Poonawalla Fincorp shares jump 8% on healthy Q2 PAT growth, asset quality improvement; what investors should know

Poonawalla Fincorp share price rallied more than 8% after the opening bell on Monday, October 12, after the non-banking financial company reported healthy Q2 earnings performance for FY27 and overall asset quality improvement in the period.

Exchange filings showed that NBFC firm Poonawalla Fincorp posted a nearly 22% sequential growth in the net profit after tax to ₹374.85 crore due to the strong surge in interest income in the second quarter of the financial year 2026-27.

On a year-on-year basis, the net profit after tax witnessed a fourfold rise to its September quarter levels, when compared to ₹74 crore in the same period a year earlier, as per the NSE filings.

NSE data showed that Poonawalla Fincorp shares surged 8.2% to hit an intraday high of ₹484 apiece on Monday’s market, in comparison to ₹447.30 apiece at the previous equity market close.

Trading activity surpassed 1.73 crore equity shares on the National Stock Exchange, marking over 15 times growth in trading volumes when compared to the one-week average activity of 11,21,694 equity shares.

The exchange data further showed that the high-volume gains on Monday marked a 17 times improvement in trading activity in comparison to the two-week average of 10,19,105 equity shares.

After touching the day’s high, Poonawalla Fincorp share price retracted its gains but was trading 3.3% higher at around ₹462 apiece during the trading session on October 12.

Poonawalla Fincorp Q2 show

NSE filings showed that Poonawalla Fincorp’s standalone net profits increased nearly 22% quarter-on-quarter to ₹374.85 crore in the Q2 results for FY27, in comparison to ₹307.71 crore in the same period a year earlier.

The company’s overall revenues from core operations increased 10% sequentially to ₹2,124 crore in the September quarter, compared with ₹1,926 crore in the previous quarter of the fiscal year.

On a year-on-year basis, the overall revenue from core operations surged 70% to its September quarter levels from a year earlier.

On the interest income front, Poonawalla Fincorp’s net interest income (NII) surged 14% QoQ to ₹2,416 crore, when compared to ₹2,118 crore in the same period a year earlier.

The data further showed that the company’s asset quality improved, with gross non-performing assets at 1.2% in Q2 FY27, in comparison to 1.37% in the first quarter of FY27.

Poonawalla Fincorp’s earnings before interest, tax, depreciation and amortisation (EBITDA) improved 27% QoQ to ₹1,571 crore, compared to ₹1,145 crore in the previous quarter. The NBFC firm’s margins advanced 581 basis points to 59.85% in the period under review.

“Accelerated by our rapidly maturing proprietary AI layer, these foundational, cross-vector gains reinforce the compounding power and long-term sustainability of our franchise,” said Arvind Kapil, Managing Director and CEO of Poonawalla Fincorp.

Did earnings beat estimates?

Poonawalla Fincorp Q2 earnings surpassed estimates as analysts from global investment firm UBS said that the NBFC company’s strong AUM growth of 10% was ahead of the estimates, with stronger momentum in the new business segments.

“Newer segments including Prime Personal Loans, Gold and Education drove stronger growth momentum,” said UBS analysts after reviewing the company’s earnings release.

The experts also said that the company’s increase in yield on loans resulted in the driving the overall net interest income (NII), while the non-interest income was weaker than expected.

“Asset quality continued to show improvement as credit cost declined more than 20 bps QoQ. RoA, as a result, improved to 2.1% from 1.9% in Q1, up 19 bps QoQ,” the analysts said.

Poonawalla Fincorp share performance

Shares of Poonawalla Fincorp have delivered healthy returns in the long term, rising 181% in the last five years and more than 23% in the last three years, according to NSE data. However, the stock has lost 12.5% of its value in the past one-year period.

On a year-to-date (YTD) basis, the NBFC firm’s stock was down 4.2% in 2026, but was trading nearly 4% higher in the past one-month period. The exchange data also showed that the stock has risen 2.4% in the last five market sessions.

The company’s market capitalisation (M-cap) was at ₹40,666 crore as of the trading session on Monday, October 12, 2026.