SI Capital net profit nearly doubles as loan quality improves
The nano-cap lender reported a net profit of ₹33.4 lakhs for FY26, supported by a 45% revenue increase and a sharp rise in provision coverage.
What's new
- Net profit climbed to ₹33.4 lakhs from ₹17.2 lakhs in the prior year.
- Revenue from operations grew 45% to ₹371.2 lakhs.
- Gross non-performing loans dropped to 3.48% from 4.74% in the previous quarter.
Why this matters
For a lender with a market cap of only ₹13 crore, the jump in provision coverage to 90% is a defensive move that suggests management is cleaning up the balance sheet. While the absolute profit figures remain small, the trend of rising income alongside falling bad loans is a positive signal for a nano-cap entity.
What we're watching
- Whether the company can sustain this revenue growth in the coming fiscal year.
- Further reduction in Stage 3 assets below the current 3.48% level.
- Any updates on capital infusion to support a larger loan book.
The full read
SI Capital & Financial Services delivered a strong finish to FY26, with net profit nearly doubling to ₹33.4 lakhs from ₹17.2 lakhs the previous year. Revenue from operations rose 45% to ₹371.2 lakhs, as the company managed to expand its top line while keeping costs in check. The most telling improvement, however, is in asset quality. Gross non-performing loans fell to 3.48% from 4.74% in the previous quarter. Simultaneously, the company lifted its provision coverage ratio to 90% from 55%. This aggressive provisioning suggests a management team focused on balance-sheet hygiene. With a market capitalization of just ₹13 crore, the company remains a tiny player, but these results show a clear improvement in both earnings power and risk management. Basic earnings per share rose to ₹0.67 from ₹0.39.
Questions answered
- How did SI Capital's profitability change year-over-year?
- Net profit nearly doubled to ₹33.4 lakhs for the year ended March 31, 2026, compared to ₹17.2 lakhs in the previous year.
- What drove the revenue growth?
- The company reported a 45% increase in revenue from operations, which reached ₹371.2 lakhs for the year.
- How has the loan book quality shifted recently?
- Gross non-performing loans fell to 3.48% from 4.74% in the previous quarter, while the provision coverage ratio climbed to 90% from 55%.
- What is the current scale of the company?
- SI Capital is a nano-cap non-bank lender with a market capitalization of approximately ₹13 crore.