Mumbai: 11th August 2025: Satin Creditcare Network Limited (SCNL) has announced its unaudited financial results for the quarter ended 30th June 2025. The financial numbers are based on IndAS.
Consolidated Highlights
| Particulars (INR Crores) | Q1-FY26 | Q4-FY25 | Q1-FY25 |
| *Assets under Management (AUM) | 12,499 | 12,784 | 11,706 |
| Disbursement | 2,242 | 3,095 | 2,114 |
| Net Interest Income (NII) | 416 | 359 | 383 |
| Pre-provisioning Operating Profit (PPOP) | 201 | 129 | 213 |
| Profit After Tax (PAT) | 45 | 22 | 105 |
| Return on Assets (ROA) | 1.50% | 0.76% | 3.96% |
| Return on Equity (ROE) | 7.06% | 3.43% | 17.16% |
Footprints and Outreach
| Particulars | Q1-FY26 | Q1-FY25 |
| States & UTs | 29 | 27 |
| Branches | 1,599 | 1,447 |
| No. of Employees | 16,454 | 14,459 |
| No. of Loan Officers | 11,239 | 10,413 |
| *No. of Clients (Lakhs) | 32.9 | 35.1 |
*Decline in AUM and clients is on account of slower disbursals since focus is on portfolio quality, write-offs and discontinuing BC business in SFL
Standalone Highlights
| Particulars (INR Crores) | Q1-FY26 | Q4-FY25 | Q1-FY25 |
| Assets under Management (AUM) | 10,956 | 11,316 | 10,485 |
| Disbursement | 2,065 | 2,881 | 1,997 |
| Profit After Tax (PAT) | 43 | 41 | 103 |
| Return on Assets (ROA) | 1.51% | 1.51% | 4.02% |
| Return on Equity (ROE) | 5.97% | 5.79% | 15.10% |
Update on Q1-FY26: Standalone Highlights
- Marked the 16th consecutive quarter of profitability, further underscoring the company’s consistent financial performance
- Maintained steady disbursement momentum of INR 2,065 Crores in Q1-FY26, resulting in a growth of 3.4% YoY
- PAR 90 stood at 3.7% as of Jun’25; at similar levels of Mar’25
- Rejection rates at 67%, increased by ~300 bps from Mar’25 onwards primarily driven by tighter credit evaluation framework upon implementation of Guardrails 2.0
- Only 6.1% of clients have more than 3 microfinance lenders and 0.1% of clients have loan exposure of >= INR 2 Lakhs as of Jun’25 (at the time of disbursement), reflecting healthy credit discipline
- Marked strategic entry into Mizoram in Jul’25, further strengthening leadership position in the Northeast
- Continued to enhance governance with the induction of two new seasoned independent directors
Capital Adequacy and Liquidity
- Capital base is strong with a capital adequacy ratio of 26.0% as on Jun’25
- Book Value per share at INR 233 on a consolidated basis
- The Company continues to maintain a healthy balance sheet liquidity of ~INR 2,000 Crores and has undrawn sanctions of ~INR 400 Crores as on 30th June 2025
Borrowing Profile
- Total borrowings stood at INR 8,328 Crores as on 30th June 2025
- Debt-to-equity ratio as on 30th June 2025 stood at 2.9x
- 69% of our borrowings are from banks, followed by overseas funds at 17%, NBFCs at 4% and DFIs at 10%
- The mix of funding source stood at 75% and 25% for domestic and foreign respectively
- The Company has a diversified and large lender base of 71 active lenders
Asset Quality
- On-book Gross Non-Performing Assets stood at 3.7% amounting to INR 324 Crores
- On-book provisions amounting to INR 316 Crores as on 30th June 2025, which is 3.6% of on-book portfolio. Provisions required as per RBI is INR 177 Crores.
- Temporary rise in delinquencies is attributed to the cyclical nature of Q1 on account of harvesting, heatwaves and heavy rains, further highlighted due to reduction in AUM resulting from subdued disbursements
- During Q1-FY26, collection against write-offs were INR 8 Crores
Subsidiaries –
Satin Housing Finance Ltd witnessed YoY growth of 25% in AUM, which stood at INR 961 Crores, having presence across 20 states with 9,432 customers
- 100% retail book
- GNPA stood at 3.1%
- 34 active lenders including NHB refinance
- CRAR of 48.3% and gearing of 2.3x
- PAT for Q1-FY26 stood at INR 57 Lacs
- Credit Rating of A- (Stable) from ICRA
Satin Finserv Ltd., the MSME arm, has an AUM of INR 582 Crores
- Focusing on growing MSME book; grew by 56% YoY
- Consciously bringing down JLG BC book
- GNPA stood at 3.9%
- CRAR of 36.8% and gearing of 2.4x
- PAT for Q1-FY26 stood at INR 1.9 Crores
- Credit Rating of A- (Stable) from ICRA
Satin Technologies Ltd., the technology solutions arm
- Offers an advanced Human Resource Management System (HRMS) and Loan Management Platform
- Aims to drive efficiency, scalability, and customer satisfaction through the use of technology, meeting the evolving needs of businesses in the digital age
Satin Growth Alternatives Ltd, the upcoming MSME-focused debt fund
- Women-led fund focusing on gender and ESG
- To be structured as a Category II Alternative Investment Fund (AIF) under SEBI regulations
- This venture aims to provide vital debt capital to viable but underfunded micro, small and medium enterprises (MSMEs) with a strong focus on those based in rural and semi-urban India
Commenting on the performance, Dr. HP Singh, Chairman cum Managing Director of Satin Creditcare Network Limited, said, “We have commenced the financial year with firm steps and on an encouraging note, maintaining consistent momentum and delivering steady performance across all key parameters. The biggest testament is that despite sectoral challenges, we have recorded our 16th consecutive profitable quarter with PAT standing at INR 45 crores on consolidated basis. Our AUM grew by 6.8% YoY to INR 12,499 Crores. We also maintained steady disbursement momentum, with INR 2,242 Crores disbursed on a consolidated basis, up by 6.0% YoY.
Our focus on diversification continues to be a key pillar of our strategy. From microfinance we added affordable housing and MSME lending to our bouquet and then moved beyond financial services to provide offerings in technology. We are addressing a wide spectrum of credit needs for underserved communities, steadily expanding our impact beyond traditional microfinance, and then enriching it further with technology services. We are now looking forward to establishing an AIF debt Fund under Satin Growth Alternatives, aimed at improving access to capital for underserved MSMEs, with a strong focus on women-led enterprises. This marks another important step toward building a more inclusive financial ecosystem.
As an institution with vision, we remain confident in our long-term impact and potential. Looking ahead, we are targeting a reduction in credit costs compared to FY25, where it stood at 4.6%. While staying mindful of the evolving environment, we are committed to strengthening both our financial and non-financial performance through disciplined execution, deeper field engagement, and a continued focus on serving our customers responsibly and sustainably.”