Mufin Green Q2 FY27 Results (NSE: MUFIN)
Signal: Earnings grew
The read
The earnings trajectory improved sharply in Q2FY27, with total income up 83.2% YoY and PAT up 148.6%, following Q1FY27 revenue growth of 57.1% and PAT growth of 345.6%; however, the quarter's ₹290.45 lakh other income was 16.0% of PBT and finance costs grew 103.7% YoY, so the next inflection to watch is whether operating lending growth can sustain profit without further dependence on non-operating income.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹89.58 Cr | +83.2% | +16.1% |
| Net profit | ₹15.06 Cr | +148.6% | |
| EPS | ₹0.76 | +117.1% | |
| EBIT margin | 0 |
P&L walk
Standalone total income rose 83.2% YoY to ₹8,958.39 lakh, while PAT rose 148.6% to ₹1,506.23 lakh; other income increased to ₹290.45 lakh from ₹17.15 lakh and finance costs grew 103.7% YoY to ₹5,290.54 lakh, making earnings quality and funding costs the key watchpoints.
Key positives
- Total income reached ₹8,958.39 lakh, up 83.2% YoY and 16.1% QoQ, with interest income rising to ₹8,617.86 lakh from ₹4,781.24 lakh YoY.
- PAT increased to ₹1,506.23 lakh from ₹606.00 lakh YoY, while impairment expense declined 19.2% to ₹228.21 lakh.
- Asset quality improved, with GNPA falling to 1.77% from 2.37% YoY and NNPA falling to 1.50% from 2.02% YoY.
- Employee costs grew only 0.5% YoY to ₹634.49 lakh against 83.2% total-income growth, indicating stronger cost absorption, although the filing does not report an operating-profit measure.
- Capital adequacy remained high at 27.73%, despite the debt-equity ratio increasing to 2.89x from 2.68x YoY.
Key concerns
- Finance costs rose 103.7% YoY to ₹5,290.54 lakh, faster than total-income growth, leaving funding-cost discipline central to the earnings trajectory.
- Other income increased to ₹290.45 lakh from ₹17.15 lakh YoY and represented 14.9% of PBT, making the quarter's PAT growth less purely operating.
- Operating cash flow was negative at ₹19,508.11 lakh in H1FY27 despite ₹2,907.35 lakh of H1 PAT, mainly alongside a ₹22,284.60 lakh increase in loans.
- Debt-equity rose to 2.89x from 2.68x YoY and net debt increased to ₹1,65,690.65 lakh from ₹1,24,852.73 lakh at March 31, 2026.
- EPS growth of 117.1% lagged PAT growth of 148.6%, consistent with the increase in paid-up equity capital.
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