Credit Access Grameen shares rally up to 9% on Friday; here's why

Shares of Credit Access Grameen jumped 9% on Friday after the company reported its Q1FY26 interim business updates. The shares traded at 6.8% higher at ₹1,326 apiece at noon.

Credit Access Grameen reported that the overall asset quality of the bank improved sharply in Q1FY26 across all the states. Portfolio at Risk ( PAR) a key metric to asses the asset quality of the micro-finance institutions like Credit Access Grameen showed sharp improvement sequentially.

The overall PAR for the bank improved from 1.3% in November 2024 to 0.46% in June 2025, showcasing the bank’s efforts in improving the credit quality. State-wise, Karnataka, which remains a major business contributor, was the only exception with a slight deterioration in the asset quality. Other states like Maharashtra, Tamil Nadu, Madhya Pradesh, Bihar and others showed significant improvement in the asset quality.

For instance, Maharashtra’s PAR 0+ and 90 days+ improved from 3.3% and 2.1% in Q4FY25 to 2.7% and 2.1% in Q1FY26. Followed by Tamil Nadu, which saw improvement from 8.1% and 4.5% to 5.8% and 3.4% for the same period. Bihar, which had the highest PAR of 0 days + at 12.2% improved to 8.5% for Q1FY26.

In totality for the overall bank, the portfolio at risk 0+ ratio improved from 6.9% to 5.9%. PAR for 30 days+ improved from 5.5% to 4.9%, PAR 60+ improved from 4.3% to 4.1% and lastly, the PAR 90+ days remained unchanged at 3.3%.

Apart from this, the gross loan portfolio stood at ₹26,055 crore, marginally higher than ₹25,948 crore in the Q4FY25. The company set a new benchmark driven by the highest first-quarter disbursement and strong business momentum. The company added 2 lakh new borrowers in Q1FY26.