Indostar Capital Finance Ltd

IndoStar Capital Finance Limited: Trading Window closed from October 1, 2026 until expiry of 48 hours after the declaration of unaudited financial results for the half year ending September 30, 2026

AGM Details

• Date and mode: 25 Sep 2026; 17th AGM; via video conferencing.
• Remote e-Voting window: 21 Sep 2026 09:00 IST to 24 Sep 2026 17:00 IST.
• Record date for voting: 18 Sep 2026.

Key Resolutions

• To receive, consider and adopt standalone financial statements for year ended March 31, 2026.
• To receive, consider and adopt consolidated financial statements for year ended March 31, 2026.
• Appointment of director re-appointment: retiring by rotation.
• Appoint and fix remuneration of statutory auditors.
• Special resolution: issue of non-convertible debentures under private placement.

Voting Results

• Resolution 1 passed with near-unanimous support.
• Resolution 2 passed with overwhelming in-favour vote.
• Director re-appointment approved.
• Auditor remuneration approved.
• Private placement debenture issue approved.

Auditor Change

• Shareholders approved appointment of S.R. Batliboi & Co. LLP as Statutory Auditors for three years
• M S K A & Associates LLP ceased to hold office as Statutory Auditors after the 17th AGM

AGM Details

• AGM held 25 Sep 2026 at 11:00 IST via VC/OAVM; concluded 11:52 IST.

Key Resolutions

• Ordinary: Adopt standalone financial statements for year ended March 31, 2026.
• Ordinary: Adopt consolidated financial statements for year ended March 31, 2026.
• Ordinary: Re-appoint Director Aditya Hemant Joshi (retiring by rotation).
• Special: Appoint and fix remuneration of Statutory Auditors.
• Special: Issue of Non-Convertible Debentures under Private Placement.

Voting Results

• Voting results to be declared after Scrutinizer’s Report.

Director Changes

• Director Aditya Hemant Joshi retires by rotation and seeks re-appointment.

Auditor Appointments

• Statutory Auditors appointment and remuneration to be fixed.

Capital / Securities

• Allotted 14,703 equity shares of INR 10 each under IndoStar ESOP Plan 2018.
• Paid-up capital increased to INR 1,61,67,01,070 comprising 16,16,70,107 shares.
• MD & Executive Vice Chairman approved allotment per May 11, 2025 board resolution.

AGM & annual report access

• 17th AGM scheduled for Sept 25, 2026 at 11:00 IST via VC/OAVM.
• Annual Report FY2025-26 accessible via web-link, path, and QR code.
• Letters dispatched to shareholders and debenture holders without registered emails.

Email address updates

• Demat holders must update emails with their Depository Participant.
• Physical holders should register emails via investor.relations@indostarcapital.com with Form ISR-1.

Financial Performance

• AUM ₹8,244 crore, up 2% sequential, up 6% YoY
• Disbursements for the quarter ₹1,235 crore, up 44% YoY
• Disbursement yield 17.6% in Q1 FY27
• Vehicle finance disbursements ₹1,185 crore, up 43% YoY
• Vehicle finance AUM ₹7,724 crore
• Micro LAP disbursements ₹50 crore; AUM ₹217 crore
• Micro LAP yield 21.4%; AUM up 24% sequential
• PAT ₹11 crore; PPOP ₹92.9 crore
• Net interest income ₹219 crore; loan yield 16.5%
• Cost of funds 9.11% in quarter
• Total debt outstanding ₹5,681 crore
• Capital adequacy ratio 34.8%
• Gross Stage 3 4.84%; Net Stage 3 2.48%
• Security receipts net carrying value ₹578 crore; collections ₹11 crore
• Branch network 468 branches; 24 states; cross 500 this year
• Front-end sales headcount up 30%; target 50% higher by Mar-27
• MLAP launch in UP and Bihar in Aug-Sep 2026
• FY29 guidance: 35% CAGR disbursements; PAT ₹450-₹500 crore

Portfolio Quality & Mix

• Disbursement mix: passenger vehicles 30%; construction equipment 11%
• New-to-credit exposure 4% in Q1 FY27 (vs 13% FY24)
• CIBIL >725 share 84% in Q1 FY27 (63% FY24; 79% FY26)
• Old-book NPAs ~80% as of June 2026; fresh NPA largely from old book
• Old-book share of NPA running off; NPA cost expected to decline over 2–3 quarters
• AUM post-2025 tightening: old book 68% of book as of June 2026; aim 85% by Q4 FY27
• Micro LAP: 99.7% current; 90+ DPD 0.17%; LTV <40%; yields >20%
• MLAP GNPA 0.17%

Liquidity and Balance Sheet

• Liquidity ₹586 crore; excess liquidity ₹529 crore
• Debt ₹5,681 crore; cost of funds to trend down as high-cost debt reduces
• Provision coverage 50%; Gross Stage 3 4.84%; Net Stage 3 2.48%
• Capital adequacy 34.8%; positive ALM across buckets
• Security receipts net value ₹578 crore; quarterly collections ₹11 crore

Growth Initiatives & Capex

• 14 new branches added in quarter; network 468 branches across 24 states
• Target cross 500 branches this year
• Front-end sales headcount up 30%; aim 50% higher by Mar-27
• Expanding Micro LAP to new states; UP and Bihar launches planned
• Diversifying product portfolio; scale Micro LAP; focus on prime borrowers
• Investing in digital tools, underwriting scorecards, and branch expansion

Outlook and Guidance

• FY29 guidance: 35% CAGR disbursements; PAT target ₹450–₹500 crore
• July disbursement trend supports 35% YoY growth in Q2
• Cost of borrowing to converge downward; old high-cost borrowings maturing by March
• Old book runoff to reduce GNPA and credit cost over 2–3 quarters

Q&A Highlights

• Mixture target: Micro LAP 15–20% of AUM in 3–5 years
• Micro LAP growth driven by field-force expansion and faster loan journeys
• Ticket size for Micro LAP rising toward ₹8.2 lakhs; yield >20%
• Disbursement growth outlook: ~35% CAGR; July trend positive
• Overall yields stable around 17%+; P&L yield ~16.5% due to denominator effects
• Regional stress pockets: Bihar, Jharkhand, Maharashtra, Rajasthan; ongoing region-specific tightening