Poonawalla Fincorp shares rallied more than 8% after the opening bell on Monday, October 12, 2026, as investors reacted to the company’s healthy Q2 earnings performance for FY27 and overall asset quality improvement. The non‑banking financial company reported a nearly 22% sequential growth in net profit after tax to ₹374.85 crore, driven by a strong surge in interest income in the second quarter of the financial year 2026‑27. On a year‑on‑year basis, the net profit after tax rose fourfold to ₹374.85 crore from ₹74 crore in the same period a year earlier, according to NSE filings.

NSE data showed that Poonawalla Fincorp’s overall revenues from core operations increased 10% sequentially to ₹2,124 crore in the September quarter, compared with ₹1,926 crore in the previous quarter. On a year‑on‑year basis, the overall revenue from core operations surged 70% to its September quarter levels from a year earlier. Net interest income (NII) surged 14% QoQ to ₹2,416 crore, versus ₹2,118 crore a year earlier. Earnings before interest, tax, depreciation and amortisation (EBITDA) improved 27% QoQ to ₹1,571 crore, up from ₹1,145 crore in the prior quarter, with margins advancing 581 basis points to 59.85%.

The company’s asset quality improved, with gross non‑performing assets at 1.2% in Q2 FY27, compared to 1.37% in the first quarter of FY27. UBS analysts noted that asset quality continued to show improvement as credit cost declined more than 20 basis points QoQ. Return on assets (RoA) improved to 2.1% from 1.9% in Q1, up 19 basis points QoQ, while the increase in yield on loans drove the overall net interest income. Non‑interest income was weaker than expected.

NSE data showed that Poonawalla Fincorp shares surged 8.2% to hit an intraday high of ₹484 apiece on Monday’s market, compared to ₹447.30 apiece at the previous equity market close. Trading activity surpassed 1.73 crore equity shares on the National Stock Exchange, marking over 15 times growth in trading volumes when compared to the one‑week average activity of 11,21,694 equity shares. The high‑volume gains on Monday marked a 17 times improvement in trading activity compared to the two‑week average of 10,19,105 equity shares. After touching the day’s high, the share price retracted its gains but was trading 3.3% higher at around ₹462 apiece during the session.

Poonawalla Fincorp’s Q2 earnings surpassed estimates as analysts from global investment firm UBS said that the NBFC company’s strong AUM growth of 10% was ahead of the estimates, with stronger momentum in the new business segments. UBS analysts highlighted that newer segments including Prime Personal Loans, Gold and Education drove stronger growth momentum. They also noted that the company’s increase in yield on loans drove the overall net interest income, while the non‑interest income was weaker than expected. "Accelerated by our rapidly maturing proprietary AI layer, these foundational, cross-vector gains reinforce the compounding power and long-term sustainability of our franchise," said Arvind Kapil, Managing Director and CEO of Poonawalla Fincorp.

Shares of Poonawalla Fincorp have delivered healthy returns in the long term, rising 181% in the last five years and more than 23% in the last three years, according to NSE data. However, the stock has lost 12.5% of its value in the past one‑year period. On a year‑to‑date basis, the NBFC firm’s stock was down 4.2% in 2026, but was trading nearly 4% higher in the past one‑month period. The exchange data also showed that the stock has risen 2.4% in the last five market sessions. The company’s market capitalisation was ₹40,666 crore as of the trading session on Monday, October 12, 2026.