L&T Finance Q2 Results October 15, 2026: Profit Up 33% to ₹975 Crore as Gold and Personal Loans Surge

The L&T Finance Q2 results October 15 release brought the non-bank lender its best quarterly profit yet. Consolidated profit after tax rose 33% year-on-year to ₹975 crore for the quarter ended September 30, 2026, with gold loans and personal loans doing most of the heavy lifting on the retail book. The stock had run up ahead of the numbers, and it gave some of that back the next day. For the wider market picture, see our Stock Market Today India hub.

Educational content only. Not investment advice. Figures are taken from L&T Finance’s results documents and the outlets linked below; check the latest exchange disclosures before acting.

L&T Finance Q2 results October 15: what the numbers show

The figures below are from the company’s Q2 FY27 press release and investor presentation:

• Profit after tax: ₹975 crore, up 33% from ₹735 crore a year ago and higher than the ₹902 crore of Q1 FY27.
• Profit before tax: ₹1,321 crore against ₹989 crore, a 34% rise, per the summary table in the presentation.
• Consolidated loan book: ₹1,36,635 crore, up 28% year-on-year from ₹1,07,096 crore. Retail, now nearly the entire book, grew 29% to ₹1,34,600 crore.
• Retail disbursements: ₹24,027 crore, up 27% from ₹18,883 crore.
• Net interest margin plus fees: 10.48%, compared with 10.22% a year ago, so 26 basis points better.
• Returns: return on assets of 2.60% (2.41% a year ago) and return on equity of 13.56% (11.33%).

Where the growth came from

The segment tables in the presentation make it plain. The gold loan book more than tripled, up 242% to ₹5,043 crore from ₹1,475 crore, and gold loan disbursements jumped 229% to ₹3,237 crore. The company ended the quarter with 502 gold finance branches, 372 of them added since it bought the business in June 2025. Personal loans grew 72% to ₹18,664 crore, with disbursements up 45% to ₹4,233 crore. Two-wheeler loan disbursements rose 26% to ₹3,170 crore, and SME finance disbursements rose 24% to ₹1,820 crore.

Rural lending was the laggard. Rural business finance disbursements were roughly flat at ₹6,356 crore against ₹6,316 crore, and farm equipment finance disbursements slipped 1% to ₹1,643 crore, a split CNBC-TV18 also called out.

Cleaner books, cheaper money

Gross Stage 3 assets, the company’s bad-loan measure, came down to 2.75% of the book from 3.29% a year earlier, and net Stage 3 eased to 0.85% from 1.00%. Credit cost was 2.46%, lower than the 2.54% of the June quarter. The weighted average cost of borrowing fell to 6.95%, the lowest the company has recorded, from 7.20% in Q1 FY27 and 7.32% in Q2 FY26.

MD and CEO Sudipta Roy told The Economic Times he expects AUM growth of around 20% to carry on into the third quarter, with the margin holding in a 10% to 10.50% band. He added that a large part of the borrowing had been front-loaded in the second quarter.

How the stock traded on NSE

According to NSE’s daily bhavcopy, L&T Finance closed at ₹262.00 on October 15, up 1.24% from ₹258.80, before the results were out. On October 16 it closed at ₹253.85, down 3.11%, after a low of ₹246.50. Volume was about 2.4 crore shares, against roughly 95 lakh the previous day.

Our read on the quarter

This is a lender growing fast while its bad-loan ratios and funding costs move the right way, and that mix is what pushes returns up. The catch is that a lot of the growth sits in newer, quicker-growing products like gold and unsecured personal loans, so we’ll learn more as those books season. The next-day drop suggests the market had already priced in a strong quarter. To look at lenders beyond headline profit, see our guides on how to analyse quarterly results of a company and the price to book ratio for NBFCs.

Disclaimer: This article is for information and education only and is not investment advice or a recommendation to buy or sell any security. Consult a SEBI-registered adviser before making investment decisions.