IndoStar Capital Finance Limited has released the transcript of its analyst and institutional investor call held on May 28, 2026, concerning the Audited Financial Results for the quarter and financial year ended March 31, 2026. The call featured insights from Managing Director and Executive Vice Chairman, Mr. Randhir Singh, and Chief Financial Officer, Mr. Jayesh Jain. Mr. Singh provided a strategic overview, highlighting FY26 as a year of structural transformation. Key initiatives included institutionalizing credit underwriting with data analytics and proprietary scorecards, conscious portfolio diversification (reducing MHCV disbursements from 57% in FY24 to 31% in FY26, and increasing passenger vehicle disbursements from 8% to 23%), and calibrated growth with capacity building, including a 30% expansion of the frontline sales force. Operational efficiency and digitization were also emphasized, with Project Leap identifying annualized cost efficiencies of ₹51 crore, of which ₹27 crore was realized in FY26. Digital adoption reached 84% for vehicle finance and nearly 100% for Micro LAP, reducing turnaround time by 25%. The company also took definitive steps to clean up legacy exposure, making an additional provision of ₹326 crore for its Security Receipts portfolio, increasing the total provision coverage ratio to 63%. Financially, for Q4 FY26, total loan portfolio stood at ₹8,056 crore, with disbursements at ₹1,306 crore, a 17% sequential growth. Net interest income was ₹215 crore, a 20% year-on-year increase, and net interest margin improved to 8.7%. For FY26, net interest income was ₹772 crore (up 16% YoY), and Profit After Tax was ₹130 crore, a significant increase from ₹53 crore in the previous year. The company has set a 3-year strategic target through FY29, aiming for a 35% CAGR growth in disbursements and a Profit After Tax target of ₹450 crore to ₹500 crore.
