Finance company Northern Arc Capital announced Q4FY26 & FY26 results Consolidated Financial Highlights: Revenue from Operations: Stood at Rs 74,165.57 lakh in Q4FY26, reflecting a 2.84% QoQ rise from Rs 72,114.15 lakh in Q3FY26, and a 23.09% YoY jump from Rs 60,251.92 lakh in Q4FY25. FY26 revenue from operations reached Rs 2,69,024.34 lakh, marking a 14.89% YoY growth against Rs 2,34,161.03 lakh in FY25. Profit Before Tax (PBT): Posted at Rs 17,557.09 lakh in Q4FY26, an impressive surge of 30.38% QoQ from Rs 13,465.88 lakh in Q3FY26, and soaring by 401.55% YoY compared to Rs 3,500.56 lakh in Q4FY25. For FY26, PBT grew by 38.72% YoY to Rs 53,556.17 lakh from Rs 38,608.06 lakh in FY25. Profit for the Period (PAT): Clocked at Rs 13,265.25 lakh for Q4FY26, showing an increase of 30.43% QoQ from Rs 10,170.01 lakh in Q3FY26, and a robust 245.66% YoY growth from Rs 3,837.67 lakh in Q4FY25. The annual net profit for FY26 stood at Rs 40,357.62 lakh, advancing 33.94% YoY from Rs 30,131.81 lakh in FY25. Standalone Financial Highlights: Revenue from Operations: Reached Rs 73,135.92 lakh in Q4FY26, marking an increase of 2.78% QoQ from Rs 71,156.49 lakh in Q3FY26, and a 24.03% YoY rise from Rs 58,968.00 lakh in Q4FY25. FY26 revenue from operations was Rs 2,63,429.57 lakh, growing 15.33% YoY from Rs 2,28,411.42 lakh in FY25. Profit Before Tax (PBT): Stood at Rs 18,288.62 lakh in Q4FY26, advancing 50.18% QoQ from Rs 12,177.98 lakh in Q3FY26, and jumping 281.06% YoY against Rs 4,799.35 lakh in Q4FY25. FY26 PBT was Rs 56,999.32 lakh, growing 29.04% YoY from Rs 44,171.77 lakh in FY25. Profit for the Period (PAT): Achieved Rs 13,862.35 lakh in Q4FY26, a strong 50.40% QoQ growth from Rs 9,216.66 lakh in Q3FY26, and a 196.60% YoY expansion from Rs 4,673.79 lakh in Q4FY25. Annual net profit for FY26 stood at Rs 42,915.32 lakh, moving up 25.26% YoY from Rs 34,261.50 lakh in FY25. Business & Segment Highlights: Lending & AUM Growth: Lending Asset Under Management (AUM) grew by 22% YoY and 10% QoQ to Rs 16,594 crore as on March 31, 2026. Direct-to-Customer (D2C) Lending AUM witnessed a 39% YoY growth to Rs 9,792 crore, with its share in overall AUM increasing to 59%. Asset Quality: The Gross NPA ratio improved to 1.2% and the Net NPA ratio improved to 0.6% as on March 31, 2026. Credit Cost for FY26 decreased by 42 bps YoY to 2.8%, and for Q4FY26, it decreased to 2.2% from 3.5% in Q3FY26. Fund Business & Placements: Performing Credit Fund AUM stood at Rs 3,092 crore as on March 31, 2026. Placement volumes for FY26 were Rs 11,834 crore, and fee income grew by 22% YoY to Rs 31 crore. Net Interest Income & Margins: Net Interest Income increased by 20% YoY to Rs 1,377 crore in FY26, and by 21% YoY to Rs 387 crore in Q4FY26. Return on Assets increased by 34 bps YoY to 2.8% for FY26, while Return on Equity increased to 11.1% for FY26 and to 14.0% for Q4FY26. Segment-wise Revenue: Financing activity: Generated Rs 72,439.15 lakh in Q4FY26 and Rs 2,63,429.57 lakh for FY26. Investment advisory services: Contributed Rs 5.45 lakh in Q4FY26 and Rs 21.48 lakh for FY26. Investment management services: Recorded Rs 460.05 lakh in Q4FY26 and Rs 4,164.31 lakh for FY26. Others: Yielded Rs 2,607.51 lakh in Q4FY26 and Rs 6,508.20 lakh for FY26. Network Expansion: The company added 72 branches during FY26, out of which 64 branches were added in Q4FY26 alone. Net worth grew by 13% YoY to Rs 3,896 crore, maintaining a healthy capital adequacy ratio of 22.6% as on March 31, 2026. Fund Raising Approval: The Board of Directors approved the issuance of Non-Convertible Debentures (NCDs) for an amount not exceeding Rs 5,000 crore by way of private placement, subject to shareholder approval. Ashish Mehrotra, MD & CEO, Northern Arc Capital, said: “FY26 was a landmark year for Northern Arc Capital. Despite headwinds in the microfinance segment earlier in the year and geopolitical uncertainties toward year-end, we delivered record performance. Our lending AUM crossed Rs 16,500 crore, while annual PAT reached an all-time high of Rs 406 crore, with highest ever quarterly profit of Rs 133 crore in Q4FY26. This performance was underpinned by disciplined underwriting, improved collection efficiency, and cautious growth and expansion. Building on this momentum, we enter FY27 with a focused approach to drive profitable growth. Over the next 3–5 years, we will deepen our geographic presence, scale digital partnerships and invest in technology, data analytics and AI to drive efficiency, resilience and scale, to ensure we position Northern Arc Capital to double AUM by FY29, sustain 22–25% growth, and deliver consistent profitability.” Result PDF