IIFL Finance posts strong quarterly profit growth
pre-market1 source ↓machine-written, see hownot a recommendation
- IIFL close
- ₹615.40
- On the day
- +2.89%
- 52-week high
- ₹705.00
- 52-week low
- ₹409.10
IIFL Finance reported a strong 2QFY27 operating performance, with net interest income rising 50% year on year and about 8% quarter on quarter to approximately ₹21.6 billion. Motilal Oswal’s research report maintained a buy view and set a target of ₹760. The stock closed at ₹615.40 on 16 Oct 2026, up 2.9% on the day, according to OI Charts data. Trading volume stood at 6,386,524 shares.
Net total income increased about 21% year on year to approximately ₹23.4 billion, while operating expenses rose 13% to ₹9.8 billion. The cost-to-income ratio improved to 42.1%, compared with 44.5% in the previous quarter and about 45.2% a year earlier. Pre-provision operating profit grew 28% year on year to ₹13.5 billion, and profit after tax attributable after non-controlling interest stood at ₹7.7 billion. Profit after tax ₹7.7 billion supports the lender’s earnings momentum in the non-banking finance sector 💼.
Net interest margins expanded by about 5 basis points quarter on quarter to 7.2%. Credit costs were ₹2.8 billion, translating into an annualised credit cost of about 1.4%, down from 1.6% in the previous quarter and 3.4% in the year-ago period. However, other income fell to approximately ₹1.8 billion, including assignment income of about ₹280 million, compared with ₹4.9 billion in 2QFY26 and ₹3.5 billion in the previous quarter.
Management’s FY27 targets include 25% year-on-year consolidated AUM growth, credit costs of 1.5%–1.7%, return on assets of 3.1%–3.3% and return on equity of 16%–20%. The report also noted that a potential equity raise could affect leverage and returns, although the available excerpt did not provide further details. Credit costs at 1.4% remain a key operating metric to track as growth continues.
OI Charts data shows the stock up 3.0% over five sessions and 3.2% over 20 sessions. It remains below its 52-week high of ₹705.00 recorded on 24 Aug 2026, while the 52-week low was ₹409.10 on 27 Apr 2026. Investors will watch the next update on AUM growth, asset quality, credit costs and any equity-raising plans.
Source: TradingView, 16 Oct 2026
Not investment advice. For informational purposes only.