Finkurve targets 50% AUM growth as it rules out FY27 equity dilution
The non-bank lender closed FY26 with a loan book of ₹1,096 crore and plans to reach ₹5,000 crore in AUM by 2029.
— 2 earlier stories on Finkurve Financial Services Ltd. →What's new
- Management reiterated a 40-50% AUM growth target for FY27.
- The company plans to scale its co-lending portfolio to 20% of AUM by March 2027.
- No equity raise is planned for FY27 due to a 31% capital adequacy ratio.
Why this matters
Finkurve is leaning on its existing capital base to fund aggressive expansion rather than diluting shareholders. The shift toward co-lending suggests a strategy to manage risk while scaling the loan book toward the ₹5,000 crore target.
What we're watching
- Whether the company maintains its 11.2% cost-of-funds as it scales.
- Execution of the branch expansion from 105 to 150-160 outlets.
- Performance of the co-lending partnerships including Godrej.
The full read
Finkurve Financial Services is betting on its current capital base to sustain rapid expansion. After growing its loan book 149% to ₹1,096 crore in FY26, management reiterated a 40-50% AUM growth target for the current year. With a capital adequacy ratio of 31%, the company has ruled out any equity dilution for FY27.
It is an aggressive stance.
The strategy involves scaling the co-lending portfolio to 20% of total AUM by March 2027, with partners like Godrej already signed on, while simultaneously expanding the branch network from 105 to 150-160 locations to reach a long-term AUM of ₹5,000 crore by 2029. Maintaining the current 11.2% cost of funds will be the primary test as the company attempts to balance this rapid growth with its existing balance sheet.
Questions answered
- What is the company's current scale and growth rate?
- Finkurve ended FY26 with a loan book of ₹1,096 crore, representing a 149% year-on-year increase.
- Why does management believe it can avoid an equity raise?
- The company maintains a capital adequacy ratio of 31%, which management claims is sufficient to support its growth plans for the current year.
- What is the long-term AUM target?
- Management has set a target to reach an AUM of ₹5,000 crore by 2029.
- How is the company managing its cost of funds?
- The company reports its cost of funds is currently stable at approximately 11.2%.
Story so far
All notes on FINKURVE →- 27 May 2026 · 4:15 PM IST Finkurve targets 50% AUM growth as it rules out FY27 equity dilution
- 6d ago Finkurve sees 40-50% AUM jump in FY27, doubles co-lending goal
- 7d ago Finkurve press release: no new financial information beyond prior disclosure