| Revenue growth | PAT grew 5% YoY for 9M FY26; disbursements moderated significantly. |
|---|---|
| Margins | NIMs compressed 50bps YoY due to lower yields and opex. |
| Demand visibility | Slowing; company is intentionally curbing demand to manage asset quality. |
| Management confidence | Cautious; focusing on 'fixing problems' before accelerating business growth. |
Growth
PAT grew 5% YoY to ₹830cr for 9M FY26; disbursements fell 18% QoQ as management prioritized collection efficiency.
Outlook
Targets recovery in Q4 FY26; expects cost of funds to drop 10-15bps over next 6 months.
Risks
Persistent behavioral stress in microfinance-linked borrowers leads to elevated Stage 3 assets and potential margin compression.
Last quarter's promises, checked
Delivered
- Guided Q4 recovery → 98.1% unique customer collection efficiency (= BEAT)
- Guided lower cost of funds → dropped from 9.12% to 8.95% QoQ (= BEAT)
- Guided ADB debt closure → raised $100M from ADB (= BEAT)
Partly delivered
- Branch expansion → opened 90 vs 96 previous year (= PARTIAL)
Missed
- Prior guidance of 25% growth → delivered 11% AUM growth (= MISS)
- Credit cost target 0.8-1% → delivered 1.88% (= MISS)
Earnings Call filed with NSE, NSE: FIVESTAR. Summary written with AI assistance from the document.
Five-Star Business Finance Ltd: key numbers
- Share price
- ₹509.00
- Market cap
- ₹15,025 Cr
- Revenue (annual)
- ₹3,218 Cr
- Net profit (annual)
- ₹1,099 Cr
- P/E (TTM)
- 13.6×Sector 21.9×
- Promoter holding
- 18.61%+0.00% QoQ
- FII holding
- 43.97%Current quarter
Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.
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- Value
- ₹5,000 Cr
Five-Star Business Finance Annual General Meeting
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