More Stories

Informist, Thursday, May 7, 2026

By Meera Nair

MUMBAI – CreditAccess Grameen Ltd. is likely to report a sharp year-on-year rise in its March quarter net profit, aided by a strong growth in assets under management, net interest margin, and lower credit cost, according to brokerages tracking the company. It will also benefit from the rate hikes implemented in October, the brokerages said. 

The microfinance institution is expected to post a net profit of over INR 3 billion for the quarter, up 540.63% on year and 12% on quarter, according to an average of estimates from seven brokerages. The lowest estimate for net profit is INR 2.72 billion by Nomura Equity Research Ltd. and the highest is INR 3.32 billion by Motilal Oswal Financial Services Ltd.

The micro financier is expected to report net interest income of INR 10.78 billion for the March quarter, up almost 23% on year and 10% on quarter, according to the average of estimates. The highest estimate for net interest income is INR 11.30 billion from Yes Securities (India) Pvt. Ltd., while the lowest is INR 10.49 billion from Equiris Securities Pvt. Ltd.  

Brokerages expect the company's assets under management to show strong growth during the quarter. ICICI Securities, Nomura Equity Research and Motilal Oswal Financial Services expect assets under management to improve 14% on year and 11% on quarter to INR 295.92 billion.

An expansion in margins is likely to support earnings. Motilal Oswal expects the company's net interest margin to improve sequentially by 30 basis points to 15.2%, while Nomura expects it to expand by 20 basis points on quarter driven by a fall in cost of funds, which is seen down 52 basis points on year and 11 basis points on quarter.

Credit cost is expected to fall by 433 basis points on year and 36 basis points on quarter to 4.9% and be the key driver of profitability, Nomura Equity said. Meanwhile, Motilal Oswal expects the credit cost to decline 40 basis points to 4.8% sequentially. 

According to Equiris Securities, investors will focus on portfolio at risk moderation, growth strategy across microfinance and non-microfinance institutions, and margin trends as the share of retail finance increases when the company announces its March quarter earnings on Friday.

On Thursday, shares of CreditAccess Grameen closed 1.3% higher at INR 1,490.40 apiece on the National Stock Exchange. The stock has risen almost 10% since the company announced its December quarter earnings on Jan. 21 

Of the 10 brokerage reports on the company available with Informist, all have a "buy" or equivalent recommendation on the stock with an average target price of INR 1,551 apiece. This is over 4% higher than the current market price. 

Following are the March quarter earnings estimates for CreditAccess Grameen from seven brokerage firms in descending order of the estimate of net profit, in INR billion: 

End

Edited by Deepshikha Bhardwaj

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2026. All rights reserved.