OnEMI Technology Solutions Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript OnEMI Technology Solutions Ltd filed with BSE on 04 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
Kissht reported AUM of Rs 8,001 crores for Q1 FY27, up 61% year-on-year and 13% quarter-on-quarter, with profit after tax of Rs 95 crores, up 59% year-on-year. Management said credit cost declined to 6.80% of average AUM from 8.85% a year earlier, attributing this to a strategy of targeting higher-quality customers even as revenue margin fell. The company also reported that capital adequacy in its NBFC subsidiary rose to 40.2% following the May 2026 IPO, and that off-book AUM share increased from 49.7% to 53.6%.
Numbers mentioned
AUM: INR 8,001 crores (Q1 FY27)
p. 3
“AUM stood at INR 8,001 crores, up 61% year-on-year and 13% quarter-on-quarter.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Profit after tax: INR 95 crores (Q1 FY27)
p. 3
“Profit after tax grew to INR 95 crores, higher by 59% year-on-year and 16% quarter-on-quarter.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Registered users: 74.6 million (Q1 FY27)
p. 3
“The registered users grew 33% year-on-year to 74.6 million.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Customers served: 12.25 million (Q1 FY27)
p. 3
“We have now served 12.25 million customers, an increase of 26% year-on-year.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Return on average AUM: 5.05% (Q1 FY27)
p. 3
“Return on average AUM held steady at 5.05%, a reflection not only of growth, but of its quality.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Disbursement: INR 3,812 crores (Q1 FY27)
p. 4
“Disbursement for the quarter were INR 3,812 crores, up 37% year-on-year.”
Ranvir Singh, page 4 of the filed PDF · View the filing
Total income: INR 677 crores (Q1 FY27)
p. 4
“Total income was INR 677 crores, up 45% year-on-year.”
Ranvir Singh, page 4 of the filed PDF · View the filing
Pre-provisioning operating profit: INR 256 crores (Q1 FY27)
p. 5
“Pre-provisioning operating profit was INR 256 crores, which is up 42% year-on-year.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Return on average equity: 21.20% (Q1 FY27)
p. 5
“Return on average AUM was 5.05% and return on average equity at 21.20%.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Credit cost: 6.80% of average AUM (Q1 FY27)
p. 5
“Credit cost was 6.80% of average AUM, down from 7.02% in Q4 FY26 and 8.85% in Q1 FY26.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Stage 2: 3.15% (Q1 FY27)
p. 5
“Stage 2 stood at 3.15%.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Gross NPA: 2.25% (Q1 FY27)
p. 5
“Gross NPA at 2.25%, very range bound.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Net NPA: 0.36% (Q1 FY27)
p. 5
“Net NPA at 0.36% and collection efficiency at 96.82%, which shows our resilience to risk management.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Capital adequacy: 40.2% (Q1 FY27)
p. 5
“Capital adequacy in our NBFC subsidiary rose to 40.2% from 25.3% last quarter.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Net worth: INR 2,245 crores (Q1 FY27)
p. 5
“Net worth grew to INR 2,245 crores, nearly four times its level in March 2023, built on retained earnings, organic profitability, and the IPO completed in May 2026.”
Ranvir Singh, page 5 of the filed PDF · View the filing
LAP AUM share: 7.7% of total AUM (Q1 FY27)
p. 5
“LAP business which we started two years back, the AUM stands at INR 617 crores across 101 branches in eight states, about 7.7% of the total AUM.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Off-book AUM share: 53.6% (Q1 FY27)
p. 5
“Also, a rising share of off-book lending, which has gone up from 49.7% to 53.6%, adds to the reduction in revenue margin.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Opex as proportion of AUM: 18.0% (Q1 FY27)
p. 11
“19.9% cost which was opex as a proportion of AUM has already come down to 18.0% percent.”
Ranvir Singh, page 11 of the filed PDF · View the filing
Organic channel share of sourcing: 31% (Q1 FY27)
p. 15
“Yes, so organic channel contributed to 31% for quarter one.”
Ranvir Singh, page 15 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.
AUM growth — upwards of 40% · next 12 months
stated firmly by Ranvir Singh
p. 7
“Yes, so last quarter we had said our overall growth for the next 12 months will be upwards of 40%.”
Ranvir Singh, page 7 of the filed PDF · View the filing
Credit cost reduction — 15% reduction
stated firmly by Ranvir Singh
p. 5
“We firmly hold to our guidance which we gave last quarter, which is 15% reduction in credit cost, and we are tracking well on that.”
Ranvir Singh, page 5 of the filed PDF · View the filing
Cost of borrowing — 100 basis points · H2 FY27
stated firmly by Krishnan Vishwanathan
p. 12
“So our guidance for FY, particularly H2 of FY27, that you will see the cost of borrowing dropping by 100 basis points and it will only increase as we, as the old debt basically runs off the book, right?”
Krishnan Vishwanathan, page 12 of the filed PDF · View the filing
Return on equity — 20% plus · next few quarters
stated firmly by Ranvir Singh
p. 11
“that is giving the conviction that we'll continue to deliver a healthy ROE, healthy defined as 20% plus in next few quarters.”
Ranvir Singh, page 11 of the filed PDF · View the filing
Cost of funds reduction (three-year view) — upwards of 200 to 300 basis points · three years
stated as an aspiration by Ranvir Singh
p. 16
“our own view would be it can be upwards of 200 to 300 basis point reduction that we will see there, so 2% to 3% reduction that we'll see there.”
