AUM
3,936 Cr
+75% YoY
All-time high AUM, driven by supply chain and factoring growth.
SGFINSERVE
Diversified
30 Apr 2026
Sg Finserve Ltd — Q4 FY26
SG Finserve delivered an exceptional Q4 FY26, with operating income of 334 crores (up 96% YoY) and PAT of 128 crores (up 58% YoY).
Financial stats pending filing verification
2-Minute Summary
✦ AI-Generated from Full Transcript
SG Finserve delivered an exceptional Q4 FY26, with operating income of 334 crores (up 96% YoY) and PAT of 128 crores (up 58% YoY). AUM reached an all-time high of 3,936 crores, growing 75% YoY, driven by supply chain financing and the new factoring business. Gross disbursements crossed 25,000 crores for the year, reflecting strong digital capabilities. Management guided for 25-30% AUM CAGR over the medium term, with FY27 growth aspiration of 35-40%. ROA is expected to remain in the 4.5-5% range. The company maintains a nil NPA track record, supported by short-tenor invoice-backed lending and anchor-dealer tripartite agreements. Key risk: potential stress from macroeconomic slowdown or sector-specific disruptions, though management remains vigilant.
Key Numbers
Gross Disbursements (FY26)
25,000 Cr
N/A
Crossed benchmark, showcasing digital invoice financing capability.
Average Loan Tenor
45 days
N/A
Short cycle ensures quick churn and low credit risk.
Fee Income (Q4)
6.23 Cr
+315% QoQ
Sharp increase due to focused fee generation strategy; expected to sustain.
Management Guidance
AUM growth 25-30% CAGR medium-term, 35-40% for FY27
Management expects AUM to grow 25-30% CAGR over medium to long term, with FY27 aspiration of 35-40% growth.
Management guidance growthROA range of 4.5-5%
Return on assets expected to remain between 4.5% and 5%.
Management guidance marginsROE range of 14-16%
Return on equity guided at 14-16%.
Management guidance marginsCost-to-income ratio 13-17%
Cost-to-income ratio expected to be in the 13-17% range.
Management guidance marginsKey Risks
Macroeconomic slowdown impact on borrowers
Potential stress from events like tariff wars or sector slowdowns could affect dealer repayment capacity.
medium · analyst_questionConcentration in construction and auto sectors
Top sectors (construction ~35%, auto) could face cyclical downturns, impacting AUM quality.
medium · data_observationRegulatory constraints on provisioning buffers
Management cannot create additional provisions beyond ECL norms, limiting cushion against unexpected losses.
low · management_commentaryNotable Quotes
Our core business is supply chain business. More than 3/4 of our business is supply chain in terms. So that adds to our advantage.
We don't want to lose even one rupee in the market. So I don't want to give any message that I'm okay tolerable to lose some money.
Under committing over delivering is something which suits best to our philosophy.
Frequently Asked Questions
What was Sg Finserve's revenue in Q4 FY26?
Sg Finserve reported revenue of ₹334 Cr in Q4 FY26, representing a +96% change compared to the same quarter last year.
What guidance did Sg Finserve management give for FY27?
AUM growth 25-30% CAGR medium-term, 35-40% for FY27: Management expects AUM to grow 25-30% CAGR over medium to long term, with FY27 aspiration of 35-40% growth. ROA range of 4.5-5%: Return on assets expected to remain between 4.5% and 5%. ROE range of 14-16%: Return on equity guided at 14-16%. Cost-to-income ratio 13-17%: Cost-to-income ratio expected to be in the 13-17% range.
What are the key risks for Sg Finserve in FY27?
Key risks include Macroeconomic slowdown impact on borrowers — Potential stress from events like tariff wars or sector slowdowns could affect dealer repayment capacity.; Concentration in construction and auto sectors — Top sectors (construction ~35%, auto) could face cyclical downturns, impacting AUM quality.; Regulatory constraints on provisioning buffers — Management cannot create additional provisions beyond ECL norms, limiting cushion against unexpected losses..
Did Sg Finserve meet its previous quarter's guidance?
Scorecard data is being built as historical quarters are processed.
Where can I read the full Sg Finserve Q4 FY26 concall transcript?
The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary with filing verification status shown on the financial stats.