Jio Financial Services Q2 FY27 results: net profit down 51.0% to ₹340.44 crore, revenue up 73.2%

How did Jio Financial Services perform in Q2 FY27?

Jio Financial Services reported consolidated revenue of ₹1,699 crore for Q2 FY27, up 73.2% from ₹981.39 crore in Q2 FY26. Profit before tax was ₹533.34 crore, down 5.8% from ₹565.90 crore a year earlier, while net profit fell 51.0% to ₹340.44 crore from ₹695.04 crore. Basic EPS declined to ₹0.51 from ₹1.10.

Against Q1 FY27, revenue fell 15.2% from ₹2,004 crore and profit before tax fell 46.1% from ₹988.73 crore. Net profit declined 59.0% to ₹340.44 crore from ₹830.25 crore, and basic EPS fell to ₹0.51 from ₹1.27. On a standalone basis, the company reported revenue of ₹677.72 crore and profit after tax of ₹575.34 crore.

The filing did not provide EBITDA or EBITDA margin for the consolidated quarter. It also identified Reliance Services and Holdings Limited as fully consolidated as a step-down subsidiary from 29 April 2026, while it had previously been accounted for under the share of associates and joint ventures.

What changed in Jio Financial Services' costs and profit?

Total expenses increased by ₹729.57 crore, or 167.1%, to ₹1,166 crore in Q2 FY27 from ₹436.50 crore in Q2 FY26. Finance costs accounted for the largest increase, rising by ₹441.91 crore, or 325.4%, to ₹577.73 crore. Other expenses were higher by ₹204.53 crore, or 110.5%, at ₹389.61 crore.

Employee cost rose by ₹52.06 crore, or 55.0%, to ₹146.67 crore, while depreciation increased by ₹3.56 crore, or 45.9%, to ₹11.31 crore. Other income fell by ₹20.88 crore, or 99.4%, to ₹0.13 crore from ₹21.01 crore. Tax was ₹149.02 crore, higher by ₹60.99 crore, or 69.3%.

There was no exceptional item. Against Q1 FY27, finance costs were higher by ₹159.40 crore, while other expenses were lower by ₹21.84 crore and employee cost was lower by ₹5.28 crore. Management said reported profit was affected by dividend timing, and that the year-on-year comparison was distorted by the change in the consolidation of Reliance Services and Holdings Limited.

How did the first half of FY27 go?

For the first half of FY27, Jio Financial Services reported consolidated revenue of ₹3,703.75 crore, up 132.4% from ₹1,593.85 crore in H1 FY26. Total income rose 128.4% to ₹3,703.95 crore from ₹1,621.86 crore, while profit before tax increased 59.6% to ₹1,522.07 crore.

Profit after tax for H1 FY27 was ₹1,170.69 crore, up 14.8% from ₹1,019.70 crore in H1 FY26. Basic EPS increased to ₹1.78 from ₹1.56. The company’s presentation reported H1 FY27 consolidated total income excluding dividend of ₹3,195 crore and PPOP excluding dividend of ₹1,353 crore.

What do the balance sheet and cash flow show?

Total assets stood at ₹181,665.63 crore on 30 September 2026, compared with ₹163,497.08 crore on 31 March 2026. Total equity was ₹129,595.57 crore, compared with ₹133,853.59 crore at the previous balance sheet date, while cash fell to ₹385.78 crore from ₹715.04 crore.

Borrowings were not reported in the available data. In the first half of FY27, operating cash flow was negative ₹11,061.72 crore, compared with negative ₹4,615.17 crore in H1 FY26. Investing cash flow was negative ₹13,509.17 crore against negative ₹5,554.46 crore, while financing cash flow was positive ₹24,241.63 crore against positive ₹10,050.85 crore. Capital expenditure was ₹105.21 crore, compared with ₹49.18 crore.

How has Jio Financial Services done over the last 8 quarters?

Revenue rose year on year in each of the last eight quarters. Across the available period, revenue was highest at ₹2,004.47 crore in Q1 FY27 and lowest at ₹438.35 crore in Q3 FY25; it fell to ₹1,699.28 crore in Q2 FY27. The company’s presentation reported consolidated total income excluding dividend of ₹1,496 crore in Q2 FY26, ₹1,699 crore in Q2 FY27 and ₹2,004 crore in Q1 FY27.

