IIFL Finance Ltd

IIFL Finance Limited reported strong financial results for Q2 FY27, with consolidated profit after tax reaching INR805 crores, a 13% increase quarter-on-quarter and 93% year-on-year. AUM grew to INR1.24 lakh crores, up 38% YoY and 8% QoQ. The company emphasized secured lending, with 90% of AUM secured, and improved asset quality, with gross NPA at 1.5%. Capital adequacy stood at 23.5%, and liquidity was INR13,805 crores. Strategic initiatives included AI integration, branch-led distribution, and co-lending partnerships with 18 banks. Gold loans accounted for 53% of the portfolio, while home loans and MSME loans contributed significantly. The company raised INR800 million through international bonds and discussed plans for equity fundraising, with dilution expected between 10-20%. Management highlighted challenges like potential impacts from IRDAI's insurance commission changes and yield compression in home loans, but expressed confidence in maintaining growth momentum and improving operating efficiency. The discussion concluded with management thanking participants and inviting further questions.

The summary reflects management's emphasis on strong financial performance, growth in AUM, improved asset quality, and strategic initiatives, indicating a positive outlook.