Tata Capital's Q3 profit surges almost 40% to ₹1,285cr
What's the story
Tata Capital, a leading non-banking financial company (NBFC) under the Tata Group umbrella, has reported a consolidated net profit of ₹1,285 crore for the third quarter of FY26. The figure marks an impressive 39.3% year-on-year growth from last year's ₹922 crore in the same quarter. The company's net interest income (NII) also witnessed a significant jump of 26% YoY to ₹2,936 crore during this period.
Asset growth
Assets under management grow by 26%
Tata Capital's total assets under management (AUM) at the end of Q3 FY26 stood at ₹2,34,114 crore, a whopping 26% increase from ₹1,86,404 crore. The SME segment contributed the most to this growth with an AUM of ₹70,549 crore. The retail segment comprising home and personal loans made up 60% of the company's total AUM during this period.
Credit performance
Credit cost and asset quality improve
Tata Capital's annualized credit cost improved to 1% in Q3 FY26, down from 1.1% in the previous quarter. The firm's gross non-performing assets (GNPA) and net non-performing assets (NNPA) remained stable at 1.6% and 0.6%, respectively, as of December 2025, the same levels as September 2025. This stability indicates a strong asset quality for Tata Capital during this period.
CEO statement
CEO comments on Q3 performance
Rajiv Sabharwal, the MD and CEO of Tata Capital, said they witnessed strong business momentum in Q3 FY26 with broad-based growth across products. He added that barring motor finance, AUM grew 26% YoY to ₹2,34,114 crore, and comparable PAT increased by 39% YoY to ₹1,285 crore for Q3 FY26. "Credit quality continued to remain robust," he said while noting stable portfolio performance across segments.