NSE: SHRIRAMFIN · BSE: 511218
SHRIRAM FINANCE LIMITED
Earns primarily through interest on its lending book, which spans used and new vehicle financing across commercial vehicles, passenger vehicles, two-wheelers, three-wheelers, tractors and construction equipment, plus loans to MSMEs and gold loans. Q1 FY27 disbursements grew sharply year-on-year, riding double-digit growth across the Indian auto industry after recent GST rate cuts. The lending mix is being deliberately reweighted: new vehicle finance is targeted to rise as a share of disbursements, MSME lending to scale as a share of the book, and gold loans to be enabled across the branch network. The lender operates through more than 2,200 branches, with further expansion planned for FY27. Profitability comes from the spread between interest earned on loans and the cost of funds; credit cost is guided at around 2% of total assets. The capital base was rebuilt in April 2026 via a large equity infusion from Japan's MUFG Bank, which is now a 20% shareholder. AR · MarketPing reader · 2026-08-02
Revenue streams, as the annual report describes them. Vehicle financing, MSME loans, Gold loans. Asset-heavy, cyclical non-banking financial company with exposure to the Indian auto sector and rural economy
Exhibit 1: Financial summary, FY22–FY26 (all audited; no estimate years)
| ₹ crore · consolidated | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 19,255 | 30,477 | 36,380 | 41,834 | 48,133 |
| EBITDA (ex other income) | 13,400 | 21,714 | 26,036 | 31,578 | 35,460 |
| margin % | 69.6 | 71.2 | 71.6 | 75.5 | 73.7 |
| Owners' profit | 2,721 | 6,011 | 7,366 | 9,554 | 10,024 |
| EPS, as reported (₹) | 102.23 | 160.54 | 196.32 | 50.82 | 53.29 |
| ROE % · ROCE % | 10.4 · — | 13.7 · — | 14.9 · — | 17.0 · — | 15.2 · — |
| Debt / equity (x) | — | — | — | — | — |
| Cash from operations | (8,859) | (17,625) | (31,101) | (43,652) | (13,281) |
| Capex | (36) | (197) | (185) | (224) | (191) |
Exhibit 2: Quarterly performance, last 8 quarters
| ₹ crore | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 10,090 | 10,698 | 11,454 | 11,536 | 11,912 | 12,171 | 12,513 | 13,400 |
| Profit before tax | 2,752 | 4,313 | 2,772 | 2,906 | 3,113 | 3,364 | 3,917 | 4,626 |
| Net profit | 2,153 | 3,249 | 2,144 | 2,159 | 2,314 | 2,530 | 3,021 | 3,453 |
| EPS (₹) | 56.93 | 17.27 | 11.40 | 11.48 | 12.30 | 13.45 | 16.06 | 14.86 |
Exhibit 3: Peers — basic industry group, by market cap
| Company | M.cap ₹ cr | P/E | P/B | EV/EBITDA | ROE % | ROCE % | Rev CAGR 5y % | EBITDA m. % |
|---|---|---|---|---|---|---|---|---|
| BAJAJ FINANCE LIMITED | 5,70,768 | 28.1 | 4.88 | — | 16.5 | — | 25.2 | 70.7 |
| SHRIRAM FINANCE LIMITED ◆ | 1,94,820 | 14.6 | 2.96 | — | 15.2 | — | 22.5 | 74.7 |
| CHOLAMANDALAM IN & FIN CO | 1,31,798 | 22.8 | 4.33 | — | 17.2 | — | 26.5 | 71.2 |
| TATA CAPITAL LIMITED | 1,31,209 | 24.0 | 2.79 | — | 10.4 | — | — | 75.8 |
| MUTHOOT FINANCE LIMITED | 96,352 | 8.5 | 2.42 | — | 26.7 | — | 22.0 | 84.0 |
| SBI CARDS & PAY SER LTD | 50,202 | 22.1 | 3.19 | — | 13.8 | — | — | 33.1 |
| SUNDARAM FINANCE LTD | 43,766 | 19.6 | 2.94 | — | 13.8 | — | — | 78.4 |
| AUTHUM INVEST & INFRA LTD | 42,040 | 7.2 | 2.85 | — | 13.1 | — | — | 90.1 |
Exhibit 4: Where the company sits in its group
| Metric | Company | Group median | Rank | Better than |
|---|---|---|---|---|
| P/E (TTM) | 14.6 | 18.1 | 92 of 200 | 54% |
| P/B | 3.0 | 1.1 | 210 of 253 | 17% |
| ROE | 15.2 | 3.1 | 18 of 257 | 93% |
| EBITDA margin | 74.7 | 48.6 | 68 of 249 | 73% |
| Revenue growth | 16.2 | 12.6 | 105 of 231 | 55% |
| Profit growth | 59.9 | 7.8 | 80 of 251 | 68% |
| Market cap | 194820 | 34 | 2 of 268 | 100% |
Exhibit 5: Filings of the last 90 days, with the measured price reaction
| Date · filing | Category | Importance | Next day % | 5-day % |
|---|---|---|---|---|
| 27 Oct 2026 · Q2 FY27 profit jumps 59% as margin outlook softens | investor communications | medium | — | — |
| 26 Oct 2026 · CRISIL confirms full use of Rs 39,617.98 crore equity issue proceeds | credit debt | medium | — | — |
| 23 Oct 2026 · Earnings call audio for Q2 FY2026-27 now available | investor communications | low | — | — |
| 23 Oct 2026 · Interim dividend record date set for October 29, 2026 | corporate actions | high | — | — |
| 23 Oct 2026 · Committee meetings planned for proposed debt fund raising | fund raising | low | — | — |
| 23 Oct 2026 · Chief Software Officer appointed as profit rises and interim dividend is declared | management changes | medium | — | — |
| 23 Oct 2026 · Q2 profit up 59%; Rs 6.50 interim dividend and Rs 35,000 crore borrowing plan | investor communications | medium | — | — |
| 23 Oct 2026 · Panakala Raju M appointed Chief Software Officer | management changes | medium | — | — |
| 23 Oct 2026 · Q2 profit rises 59%; Rs 6.50 dividend and Rs 35,000 crore debt plan | compliance | minimal | — | — |
| 23 Oct 2026 · Shriram Finance Q2 PAT jumps 59% YoY to Rs 3,677 cr; declares Rs 6.50 interim dividend | investor communications | medium | — | — |
How to read this document
| Where a broker report shows | This document shows | Why |
|---|---|---|
| A rating (BUY / ADD / REDUCE / SELL) | A state: the latest filed quarter and the measured reactions | an event is a fact; a rating is an opinion that requires SEBI RA registration |
| A target price and upside | The current price and the multiples against the group | a target is a forecast; a multiple is a measurement |
| Estimate years marked E | More audited years; no estimates | MarketPing publishes no forecasts — your own model lives on the Models page |
Sources, method and disclosures
This document is a statistical summary of publicly filed information and market data, prepared by software from primary sources: SEBI results XBRL filed with BSE and NSE, LODR disclosures, shareholding patterns, exchange price data. It contains no research recommendation, no price target and no opinion on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Financial statements are as filed (consolidated where the company files consolidated results). Ratios are computed over filed lines. Where a figure is unavailable the table shows a dash rather than an estimate. The business brief is written by MarketPing's reader from the annual report and checked against it; no figure in a table was generated by a model. Nothing here constitutes investment advice, an offer or a solicitation; readers should consult a SEBI-registered adviser before acting. MarketPing is not a SEBI-registered intermediary.