UGRO CAPITAL Q2 FY27 results: net profit ₹50.74 crore

How did UGRO CAPITAL perform in Q2 FY27?

UGRO Capital’s consolidated revenue for Q2 FY27 was ₹544.31 crore, up 9.5% from ₹496.94 crore in Q1 FY27. Total income was ₹578.36 crore, up 8.2%, while total expenses rose 7.8% to ₹510.11 crore. Profit before tax increased 10.9% to ₹68.25 crore. No comparable consolidated revenue or profit figures for the year-ago quarter were provided.

Net profit for Q2 FY27 was ₹50.74 crore, down 25.2% from ₹67.87 crore in Q1 FY27, and basic EPS fell to ₹3.32 from ₹4.44. The profit margin was 9.3%, compared with 13.7% in the previous quarter. The standalone result showed revenue of ₹461.47 crore and profit after tax of ₹37.37 crore; no exceptional item was reported in the consolidated result.

What do the balance sheet and cash flow show?

Total assets increased to ₹14,345.56 crore at 30 September 2026 from ₹14,075.02 crore at 31 March 2026. Total equity rose to ₹3,028.89 crore from ₹2,906.02 crore, while cash fell to ₹993.59 crore from ₹1,377.53 crore. Borrowings were not provided in the available balance-sheet data.

For the first half of FY27, operating cash flow was an outflow of ₹361.58 crore, investing cash flow was an outflow of ₹191.14 crore and financing cash flow was an inflow of ₹168.75 crore. Capital expenditure was ₹0.33 crore. A comparable year-earlier cash-flow figure was not provided, so the year-on-year movement cannot be stated.

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, along with the limited review report. The board also approved the appointment of Chandrakant Bhagwat as Company Secretary and Compliance Officer with effect from 1 December 2026.

The board noted the resignation of Kavita Shedge as Head-Internal Audit with effect from the close of business hours on 6 November 2026. Management said a suitable candidate had been identified, but the appointment was subject to board approval. The available same-day filings did not specify a dividend or a fund raise.

What did UGRO CAPITAL's management say?

In its investor presentation, management said the company was targeting an 85% focused-products share of AUM and a 3.0-3.5% steady-state ROA by FY29. It also set out a forward plan for Emerging Market LAP AUM growth of 20-30% p.a., GROx AUM growth of 35-40% p.a., and a 15-20% p.a. rundown of the Prime Intermediated book. Management guided to an INR 220 Cr annualised operating-cost take-out in FY27.

Management said focused products represented 53% of the book, against 32% in December 2025, and that total AUM was INR 15,019 Cr. The presentation highlighted the Profectus merger, the behavioural-tenure accounting reset, recurring and annuity-led earnings, branch productivity and operating-cost take-out as priorities. The NCLT sanction remained pending, and management also flagged credit-cost pressure and seasoning of new focus-book vintages.

Management said Q2 credit cost rose 32% QoQ to INR 86.9 Cr, or 3.6% of average on-book POS, against 2.8% in Q1. It also said foreclosure reversals totalled INR 318 Cr cumulatively in FY22-FY26, with FY26 reversals equal to 40% of PBT. The de-focused portfolio had 3.9% GNPA, compared with 1.7% for focused products.

How did other Non Banking Financial Company (NBFC) companies do?

Among 93 Non Banking Financial Company peers compared for the quarter, the median revenue growth was 24.1%. The available peer data did not specify how many grew slower or faster than UGRO Capital, so the peers growing slower than the company and peers growing faster than the company cannot be stated. Of 106 peers compared for profit, 71 grew profit.