FIVE-STAR BUS FIN LTD

Lends to micro and small businesses in India, primarily through secured business loans against property, with a loan book (AUM) of ₹13,722 cr as of Q1 FY27. Funds itself by borrowing at a book cost of 8.80%, with the spread between borrowing costs and lending yields (NIM of 19.97%) being the core earnings driver; quarterly disbursements hit a record ₹1,496 cr in Q1 FY27 (+23% QoQ), and total income for the quarter was ₹838.7 cr. Operates through 856 branches with over 500,000 active loan customers; 85-90% of loans are disbursed for a 7-year tenure. Employee cost runs at 19.6% of revenue, with depreciation at 1.2% and other operating expenses at 5.1%; the dominant cost for an NBFC is interest on borrowings. Asset quality shows 83.3% of the book as current, 30-plus DPD at 12.38%, gross Stage 3 at 3.46%, and credit cost at 1.85% of AUM, with collection efficiency at 97.9%.