Ranvir Singh, page 16 of the filed PDF · View the filing
Return on assets — upwards of 5% · three years
stated as an aspiration by Ranvir Singh
p. 16
“Now what it means is that I can still deliver my ROA of upwards of 5% while reducing my revenue margin by 8% to 9%.”
Ranvir Singh, page 16 of the filed PDF · View the filing
LAP business breakeven — breakeven · Q3 of this year
stated firmly by Ranvir Singh
p. 18
“Till now last year this quarter and around Q3 or so LAP will achieve breakeven.”
Ranvir Singh, page 18 of the filed PDF · View the filing
LAP ROE — 20% plus · next three years
stated as an aspiration by Ranvir Singh
p. 19
“The ROE for this business is also 20% plus for us.”
Ranvir Singh, page 19 of the filed PDF · View the filing
Organic channel share — 40% to 45% or 40% to 50%
stated as an aspiration by Ranvir Singh
p. 15
“Our own assessment is, if we are able to create a high-quality credible brand, the number will stabilize at somewhere between 40% to 45% or 40% to 50%.”
Ranvir Singh, 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.
Management said it remains confident of over-delivering on the 40% guidance given last quarter.
Answered by Ranvir Singh
Asked by Tushar: Will the company surpass its full-year AUM growth guidance given the strong quarterly growth?
p. 7
“So the point I was making on guidance is we remain firmly confident of over-delivering on the number that we had given last quarter of 40%.”
Ranvir Singh, page 7 of the filed PDF · View the filing
Of the 450 paused pin codes, 180 have been reopened and 270 remain paused pending further evaluation.
Answered by Ranvir Singh
Asked by Abhishek Murarka: How many pin codes remain paused versus reopened compared to last quarter's 450?
p. 9
“From that 450, we have now released, started business because now our outlook on the credit is positive going forward, we have released 180 pin codes, which is basically saying we have restarted business on those 180 pin codes.”
Ranvir Singh, page 9 of the filed PDF · View the filing
Personal loan yield including fees is 36-37%, while LAP averages around 21.8%.
Answered by Ranvir Singh
Asked by Abhishek Murarka: What is the current yield on personal loans and LAP products?
p. 11
“On personal loan, the yield is, the rate that we end up charging is around 29% to 30%.”
Ranvir Singh, page 11 of the filed PDF · View the filing
Management outlined three benefits over three years - operating leverage (4-5%), cost of funds reduction (2-3%), and risk reduction (~40% lower) - totaling 8-9% benefit that will offset margin compression while sustaining ROA.
Answered by Ranvir Singh
Asked by Nidhesh Jain: What is the medium-term aspiration for yield as the company shifts toward better quality customers, and how will this be compensated in the DuPont to deliver 5% ROA?
p. 16
“Now if I take a cumulative of all these numbers, we are talking about a benefit of around 8% to 9% over three years.”
Ranvir Singh, page 16 of the filed PDF · View the filing
LAP branches achieve breakeven faster than industry average due to cross-selling to existing personal loan customers, and the business targets 20% plus ROE.
Answered by Ranvir Singh
Asked by Devansh Dhruv: What are the ROA/ROE targets for the LAP business and how long does branch profitability take?
p. 19
“In terms of number of months for branch profitability, what we understand if you take an average branch, it can take 16 to 18 months. In our case, it is taking around 7 to 8 months only because of the availability of those 40% customers that I was talking about.”
Ranvir Singh, page 19 of the filed PDF · View the filing
Management said it would begin disclosing this from next quarter, noting on-balance sheet yield is around 32% with an 18% spread.
Answered by Krishnan Vishwanathan
Asked by Aditya Mundra: Does the company plan to disclose NIM and yield on a product-wise basis?
p. 21
“Yes, so we will consider starting to disclose that from next quarter.”
Krishnan Vishwanathan, page 21 of the filed PDF · View the filing
Risks flagged
Transmission of West Asia geopolitical risk through oil prices, shipping costs and customer confidence
p. 3
“The first is West Asia, where the risk is not geography but transmission through higher oil prices, the cost of shipping, and, over time, the confidence of the customer.”
Ranvir Singh, page 3 of the filed PDF · View the filing
Industry-wide stress building in small ticket loans and multi-lender borrowing
p. 4
“stress is building, concentrated in a few places, particularly in the small ticket loans or instances of borrowers carrying debt across several lenders at once, and households taking new lines only to service old ones.”
Ranvir Singh, page 4 of the filed PDF · View the filing
AI reshaping certain salaried profiles, affecting income durability
p. 4
“We are also watching the early signs that AI is reshaping certain salaried profiles.”
Ranvir Singh, page 4 of the filed PDF · View the filing
Salaried customers potentially losing employment without recent EPFO credit
p. 16
“This customer may as well be that they were salaried for a long period but they have just lost their -- maybe lost their employment.”
Ranvir Singh, page 16 of the filed PDF · View the filing
Volatility in banking credit among self-employed borrowers
p. 17
“The other profile that we have shown caution is particularly self-employed businesses, small segment again, who have actually seen more volatility in the in the credit, banking credit, may not be an indicator of income, but banking credit over a period of last six months particularly.”
Ranvir Singh, page 17 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.