Listen to this article in summarized format
The Tata Group-backed NBFC posted a consolidated net profit of Rs 1,547 crore for the April-June quarter, registering a 56% year-on-year (YoY) increase from Rs 990 crore reported in the corresponding quarter of the previous financial year.
Revenue from operations also remained healthy, rising 15% YoY to Rs 8,822 crore, compared with Rs 7,665 crore in Q1 FY26, reflecting sustained business momentum.
Tata Capital's assets under management (AUM) expanded 22% YoY to Rs 2.91 lakh crore, while excluding the motor finance business, AUM recorded an even stronger 28% YoY growth.
Lending business remains the key growth driver
The company's net loan book grew 23% YoY to Rs 2.29 lakh crore, supported by healthy credit demand. Net interest income (NII) increased 25% YoY to Rs 2,866 crore, underscoring strong core lending performance.
Meanwhile, the cost-to-income ratio improved marginally to 36.4% from 36.8% in the year-ago quarter, indicating continued operational efficiency.
Alongside its quarterly results, Tata Capital announced its entry into the fast-growing gold loan business through the acquisition of Yogloans, an RBI-registered non-banking financial company focused on gold-backed lending.
Tata Capital enters the gold loan segment
Following the earnings announcement, Tata Capital shares traded around Rs 368, taking the company's market capitalisation to approximately Rs 1.51 lakh crore. The stock is trading close to its 52-week high of Rs 379.95, reflecting sustained investor optimism.
Share Price, Valuation, and Technical Indicators
From a valuation perspective, the stock trades at a price-to-earnings (P/E) ratio of 30.71, a price-to-sales (P/S) ratio of 4.08, and a price-to-book (P/B) ratio of 3.16.
On the technical front, the stock's 14-day Relative Strength Index (RSI) stands at 55.5, suggesting neutral momentum, with RSI readings below 30 considered oversold and above 70 viewed as overbought. Additionally, Tata Capital is trading above all seven of its key simple moving averages (SMAs), indicating a strong bullish trend.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times.)
(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)
Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today.
Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price
(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)
Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today.
Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price