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:
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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.
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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.
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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.
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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.
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The company’s financing cost and operational discipline helped improve margins despite competitive market conditions.
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Asset quality remained comfortable with continuing focus on prudent risk management and portfolio diversification.
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The company’s transition towards a fully retail-focused business model is evident in its retailisation ratio improving to 98%.
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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