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Informist, Friday, Jan. 23, 2026

--Shriram Fin: See scope to raise MSME loans ticket size over INR 1-1.2 mln 
--CONTEXT: Comments by Shriram Fin's mgmt at analyst call post Q3 earnings 

--Shriram Fin: Not looking to expand to any new asset class as of now 

--Shriram Fin: See NIM in 8.5-9% range in coming qtrs, likely closer to 8.5% 

By Krity Ambey and Divya Moolayattil

NEW DELHI – Shriram Finance Ltd. may raise the ticket size of loans to micro, small, and medium enterprises above the current range of INR 1 million to INR 1.2 million, the non-banking finance company's management said Friday. But the company aims to maintain the current mix of loan products, the management said. 

"There is scope to raise the ticket size of MSME loans, especially those against property mortgage," the management said on a call with analysts after the December quarter earnings. Out of Shriram Finance's INR-2.92-trillion total assets under management as of Dec. 31, the commercial vehicle segment had the biggest share at 46%, followed by 21.7% in the passenger vehicle segment, and 14.1% in the MSME segment. The NBFC also provides loans for farm and construction equipment, two-wheeler vehicles, along with gold loans and personal loans. The company does not intend to expand beyond these asset classes for now, management said.

The company posted strong net profit for the December quarter, driven by healthy growth in net interest income and assets under management. Its bottom line was INR 25.22 billion, 21% up from an adjusted net profit of INR 20.80 billion. The company had reported a net profit of INR 35.70 billion for the year-ago quarter, which included a one-time gain of INR 14.89 billion net of taxes. Shriram Finance's interest income grew 16% on year to INR 67.64 billion in the reporting quarter.

An increase in the net interest margin to 8.58% in the December quarter, from 8.19% a quarter ago and 8.48% a year ago, also helped drive the rise in net profit. The margin is likely to remain in the 8.5-9% range in the upcoming quarter, the management said, adding that they expect it to be closer to 8.5%. 

After the quarterly earnings announcement, shares of the financier recovered losses and were up 0.6% at INR 1,011.40 on the National Stock Exchange, but ended slightly lower Friday, at INR 1,003.55  End

Edited by Saji George Titus

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