Jio Financial Services Q2 FY27 net profit declines 51% as total expenses jump to ₹1,166 crore YoY

Its total income rose 70% to ₹1,699.41 crore in the second quarter of FY27 from ₹1,002.40 crore in the corresponding quarter of the previous fiscal year. Its interest income increased to ₹1,257.68 crore in Q2 FY27 from ₹392.37 crore in the year-ago period.

For the quarter under review, Jio Financials’ total expenses jumped to ₹1,166 crore as compared to ₹436.50 crore in the same quarter of FY26.

The Reliance Group company’s assets under management (AUM) reached ₹37,320 crore, up 154% year-on-year (YoY) in the reporting quarter, while its asset management business’s closing AUM stood at ₹22,746 crore, up 57% YoY.

The company in a statement said that its Payment Solutions business recorded an 8% YoY increase in total payment value (TPV) at ₹14,682 crore, with net processing margins at 14 basis points.

Payments Bank deposits advanced 53% yearly at ₹643 crore, while its current and savings account (CASA) customer base stood at around 40 lakh accounts.

“The performance for the second quarter of fiscal year 2027 reflects the compounding momentum across the entire full-stack financial ecosystem. Growth was driven by disciplined, diversified loan book expansion at Jio Credit Limited, rapid scaling of asset management offerings under the BlackRock JVs, and sustained topline growth in the payments vertical,” Jio Financial Services said.

Segment updates

The segment’s gross AUM grew 154% annually to ₹37,320 crore in Q2 FY27. Quarterly gross disbursements nearly doubled YoY to ₹13,135 crore. Its NII rose 116% YoY to ₹302 crore, while profit after tax (PAT) jumped 140% YoY to ₹120 crore.

In Q2 FY27, Jio Payments Bank’s total income jumped 213% YoY to ₹94 crore, while customer deposits rose 53% to ₹643 crore annually.

The bank’s CASA customer base increased 38% YoY to around 40 lakh accounts, while the average balance per customer rose 14% YoY to ₹1,573.

Jio Payment Solutions’ total payment value (TPV) surged 8% yearly to ₹14,682 crore in Q2 FY27. Gross fee and commission income grew 70% YoY to ₹130 crore, while net fee and commission income increased 74% YoY to ₹21 crore.

The company’s net processing margin expanded to 14 basis points for the quarter under review, compared with 9 basis points in Q2 FY26 and 12 basis points in Q1 FY27.

The fee and commission income of Jio Insurance Broking soared 46% YoY to ₹54 crore in Q2 FY27. The company facilitated insurance premiums worth ₹346 crore during the quarter, with retail premiums accounting for 21% of the total, compared with 17% in Q2 FY26.

Here’s what management said

“Q2 FY27 marked yet another quarter of strong operational growth across our financial services platform. Our strategic playbook is now visibly taking shape with key global partnerships established across our core pillars—lending with Bank of America, investments with BlackRock, and insurance with Allianz Group,” said Hitesh Sethia, Managing Director and CEO, Jio Financial Services.

“As we look ahead, we continue to invest for growth to incubate nascent ventures while deploying support capital for businesses that are actively in their scale-up phase,” said Sethia.

On Thursday, Jio Financial Services shares settled flat at ₹219.01 on the National Stock Exchange. The earnings, however, came after the market hours. As of October 15, the company has a market capitalisation of ₹1.45 lakh crore.