Fedbank Financial Services Ltd.Profit +63% to ₹130.8 Cr, ROA 2.8%, gold AUM +77%

Fedbank Financial Services' Q2 FY27 call, held on 15 October 2026, reported profit after tax of ₹130.8 crore, up 63%, assets under management of ₹22,035 crore, up 37%, and gold loan AUM up 77% to ₹11,917 crore.

Return on assets rose to 2.8% and return on equity to 17%, the highest ever, with credit cost at 0.6% and cost to income at 52.5%. Gross NPA rose to 1.8% from 1.6% and gold Stage II to 3.6%, which management called a technical effect of the new periodic interest model and not a credit concern, with no auction loss in six years. Management kept its 20% to 25% AUM growth, credit cost below 1% and 3% ROA targets, planned at least 150 more branches in the second half, and said gold competition was heightened in Q2. It would not promise a flat yield or cap Stage II, and gave no new AUM guidance despite 37% growth.