Net profit was highest at ₹830.25 crore in Q1 FY27 and lowest at ₹268.98 crore in Q3 FY26 before declining to ₹340.44 crore in Q2 FY27. The trend data did not include EBITDA margins, so no revenue, profit or margin peak can be stated for that measure.

Which businesses drove the quarter?

The Investing segment reported revenue of ₹521.42 crore and EBIT of ₹238.7 crore, with an EBIT margin of 45.8%. Lending reported revenue of ₹920.36 crore, EBIT of ₹147.9 crore and an EBIT margin of 16.1%. The reported data did not include year-ago segment revenue or EBIT, so segment growth could not be stated.

Others reported revenue of ₹287.55 crore and EBIT of negative ₹46.16 crore, with an EBIT margin of negative 16.1%. Management identified sequential declines in Jio Payment Solutions TPV following a deliberate exit from low-margin merchants and moderation in reinsurance GWP as primary insurers recalibrated crop exposure.

What else did the company announce?

The board approved the unaudited consolidated and standalone financial results for the quarter and half year ended 30 September 2026 after the Audit Committee reviewed and recommended them. The board meeting began at 4.45 p.m. and concluded at 6.00 p.m. on 15 October 2026.

A same-day monitoring agency report covered the preferential issue of up to 50 crore convertible warrants at an issue price of ₹316.50 per warrant, convertible into fully paid-up equity aggregating to ₹15,825.00 crore. CRISIL Ratings said there was no deviation from the objects of the issue and no revision in cost during the quarter; it also noted that the market price was below the exercise price on 10 October 2026, which could affect warrant conversion if that continued.

What did Jio Financial Services' management say?

Management said Jio Credit AUM rose 154% year on year to ₹37,320 crore, while disbursements rose 98%. It also said Bank of America would invest ₹18,000 crore for a 49.9% stake, subject to regulatory and statutory approvals and exercise of warrants. Management said consolidated PPOP excluding dividend rose 85% year on year to ₹574 crore, while reported PAT was affected by dividend timing.

Management said JioBlackRock AMC AUM rose 57% year on year to ₹22,746 crore, the SIF’s maiden fund reached ₹480 crore in three months, and the GIFT City global fund was approved. It also said Jio Payments Bank deposits rose 53% to ₹643 crore across 40 lakh CASA accounts, while the JioFinance app crossed 3.2 crore unique users.

Management identified risks including distortions in year-on-year comparisons from the Reliance Services and Holdings consolidation, lower Jio Payment Solutions TPV, moderated reinsurance GWP, temporarily lower JioFinance monthly active users, and possible changes under draft IRDAI insurance distribution regulations. MD and CEO Hitesh Sethia said the company was partnering with BlackRock, Allianz and Bank of America, while CTO Ganesh A R said customer decision-making processes would become the moat in financial services over time.

How did Jio Financial Services shares react?

The filing appeared after market hours. From the price when it was published, the stock was down 0.5% after 5 minutes, down 0.5% after 15 minutes and down 0.4% after 30 minutes. On the reaction day, it fell 1.3% from the previous close of ₹219.01; by the next day’s close it was down 2.3% from that pre-results close.

The Investment Company industry median moved up 0.2% on the reaction day, fell 0.6% by the next day and fell 5.0% over five sessions. Jio Financial Services underperformed the industry by 1.4 percentage points on the reaction day, 1.7 percentage points by the next day and 1.2 percentage points over five sessions. The Nifty 100 rose 0.6% on the reaction day and fell 0.4% and 1.5% over the subsequent one-day and five-session periods.

Earlier reaction-day moves were mixed. The stock had risen 2.8% on 16 July 2026, while the moves on 17 April 2026, 15 January 2026, 16 October 2025, 17 July 2025, 17 April 2025, 17 January 2025 and 18 October 2024 were negative.

How did other Investment Company companies do?

Twenty Investment Company peers had filed for the quarter as of 4 November 2026. Their median revenue growth was 25.8%, while 14 peers grew more slowly than Jio Financial Services and six grew faster. Eighteen peers reported higher profit among the 22 peers whose profit was compared.