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Northern Arc Capital reported a strong performance in the December quarter, posting its highest-ever quarterly profit and crossing the ₹15,000 crore milestone in lending assets under management (AUM), reflecting sustained momentum in its core lending business.
Profit after tax rose 33% year-on-year and 10% sequentially to ₹101 crore in Q3FY26. Lending AUM increased 23% YoY and 7% QoQ to ₹15,121 crore, driven by growth in the direct-to-customer (D2C) lending portfolio, which now accounts for 56% of total AUM.
Net interest income grew 39% YoY and 15% QoQ to ₹371 crore during the quarter. Asset quality remained stable, with gross NPA at 1.36% and net NPA at 0.69% as of December 31, 2025.
Commenting on the results, MD & CEO Ashish Mehrotra said the company achieved two key milestones during the quarter—crossing ₹15,000 crore in lending AUM and recording the highest quarterly PAT in its history. He added that improving consumption trends following GST rate cuts and the RBI’s repo rate reduction supported strong AUM growth, a momentum he expects to continue into the final quarter of the financial year.
Shares of Northern Arc Capital ended higher on Friday, January 30, up 3.01% at ₹272.01 on the NSE.
Profit after tax rose 33% year-on-year and 10% sequentially to ₹101 crore in Q3FY26. Lending AUM increased 23% YoY and 7% QoQ to ₹15,121 crore, driven by growth in the direct-to-customer (D2C) lending portfolio, which now accounts for 56% of total AUM.
Net interest income grew 39% YoY and 15% QoQ to ₹371 crore during the quarter. Asset quality remained stable, with gross NPA at 1.36% and net NPA at 0.69% as of December 31, 2025.
Commenting on the results, MD & CEO Ashish Mehrotra said the company achieved two key milestones during the quarter—crossing ₹15,000 crore in lending AUM and recording the highest quarterly PAT in its history. He added that improving consumption trends following GST rate cuts and the RBI’s repo rate reduction supported strong AUM growth, a momentum he expects to continue into the final quarter of the financial year.
Shares of Northern Arc Capital ended higher on Friday, January 30, up 3.01% at ₹272.01 on the NSE.
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