India Shelter Finance Corporation Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript India Shelter Finance Corporation Ltd filed with BSE on 14 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
India Shelter Finance reported gross AUM growth of 24% year-on-year to Rs 11,284 crores, with reported disbursements affected by a one-time accounting change from check handover to check realization recognition. PAT for Q1FY27 grew 23% year-on-year to Rs 143 crores, with ROE at 17.5%, while Stage 3 assets rose to 1.5% during the quarter. Management reiterated FY27 guidance on branch additions, spreads, credit cost, and loan growth, and stated it expects asset quality to stabilize in Q2FY27 with recovery starting from Q3FY27.
Numbers mentioned
Reported disbursement: INR 641 crores (Q1FY27)
p. 4
“Reported disbursement for the quarter stood at INR 641 crores.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Bank clearance: around INR 1,040 crores (Q1FY27)
p. 4
“Bank clearance was around INR 1,040 crores, which is at par with quarter 4 financial year '26 and almost 37% higher than Q1FY26.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Gross AUM: INR 11,284 crores (Q1FY27)
p. 4
“Against this backdrop, gross AUM grew 24% year-on-year to INR 11,284 crores.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Stage 3 assets: 1.5% (Q1FY27)
p. 4
“On the asset quality front, we witnessed an increase in Stage 3 assets to 1.5% and early delinquency buckets during the quarter.”
Rupinder Singh, page 4 of the filed PDF · View the filing
PAT: INR 143 crores (Q1FY27)
p. 4
“PAT for the quarter came in at INR 143 crores, registering a growth of 23% year-on-year and 4% quarter-on-quarter.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Return on equity: 17.5% (Q1FY27)
p. 4
“Return on equity for the quarter stood at 17.5%.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Net worth: INR 3,353 crores (Q1FY27)
p. 4
“Net worth now stands at INR 3,353 crores.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Disbursed funds: INR 1,046 crores (Q1FY27)
p. 5
“During the quarter, we have disbursed INR 1,046 crores of funds to customer account, which is higher by 3% as compared to quarter 4 of last financial year.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Portfolio yield: 14.8% (Q1FY27)
p. 5
“Our portfolio yield is 14.8%, stable quarter-on-quarter basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Disbursement yield: 14.9% (Q1FY27)
p. 5
“Our quarter 1 disbursement yield was at 14.9%.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Finance cost: 8.2% (Q1FY27)
p. 5
“Finance cost is stable at 8.2% on quarter-on-quarter basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Marginal cost of funds: 7.9% (Q1FY27)
p. 5
“Our marginal cost of fund is also stable at 7.9% quarter-on-quarter basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Share of NHB funding: 15% (Q1FY27)
p. 5
“Share of NHB funding is at 15%, up by 230 basis points year-on-year basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Liquidity: more than INR 800 crores (Q1FY27)
p. 5
“On liquidity side, we are comfortably placed with liquidity of more than INR 800 crores and undrawn sanction of more than INR 1,500 crores.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Net interest income growth: 30% (Q1FY27)
p. 5
“Net interest income for the quarter is up by 30% on the back of growth in our AUM and 20 bps improvement in our spread year-on-year basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Cost to income: 36% (Q1FY27)
p. 5
“Cost to income is for the quarter 36%.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Credit cost: 0.5% (Q1FY27)
p. 5
“Our credit cost is stable at 0.5% year-on- year basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
PCR for Stage 3: 26% (Q1FY27)
p. 5
“PCR for Stage 3 asset is stable at 26%.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Total ECL: INR 93 crores (Q1FY27)
p. 5
“Our total ECL is INR 93 crores against the regulatory threshold of INR 52 crores.”
Ashish Gupta, page 5 of the filed PDF · View the filing
BT-out rate: about 4% (Q1FY27)
p. 5
“BT-out rate for the quarter is down to about 4%, down by 50 bps year-on-year basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
ROE: 17.5% (Q1FY27)
p. 5
“ROE for the quarter is 17.5%, up by 30 bps year-on-year basis.”
Ashish Gupta, page 5 of the filed PDF · View the filing
July disbursement: around Rs. 400 Crs (July 2026)
p. 6
“July we have done around Rs. 400 Crs of disbursement in fact under the cheque realization methodology.”
Rupinder Singh, page 6 of the filed PDF · View the filing
Home loan share of AUM: close to 57% (Q1FY27)
p. 20
“So our home loan ratio is about -- as a percentage of AUM is close to 57% and it is stable year-on-year basis.”
Ashish Gupta, page 20 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Branch additions — 40-45 branches · FY27
stated firmly by Rupinder Singh
p. 4
“Branch addition of around 40-45 for the year”
Rupinder Singh, page 4 of the filed PDF · View the filing
Spreads — more than 6% · medium term
stated firmly by Rupinder Singh
p. 4
“Maintain spreads of more than 6% in the medium term”
Rupinder Singh, page 4 of the filed PDF · View the filing
Credit cost — 40-50bps · FY27
stated firmly by Rupinder Singh
p. 4
“Credit Cost of around 40-50bps”
Rupinder Singh, page 4 of the filed PDF · View the filing
Loan/AUM growth — 25-30% · FY27
stated firmly by Rupinder Singh
p. 4
“Loan growth of around 25-30%”
Rupinder Singh, page 4 of the filed PDF · View the filing
Asset quality (Stage 3) — Q2FY27
stated conditionally by Rupinder Singh
p. 4
“We expect Asset Quality to stabilize around similar levels at the end of Q2FY27 and expect recovery from Q3FY27 onwards.”
