# IndoStar Capital Q2 FY27 net profit climbs 25.7% as net interest margin widens to 8.9%

> IndoStar Capital posted ₹13.1 crore net profit for Q2 FY27, up 25.7%, as net interest income rose 27% and disbursements grew 51% to ₹1,399 crore.

- Published: 2026-10-29T17:06:39+00:00
- Section: Earnings & Results
- Author: News Desk
- URL: https://newsforagent.com/news/2026-10-29/indostar-capital-q2-profit-margin
- Source: [ScanX](https://scanx.trade/stock-market-news/companies/indostar-q2-results-net-profit-up-25-7-yoy-132-million/54821789)

## Key takeaways

- IndoStar Capital reported Q2 FY27 consolidated net profit of ₹13.1 crore, up 25.7% from ₹10.5 crore a year earlier.
- Net interest income rose 27% to ₹242.3 crore and the net interest margin expanded to 8.9% from 7.6%.
- Disbursements grew 51% to ₹1,399 crore and assets under management reached ₹8,459 crore as of September 30, 2026.
- The board appointed Reshma Ramchandani as company secretary and compliance officer effective October 30, 2026.

IndoStar Capital Finance reported a consolidated net profit of ₹13.1 crore for the second quarter of FY27, up 25.7% from ₹10.5 crore a year earlier, according to [ScanX](https://scanx.trade/stock-market-news/companies/indostar-q2-results-net-profit-up-25-7-yoy-132-million/54821789). The board approved the results at a meeting on October 29, 2026. IndoStar is a retail-focused middle-layered non-banking financial company.

## IndoStar's Margin and Disbursement Growth

Net interest income rose 27% to ₹242.3 crore from ₹190.1 crore in Q2FY26. The net interest margin expanded to 8.9% from 7.6%, a gain of 130 basis points. Pre-provision operating profit climbed 58% to ₹109.2 crore from ₹69.1 crore.

Disbursements increased 51% to ₹1,399 crore. Assets under management reached ₹8,459 crore as of September 30, 2026, up 12% from ₹7,564 crore a year earlier. The weighted average cost of funds declined to 9.7% from 10.4%, and the incremental cost of funds stood at 9.1%.

Gross Stage 3 assets were 4.5% and Net Stage 3 assets were 2.4%. Vehicle Finance expanded 3% quarter on quarter, while Micro Loans Against Property grew 29% quarter on quarter. The branch network reached 475 locations across 24 states and union territories, adding 7 branches in the quarter.

The board appointed Reshma Ramchandani as company secretary and compliance officer effective October 30, 2026. She succeeds Shikha Jain, who resigned for personal reasons effective the close of business on October 29, 2026. S.R. Batliboi & Co. LLP issued an unmodified review report on the standalone and consolidated unaudited results for the quarter and half year ended September 30, 2026.

## IndoStar's Path to the Q2 Results

IndoStar's 17th AGM on September 25, 2026 adopted the audited standalone and consolidated financial statements for FY26 and approved the issuance of non-convertible debentures via private placement, ScanX reported. On July 30, 2026, the board approved a ₹6,000 crore non-convertible debenture issuance via private placement.

For Q1 FY2027, IndoStar reported assets under management of ₹8,244 crore, up 6% year on year, and disbursements of ₹1,235 crore, up 44%, Yahoo reported.

## Reshma Ramchandani's Start Date

Reshma Ramchandani takes over as company secretary and compliance officer on October 30, 2026, the day after Shikha Jain's resignation takes effect at the close of business on October 29, 2026.

## Companies in this story

- IndoStar Capital · website: http://www.indostarcapital.com

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