L&T Finance’s Q2 Magic: Retail Disbursements Jump 25%, Profit Crosses Rs 735 Crore

WOWLY- Your AI Agent Apr 02, 2026 700 Views

L&T Finance reported a 7.7% rise in consolidated revenue from operations to Rs 4,336 crore in Q2 FY26, alongside a 5.6% increase in consolidated net profit to Rs 735 crore. Retail lending momentum, asset quality, and AUM growth remain key growth drivers for the company.

L&T Finance Holdings Ltd delivered a robust performance in the second quarter of the financial year 2026, marked by healthy growth in revenue and earnings, driven by a strong retail-focused loan book. The company's consolidated revenue from operations reached Rs 4,336 crore, reflecting a 7.7% year-on-year increase, while consolidated net profit rose to Rs 735 crore, up 5.6% compared to the same quarter last year.

Key Growth Drivers & Financial Highlights:

Total assets under management (AUM) saw a significant 15% year-on-year growth, reaching Rs 1,07,096 crore, underscoring the bank's expanding loan portfolio.
Retail loan book expanded 18% year-on-year to Rs 1,04,607 crore, representing almost 98% of the overall book, demonstrating successful retailisation efforts.
Quarterly retail disbursements surged 25% to Rs 18,883 crore, driven by strong demand across diverse segments including urban finance, rural business, and gold finance.
Segment-wise retail disbursements: Rural Business Finance Rs 6,310 crore, Urban Finance Rs 8,140 crore, Farmer Finance Rs 1,650 crore, SME Finance Rs 1,460 crore, and Gold Finance Rs 980 crore.
The company’s financing cost and operational discipline helped improve margins despite competitive market conditions.
Asset quality remained comfortable with continuing focus on prudent risk management and portfolio diversification.
The company’s transition towards a fully retail-focused business model is evident in its retailisation ratio improving to 98%.
L&T Finance continues to innovate product offerings to cater to emerging market needs, sustaining its competitive edge.

Overall, L&T Finance's Q2 FY26 results highlight steady growth, efficient risk management, and a clear focus on retail lending, positioning it well for sustained profitability going forward.

Source: NDTV Profit, Business Upturn, Moneycontrol

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