Rupinder Singh, page 4 of the filed PDF · View the filing
AUM growth — 25% to 30% · FY27
stated firmly by Ashish Gupta
p. 5
“we are confident of catching up the growth in remaining 9 months and retaining our AUM growth guidance at 25% to 30% this year.”
Ashish Gupta, page 5 of the filed PDF · View the filing
Disbursement growth — cross 20% mark · FY27
stated conditionally by Rupinder Singh
p. 6
“And if we continue to maintain this trend, which we are quite confident about, I think we should be in position to cross 20% mark in disbursement growth.”
Rupinder Singh, page 6 of the filed PDF · View the filing
Stage 3 / GNPA — Q2FY27
stated conditionally by Rupinder Singh
p. 13
“So quarter 2 numbers of the GNPA should remain around the same level which we are working on. Quarter 3 you'll start finding the reduction around that side.”
Rupinder Singh, page 13 of the filed PDF · View the filing
Credit cost — 50 bps · Q2FY27
stated firmly by Rupinder Singh
p. 18
“For the year, it is to be 40, 50 bps. For this quarter, we are trying for 50 bps only and should be 50 bps.”
Rupinder Singh, page 18 of the filed PDF · View the filing
Cost of funds impact — limited to 10 basis point · H2FY27
stated conditionally by Ashish Gupta
p. 19
“But we expect that the overall impact on the cost of fund will remain limited to 10 basis point.”
Ashish Gupta, page 19 of the filed PDF · View the filing
Variable rate book share — 15% to 20% · medium term
stated as an aspiration by Ashish Gupta
p. 15
“We feel that on a medium term basis even if the reset will come from semi-variable to variable book. So overall variable rate book will not - - will remain in the range of 15% to 20% only.”
Ashish Gupta, page 15 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Yes, the effect is limited to this quarter and will be absorbed as the year progresses.
Answered by Rupinder Singh
Asked by Kunal Shah: Is 20%+ disbursement growth still expected despite the check realization change?
p. 7
“Yes, yes, because check realization is just for this quarter, but not beyond that. And easily it will get absorbed as we pass on the year.”
Rupinder Singh, page 7 of the filed PDF · View the filing
Management attributed stress mainly to the smaller ticket-size, self-employed customer cohort experiencing seasonal effects.
Answered by Rupinder Singh
Asked by Umang Shah: What is driving the rising Stage 2/Stage 3 trend over recent years?
p. 9
“So let me take a ticket size of up to 7 lakhs, there definitely the number has been very different from what it used to be 3 years back, so earlier stage 3 used to be around 1.4% or 1,45%, which is above 2% today on this specialty cohort.”
Rupinder Singh, page 9 of the filed PDF · View the filing
Management said it remains confident of maintaining the 50bps credit cost given low LGD and management overlay.
Answered by Rupinder Singh
Asked by Umang Shah: Can the company hold credit cost at 50 basis points given rising Stage 2/3 numbers?
p. 10
“I think we are confident of maintaining this 50bps of credit cost, number one.”
Rupinder Singh, page 10 of the filed PDF · View the filing
The difference was due to inclusion of a co-lending book previously excluded from reported AUM.
Answered by Ashish Gupta
Asked by Akhil Gulecha: Why is the AUM number for Q1FY26 different between presentations?
p. 11
“So that was the gap between the gross aum and the net aum. So, what we do is that so we have a book of about INR 450-odd crores in terms of co-lending that we've done in last 3 years.”
Ashish Gupta, page 11 of the filed PDF · View the filing
Management said this year's pattern differs because the increase came earlier in Q1 rather than Q3.
Answered by Rupinder Singh
Asked by Nilesh: Will Stage 3 rise further in Q2 as seen in prior years?
p. 18
“Because we did it last year, last year it remained constant for Q1, Q2. Right? And Q3 it has taken a spurt. This time the spurt has come in Q1 and Q2 is going to remain muted like Q1 and then Q3 start getting results.”
Rupinder Singh, page 18 of the filed PDF · View the filing
Management said tightness in the macro environment is raising bank borrowing costs, which they are partially passing on to incremental disbursement yields.
Answered by Ashish Gupta
Asked by Shreepal Doshi: What explains rising incremental yield despite stable incremental cost of funds?
p. 19
“Bankers are asking 20, 25 basis point higher cost of fund. Discussions are stretching longer.”
Ashish Gupta, page 19 of the filed PDF · View the filing
Risks flagged
Increase in Stage 3 assets and early delinquency buckets during the quarter
p. 4
“On the asset quality front, we witnessed an increase in Stage 3 assets to 1.5% and early delinquency buckets during the quarter.”
Rupinder Singh, page 4 of the filed PDF · View the filing
Stress in the smaller ticket-size, self-employed customer cohort
p. 13
“Self-employed is again a set of customers which were having some stress around that piece from last 1.5 years basically.”
Rupinder Singh, page 13 of the filed PDF · View the filing
Potential tightening in cost of funds due to macro environment in H2
p. 19
“That may come in the H2 because of ongoing tightness in the macros.”
Ashish Gupta, page 19 of the filed PDF · View the filing
GNPA resolution delay due to SARFAESI process timelines
p. 13
“But GNPA takes almost a quarter or 2 quarters to start giving the results because of SARFAESI process.”
Rupinder Singh, page 13 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.