Mumbai: Axis Finance Limited showed a steady improvement in its financial performance during the first half of FY26. In Q1 FY26, the company reported healthy income growth supported by strong interest income from its lending business. As loan disbursements increased, overall revenue moved up, helping profits remain stable.
In Q2 FY26, performance improved further. Total income rose to about Rs 1,27,297 lakh, compared to Q1, mainly due to higher interest income and better fee income. Profit after tax for Q2 stood at around Rs 22,876 lakh, showing a clear rise from Q1. Lower impairment costs and controlled operating expenses helped boost profits during the quarter.
Q3 Performance: Revenue Up, Profit Softens
In Q3 FY26, Axis Finance continued to grow its business, but profitability saw some pressure. Total income increased to nearly Rs 1,29,292 lakh, showing sequential growth over Q2. Interest income remained strong at Rs 1,23,273 lakh, reflecting stable loan demand.
However, profit after tax declined to Rs 19,525 lakh in Q3 from Rs 22,876 lakh in Q2. The key reason was higher impairment expenses, which rose sharply as the company made additional provisions. Finance costs also increased, impacting the bottom line. Despite this, the company remained profitable and maintained stable operations.
Expense Control and Balance Sheet Position
Employee costs and other operating expenses stayed largely under control across all three quarters. Net worth improved to Rs 5.92 lakh crore by the end of Q3, compared to Rs 5.16 lakh crore a year earlier, indicating a stronger balance sheet.
Earnings per share (EPS) also reflected this trend. EPS rose from Rs 2.68 in Q1 to Rs 3.30 in Q2, before easing to Rs 2.82 in Q3, in line with lower quarterly profit.
Overall, Axis Finance delivered consistent revenue growth from Q1 to Q3, while profits peaked in Q2 and softened in Q3 due to higher provisioning. The company’s core lending business remains strong, and its financial position continues to improve.
