60%), with provision coverage rising to 57%. Capital adequacy remains comfortable at 18.70%. The company raised ₹150 crore via a public NCD issue in August 2025 and redeemed several earlier NCD tranches during the quarter. The auditor (P N Raghavendra Rao & Co.) issued an unqualified limited review report with no qualifications.

Likely market impact

Results are broadly steady with stable margins, improving asset quality, and adequate capital — supportive for shareholders. However, revenue is marginally down year-on-year and debt-equity remains high at 6.21x, typical for an NBFC but worth monitoring. The fresh ₹150 crore NCD raise boosts near-term liquidity but adds to leverage.