M&MFINMahindra & Mahindra Financial Services Ltd.

M&M Financial Q2 FY27: net profit up 60.9% to ₹911 crore, income up 18.1%

Earnings
Finance

Blacklitt Research21 October 20265 min read

M&M Financial (NSE: M&MFIN) reported consolidated net profit of ₹911 crore for the quarter ended 30 Sep 2026, up 60.9% from ₹566 crore a year earlier, on total income of ₹5,962 crore, up 18.1% from ₹5,049 crore. Standalone net profit was ₹882 crore, up 54.8%, on total income of ₹5,175 crore, up 15.3%.

Key highlights

Consolidated

Including its subsidiaries

Total income: ₹5,962 crore, up 18.1% from ₹5,049 crore in Q2 FY26 and up 4.1% from ₹5,725 crore in Q1 FY27.
Net profit: ₹911 crore, up 60.9% from ₹566 crore; down 1.8% from ₹927 crore in Q1 FY27.
EPS: ₹6.54 against ₹4.06 a year earlier, up 61.1%; not annualised.
Tax share: 25.55% of profit before tax, against 25.39% a year earlier.

Standalone

The company on its own, without its subsidiaries

Total income: ₹5,175 crore, up 15.3% from ₹4,489 crore in Q2 FY26 and up 4.0% from ₹4,974 crore in Q1 FY27.
Net profit: ₹882 crore, up 54.8% from ₹569 crore; down 1.9% from ₹899 crore in Q1 FY27.
EPS: ₹6.34 against ₹4.10 a year earlier, up 54.6%.
Net profit margin: 17.03% of total income, against 12.68% a year earlier.

Summary

Consolidated ₹ crore
Particulars	Q2 FY27	Q2 FY26	YoY	Q1 FY27	QoQ
	5,962.10	5,049.45	+18.1%	5,724.81	+4.1%
Revenue from operations	5,935.66	5,026.19	+18.1%	5,717.91	+3.8%
Other income	26.44	23.26	+13.7%	6.90	+283.2%
	910.73	566.07	+60.9%	927.48	-1.8%
Finance costs	2,523.00	2,197.68	+14.8%	2,372.05	+6.4%
Depreciation and amortisation	109.29	93.93	+16.4%	99.14	+10.2%
Tax expense	312.61	192.66	+62.3%	314.74	-0.7%
Net profit margin	15.28%	11.21%	+4.06 pp	16.20%	-0.93 pp
Tax as share of profit before tax	25.55%	25.39%	+0.16 pp	25.34%	+0.22 pp
EPS (₹)	6.54	4.06	+61.1%	6.66	-1.8%

Figures are in ₹ crore except EPS; YoY compares with Q2 FY26 and QoQ with Q1 FY27.

Consolidated net profit rose 60.9% year on year while total income rose 18.1%, and the net profit margin rose to 15.28% from 11.21%. Total expenses were ₹4,761 crore against ₹4,306 crore. Impairment on financial instruments was ₹629 crore, against ₹768 crore a year earlier, and the share of profit of associate and joint ventures was ₹22 crore against ₹15 crore.

For the half year to 30 Sep 2026, consolidated total income was ₹11,687 crore and profit for the period ₹1,838 crore, against ₹10,063 crore and ₹1,095 crore in the same period a year earlier.

Consolidated loans were ₹1,52,771 crore at 30 Sep 2026, up from ₹1,39,265 crore at 31 Mar 2026. Borrowings other than debt securities rose to ₹94,518 crore from ₹77,612 crore, and debt securities to ₹35,584 crore from ₹30,728 crore. Cash and cash equivalents were ₹5,252 crore against ₹465 crore, and equity attributable to owners was ₹27,487 crore against ₹26,639 crore. On the standalone asset-quality ratios, gross stage 3 assets were 3.42% of gross loans against 3.41% at 31 Mar 2026, and the capital adequacy ratio was 17.98% against 18.84%.

Operating activities used ₹12,276 crore of cash in the half year, against ₹6,870 crore a year earlier; the statement books the ₹14,208 crore increase in loans within operating activities. Investing activities used ₹2,939 crore, and financing activities brought in ₹20,003 crore, made up of gross borrowing proceeds of ₹40,432 crore other than debt securities and ₹11,853 crore of debt securities, before repayments of ₹23,960 crore and ₹6,902 crore. Cash rose ₹4,787 crore over the half year.

The joint statutory auditors, M M Nissim & Co LLP and M. P. Chitale & Co., issued review conclusions with no modification. Four subsidiaries and one associate were not reviewed by their auditors; the auditors say these are not material to the group. The quarter has no exceptional item, while the full year to 31 Mar 2026 carried ₹133 crore for the New Labour Codes. Dividends paid in the half year were ₹1,042 crore, against ₹903 crore; the filing does not state a new dividend.

Standalone ₹ crore
Particulars	Q2 FY27	Q2 FY26	YoY	Q1 FY27	QoQ
	5,174.79	4,489.24	+15.3%	4,973.95	+4.0%
Revenue from operations	5,163.51	4,472.67	+15.4%	4,972.12	+3.8%
Other income	11.28	16.57	-31.9%	1.83	+516.4%
	881.52	569.31	+54.8%	898.65	-1.9%
Finance costs	2,341.04	2,066.29	+13.3%	2,208.11	+6.0%
Depreciation and amortisation	99.73	83.19	+19.9%	89.44	+11.5%
Tax expense	280.36	178.22	+57.3%	287.57	-2.5%
Net profit margin	17.03%	12.68%	+4.35 pp	18.07%	-1.03 pp
Tax as share of profit before tax	24.13%	23.84%	+0.29 pp	24.24%	-0.11 pp
EPS (₹)	6.34	4.10	+54.6%	6.47	-2.0%

Figures are in ₹ crore except EPS; YoY compares with Q2 FY26 and QoQ with Q1 FY27.

Standalone net profit rose 54.8% to ₹882 crore, and the margin rose to 17.03% from 12.68%, as total income grew 15.3%. Net profit was lower than the ₹899 crore of Q1 FY27.

Standalone impairment on financial instruments was ₹630 crore against ₹751 crore a year earlier, and employee benefit expenses were ₹557 crore against ₹491 crore.

What the results mean for shareholders

Consolidated EPS was ₹6.54 for the quarter, against ₹4.06 a year earlier and ₹6.66 in Q1 FY27; for the half year it was ₹13.21, against ₹8.12. The figures are not annualised.

At ₹297.45 a share on 21 Oct 2026, the market value was ₹41,334 crore. The filing describes a scheme approved by the board on 5 Aug 2026 to merge Mahindra Rural Housing Finance Limited into the company, with an appointed date of 1 Apr 2027. The scheme needs NCLT and RBI approvals, and the filing does not give a date for them.

Reference: Original filing (PDF)

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