Finance company Northern Arc Capital announced Q3FY26 results Assets & Flows: Gross transaction volumes increased by 33% YoY & 18% QoQ to Rs 10,401 crore. Lending AUM grew by 23% YoY & 7% QoQ to Rs 15,121 crore as on December 31, 2025. Share of D2C lending in AUM increased to 56%, building diversified granular book. Performing croreedit Fund AUM grew by 15% YoY to Rs 3,207 crore as on December 31, 2025. Placement volumes for Q3FY26 grew by 73% YoY & 43% QoQ to Rs 3,669 crore. For 9MFY26, placement volumes grew by 13% YoY to Rs 9,068 crore. Financials: Net Interest Income increased by 39% YoY & 15% QoQ to Rs 371 crore in in Q3FY26. Fee & Other income increased by 49% YoY & 50% QoQ to Rs 32 crore in Q3FY26. Opex ratio was flat QoQ at 3.7% in Q3FY26. The Company is fully compliant with New Labour Code and there is no material impact on the employee cost. PPoP increased by 51% YoY & 24% QoQ to Rs 265 crore in Q3FY26. Credit cost for Q3FY26 was Rs 130 crore. Profit after tax increased by 33% YoY & 10% QoQ to Rs 101 crore in Q3FY26. Return on Assets increased by 32 bps YoY to 2.7% for Q3FY26. Return on Equity increased by 180 bps YoY & 62 bps QoQ 10.7% for Q3FY26. Asset quality: Gross NPA ratio was 1.36% as on December 31, 2025. Net NPA ratio was 0.69% as on December 31, 2025. Provisioning coverage ratio on Stage III assets was 49% on December 31, 2025. Capital Adequacy: Capital adequacy ratio was 23.1% on December 31, 2025. Ashish Mehrotra, MD & CEO, said: “I am pleased to share that we achieved two significant milestones during the quarter. First, we crossed Lending AUM milestone of Rs 15,000 crore, and second, we reported our highest-ever quarterly PAT of Rs 101 crore the highest in the history of Northern Arc Capital. We continue to see strong momentum in consumption following the GST rate cuts in September 2025, further supported by the repo rate cut by the RBI in December 2025, which together drove a robust AUM growth of 23% YoY and 7% QoQ. This momentum has continued into the final quarter of the financial year, and we expect to close the year with healthy and sustained AUM growth. Northern Arc remains focused on enabling the efficient and responsible flow of capital through the creation of trusted financial pathways. By reducing information and risk barriers between investors and borrowers, we enable intermediaries to deliver credit at scale while maintaining transparency, discipline, and impact.” Result PDF