Quarterly Profit After Tax (PAT) of Capri Global surges more than double, reaching ₹175 crores in Q1.

Quarterly Profit After Tax (PAT) of Capri Global surges more than double, reaching ₹175 crores in Q1.

In a noteworthy development, Capri Global Capital Ltd has announced its Q2 FY2025 financial results, showcasing significant growth across various key financial metrics.

The company's net profit for the quarter stood at ₹175 crore, representing a slight 2% decline from Q1 but more than doubling year-on-year. This growth was achieved despite increased provisions for non-performing assets (NPAs). Total revenue for the quarter reached ₹1,003.78 crore, reflecting a 4.85% quarter-on-quarter increase and a 39.87% year-on-year growth.

Assets Under Management (AUM) saw robust growth, building on a 42% year-on-year surge reported in Q1. The company aims to reach ₹500 billion AUM by FY28 and over ₹1,000 billion by FY33, indicating strong medium- to long-term growth ambitions. Disbursements also showed healthy expansion across key segments like MSME loans, gold loans, housing finance, and construction finance. Gold loans were identified as a high-yielding product expected to further enhance margins.

Operational performance improved with a spread of ~7%, and the cost-to-income ratio adjusted to about 49% after accounting for a one-time expense reversal. Credit costs stood at approximately 60 basis points (bps) and are expected to remain below 70bps going forward, aided by recovery efforts. The company completed a ₹20 billion Qualified Institutional Placement (QIP), strengthening its capital base for expansion. Liquidity remained strong with a surplus of ₹37 billion, and borrowing costs are expected to reduce due to MCLR resets and rating upgrades.

Rajesh Sharma, founder & MD of Capri Global Capital Ltd, stated that their tech-led infrastructure and customer-first approach will enable efficient scaling and strong profitability. He also mentioned that the strengthened capital base will accelerate geographic expansion and deepen investments in AI and data science capabilities. Margin expansion, growth in fee-based income, and tech-led cost efficiencies are expected to help Capri Global Capital Ltd deliver robust returns.

In summary, Capri Global Capital's Q2 FY2025 results reflect strong growth in AUM and revenue, healthy profitability despite increased loan provisions, operational efficiency gains, and strategic capital raising supporting long-term expansion plans. The company's customer base surpassed 5.5 lakhs, and the net profit of Capri Global Capital Ltd in the year-ago period was ₹76 crore. The consolidated AUM surged by 42% year-on-year to ₹24,754 crore in the first quarter of FY26. The standalone capital adequacy ratio is now 34 per cent.

Capri Global Capital Ltd's disbursements stood at ₹8,458 crore, up 51% on a yearly basis. Co-lending AUM rose 64% to ₹4,681 crore, contributing 18.9% to the total AUM compared to 17.8% in the previous quarter. The growth in Capri Global Capital Ltd's retail loan portfolio contributed to the increase in its consolidated AUM. The company raised ₹2,000 crore through a QIP during the quarter. Capri Global's gold loans grew 69% during the quarter.

The date of publication for this article is August 3, 2025. It's important to note that this article does not cover information about ABB India's Q2 profit, tariff levy and uncertainty making companies hold back growth and investments, or the arrest of Viresh Joshi, former chief trader and fund manager of Axis Mutual Fund, in a PMLA case.

1. Capri Global Capital Ltd's Q2 FY2025 financial results exhibit a 2% decline in net profit compared to Q1 but a significant year-on-year increase.
2. The company's robust growth in assets under management (AUM) is a testament to its long-term expansion plans, aiming to reach ₹500 billion AUM by FY28 and over ₹1,000 billion by FY33.
3. Adjusting to increased provisions for non-performing assets, Capri Global Capital Ltd managed to implement operational performance improvements, with a cost-to-income ratio of about 49%.
4. The company's strategic capital raising efforts, such as the ₹20 billion Qualified Institutional Placement (QIP), will enable geographic expansion and increased investments in AI and data science capabilities.
5. Disbursements across various segments saw healthy expansion, with gold loans identified as a high-yielding product expected to further enhance margins.
6. Capri Global Capital Ltd's Q2 FY2025 results also show a surplus liquidity of ₹37 billion and an expectation for borrowing costs to reduce due to MCLR resets and rating upgrades.
7. Tech-led infrastructure and a customer-first approach are key strategies that Capri Global Capital Ltd believes will ensure efficient scaling and strong profitability in the future of business and investing in finance, markets, and trading analysis.

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