New Delhi: Cholamandalam Investment and Finance Company Ltd. (Chola Finance) has posted a strong set of financial results for the first quarter of FY27, showing strong growth in both profitability and income. The non-banking financial company (NBFC) posted a 45.5% year-on-year increase in consolidated net profit that reflected ongoing business activities and strong demand for its lending portfolio.
The company also announced that its board has approved the raising of ₹55,000 crore through the issuance of non-convertible debentures (NCDs), a move aimed at strengthening its funding base and supporting future business expansion.
Net Profit Surges 45.5%
In the quarter ending June 30, 2026, Cholamandalam Finance reported a net profit of ₹1,656 crore compared to ₹1,138 crore in the corresponding quarter of the previous financial year.
The impressive earnings growth indicates the company’s excellent operational performance and steady loan growth, and the improvement in business fundamentals when it comes to competition in terms of lending.
Total Income Rises 22%
In the quarter, total income also grew in a good way.
Total income rose by 22% year-on-year to ₹8,957 crore from ₹7,353 crore in Q1 FY26.
The growth is indicative of the company’s continuing growth in lending and revenue growth in various finance businesses throughout the business— vehicle finance, home loans, SME lending, and other retail financial products.
Board Approves ₹55,000 Crore NCD Programme
Cholamandalam Finance approved a major fundraising plan in addition to its quarterly earnings.
The board approved that up to ₹55,000 crore in Non-Convertible Debentures (NCDs) could be raised by the company.
NCDs are debt instruments that companies use to raise long-term capital from investors without converting the debt into equity. The company’s fundraising would provide additional financial firepower to fund further growth of lending and funding requirements.
Q1 FY27 Financial Highlights
Net Profit: ₹1,656 crore
Q1 FY26 Net Profit: ₹1,138 crore. Year-on-year Profit Growth: 45.5%. Total Income: ₹8,957 crore. Previous Year's Total Income: ₹7,353 crore. Income Growth: 22%. Approved NCD Fundraising: ₹55,000 crore. Stock Performance
The strong quarterly performance of Cholamandalam Finance was not lost on Cholamandalam Finance shares yesterday, with shares slightly weaker.
The stock dropped 1.14% to ₹1,764.90, and the NSE Nifty 50 lost 0.04% during the session.
The share was down from the previous close of ₹1,782.90. In the day, it traded between ₹1,696.20 and ₹1,815.70, reflecting intraday volatility.
Over the past 52 weeks, it has fallen to a low of ₹1,299.40 and a high of ₹1,875.00. The company’s share price is up 18.43% in year-on-year terms, and investors are back on board.
Strong Position in India's NBFC Sector
Cholamandalam Finance is still one of India’s leading NBFCs, with strong retail credit demand, diversified lending operations and disciplined risk management.
With a market capitalisation of around ₹1.32 lakh crore and a price-to-earnings (P/E) ratio of 35.56, the company remains one of the most closely watched financial services firms in the Indian stock market.
The combination of strong earnings growth, expanding income and a large fundraising plan makes Cholamandalam Finance able to continue to fund lending and expansion in the long run. Investors will be watching in the future as well to gauge loan growth, asset quality and how the new capital raised through the proposed NCD programme will be utilised.
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