Sundaram Finance’s standalone net profit for the third quarter rose 15% year-on-year to ₹402.87 crore, aided by higher loan disbursements following the GST rate cut-led demand in the previous quarter.
Revenue from operations grew 16% to ₹1,911 crore during the quarter. Disbursements in Q3FY26 rose 14% to ₹8,847 crore, compared with ₹7,764 crore in Q3FY25.
Harsha Viji, Executive Vice Chairman, said that while private sector capital expenditure continued to remain muted, consumption activity picked up across sectors, aided by the GST rate reduction and the sentimental festival season demand. Assets under management rose 16% year-on-year to ₹58,236 crore as of December 2025.
Asset quality showed some pressure
Asset quality showed some pressure, with gross Stage 3 assets rising to 1.91% from 1.71% a year earlier, while net Stage 3 assets increased to 1.06% from 0.97%. Gross and net NPAs, as per RBI’s asset classification norms for NBFCs, stood at 2.69% and 1.73%, respectively, compared with 2.46% and 1.62% as of December 2024.
On a consolidated basis, net profit rose 16% to ₹521.98 crore in Q3FY26, supported by a 15% increase in revenue from operations to ₹2,514 crore. The consolidated numbers include the performance of subsidiaries Sundaram Home Finance, Sundaram Asset Management, and joint venture Royal Sundaram General Insurance.
Consolidated AUM
Consolidated AUM across the lending and general insurance businesses stood at ₹87,302 crore as of December 2025, while AUM of the asset management business rose to ₹86,195 crore from ₹76,038 crore a year earlier.
The company declared an interim dividend of ₹16 per share. Separately, it said its board has approved a revision in the limit for raising funds through non-convertible debentures to ₹16,000 crore from ₹13,000 crore for FY26.
Shares of Sundaram Finance closed 9% higher at ₹5,399.50 on the NSE.