Piramal Finance on Thursday reported a 67% year-on-year rise in its net profit to Rs 461 crore for the quarter ended June.

The board approved raising of up to ₹4,000 crore, subject to shareholder approval, as the company has aggressive plans to expand its retail loan book.

The non-banking financial company’s assets under management (AUM) rose 25% YoY to Rs 1,06,940 crore in the June quarter, driven by retail AUM, which grew 32% to Rs 91,249 crore and accounted for 85% of the total loan book.

Retail disbursements grew 44% to Rs 12,527 crore, led by customer demand across mortgage and gold loans. Mortgage AUM rose 30% to Rs 61,199 crore, accounting for 67% of retail AUM and 57% of total AUM.

In wholesale lending, the AUM grew 27% to Rs 13,238 crore. Wholesale disbursements rose 13% to Rs 2,604 crore. The average ticket size on outstanding AUM stood at Rs 56 crore.

The NIM increased to 6.5%, up 47 basis points from the year-ago period and remained stable sequentially. Cost of borrowing stood stable at 8% quarter-on-quarter. The cost-to-income ratio narrowed to 552.5% versus 65.6% in Q1FY26.

Net interest income grew 43% to Rs 1,442 crore, while total income rose 37% to Rs 1,693 crore. Pre-provision operating profit jumped 89% to Rs 804 crore.

The asset quality remained stable in comparison to the preceding quarter, with gross non-performing assets (NPAs) at 2.4% and net NPA at 1.6%. In the year-ago period, gross NPA was at 2.8% and net NPA stood at 2%.

“Our performance in the first quarter reflects the strength of the franchise we have built over the past few years. While Piramal Finance is the youngest among upper layer NBFCs, we have already established a diversified retail franchise serving nearly six million customers across Bharat… We believe the agility of a young institution, coupled with meaningful scale, a diversified portfolio and balance sheet strength, creates a distinctive platform for sustained growth and continued profitability expansion,” said Chairman Anand Piramal in a statement.

Piramal Finance now has 780 branches across 607 cities and 26 states. Its customer base widened to six million, up 24% YoY.