Poonawalla Fincorp shares zoom 80% thus far in CY25, trade at record high

The rally in Poonawalla Fincorp shares came after Poonawala said the company's assets under management (AUM) grew by 67.7 per cent year-on-year in Q2FY26

Poonawalla Fincorp share price today

 

Poonawalla Fincorp shares hit an all-time high of ₹570.4 per share on the BSE today, as they rallied 9 per cent in Monday's intraday trade, after the Cyrus Poonawalla group company reported a strong business update for the quarter ended September 2025 (Q2FY26).

 

The stock price of the non-banking finance company (NBFC) surpassed its previous high of ₹529.35, which it touched on October 3, 2025. In one month, Poonawalla Fincorp's stock price has appreciated by 33 per cent. In comparison, the BSE Sensex was up nearly 1 per cent.

 

Further, thus far in calendar year 2025, the stock has zoomed 80 per cent as against a 3.7-per cent rise in the benchmark index.

 

Poonawala Fincorp Q2 business update

 

In an exchange filing, Poonawala said the company's assets under management (AUM) grew by 67.7 per cent year-on-year (Y-o-Y) and 15.4 per cent quarter-on-quarter (Q-o-Q) to approximately ₹47,625 crore during the quarter ended September 30, 2025. It also said the company continues to have ample liquidity of approximately ₹6,200 crore as on September 30, 2025.

 

Poonawala further said the company stands by its risk first approach, robust risk management systems, and a diversified asset base.

 

As the company continues to scale, its focus and commitment stands on business expansion in line with building a long-term sustainable profitable model, it added.

 

Motilal Oswal Financial Services had expected Poonawala to report AUM growth of ~63 per cent Y-o-Y and 12 per cent Q-o-Q in Q2, with a total AUM of ₹46,300 crore. It also expected the NBFC's credit costs to decline ~45bp Q-o-Q to ~2.2 per cent (vs 2.65 per cent in Q1FY26).

Allotment of ₹1,500 crore shares to promoter

 

In a separate development, the board of directors of Poonawalla, on September 17, 2025, approved the allotment of 33.15 million equity shares to Rising Sun Holdings Private Limited, the promoter group of the company, at an issue price of ₹452.51 per equity share (including premium of ₹450.51), aggregating to ₹1,500 crore.

Poonawalla Fincorp outlook

 

Poonawalla Fincorp is a non-deposit taking systemically important non-banking finance company (ND-SI-NBFC), registered with the Reserve Bank of India (RBI). The company's financial service offerings include Pre-Owned Car Finance, Digital PL, Prime Personal Loan, Loan for Professionals, Business Loan, Loans Against Property, Mid-market & NBFC Loan, Machinery & Medical Equipment Loan, Education Loan, Commercial Vehicle Loan, Shopkeeper Loan, Gold Loan, and Consumer Durable Loan.

 

During the Q1 FY26 earnings conference call, the management said they witnessed a robust demand for retail loans, and see strong consumer confidence in spending, which supports the economic growth outlook.

 

The management expects a healthy AUM growth in the financial year 2025-26, which will likely be notches better, than the company's guidance for this financial year of around 35 per cent-40 per cent.

 

The company's growth will continue to be led by a prudent mix of secured and unsecured products across consumer and MSME segments.  The management said the company will expand methodically across Tier-2 and Tier-3 cities, where formal credit remains underpenetrated. Profitability will be driven by operating leverage and a sharper product mix. Governance across credit, compliance, and operations will remain non-negotiable, Poonawala said in its FY25 annual report.

 

Meanwhile, the NBFC sector is poised for stronger growth in FY2025–26, supported by recent repo rate cuts by the Reserve Bank of India and changes in income tax slabs aimed at boosting consumer spending. According to a CRISIL report, AUM growth is expected to recover to 16-18 per cent in FY 2026-27, following a moderation in FY 2025-26. The report also projects stable overall asset quality for the sector in the current fiscal.

 

The MSME segment, which accounts for 16 per cent of overall credit grew by ~ 22.22 per cent in FY 2024-25, is also expected to witness steady growth of ~23 per cent in FY 2025-26. This will be supported by targeted government initiatives, greater digitalisation and formalisation, and improved access to data. These developments have enabled lenders to enhance their credit assessment models and more effectively serve the rising demand from this critical sector of the economy, Poonawala said.