Navi Finserv’s FY26 Profit Plunges 46% To ₹93 Cr

Sachin Bansal-led fintech unicorn Navi’s NBFC arm, Navi Finserv Ltd, continued to see its consolidated profit sink in the fiscal year FY26. In the fiscal year, the company’s profit after tax plunged 46% to ₹93.3 Cr from ₹172.2 Cr in FY25. 

The decline in profit comes despite a sizable uptick in its top line in the fiscal. The NBFC’s operating revenue for the fiscal year increased 17%  to ₹2,691.5 Cr compared to ₹2,294.2 Cr in the previous fiscal year. 

This marks the second consecutive fiscal year of declining profit for the company. In FY25, the NBFC’s PAT declined 67% to ₹221.9 Cr during the year from ₹668.8 Cr in FY24.

However, on a standalone basis, Navi Finserv claims that its profit is on the rise. In Q4 FY26, Navi Finserv’s standalone net profit surged 345% YoY to ₹134.8 Cr in Q4 FY26 from ₹30.3 Cr in Q4 FY25. The RBI-registered NBFC’s operating revenue saw a 44% YoY uptick to ₹738.2 Cr.

For the full financial year FY26, standalone net profit rose 32% to ₹292.21 Cr, while operating revenue grew 8% to ₹2,461 Cr. 

The company said that it continued investing in technology infrastructure, automation and data-led underwriting capabilities to improve customer experience and operational efficiency across its lending platform throughout FY26.

“Over the last few years, we have stayed focused on building a financial services business with strong operating fundamentals and long-term sustainability at its core. Our performance reflects continued discipline across underwriting, collections, risk management and execution efficiency. As the financial ecosystem matures, we believe institutions that combine technology, responsible growth and operational discipline will be best positioned to build durable customer trust over time,” Navi Finserv’s MD and CEO Abhishek Dwivedi said.

Navi Finserv is a wholly owned subsidiary of Navi, which was founded by Sachin Bansal and Ankit Agarwal in 2018. Navi operates a fintech superapp that offers an array of financial services, including UPI payments, investments, loans and insurance. 

The startup has raised over $677 Mn across seven funding rounds to date from investors like Gaja Capital, Narotam Sekhsaria family office’s Narayanan Venkitraman, among others. 

Notably, Bansal had said last year Navi was considering listing on the public markets in FY26. It had earlier filed its IPO documents in 2022 but later withdrew due to market conditions. 

As of now, there hasn’t been any development on the IPO front for Navi.

Where Did Navi Finserv Spend In FY26?

Navi’s net profit shrinking by half YoY could be attributed to a surge in spending that outweighed its topline growth during the fiscal. The company’s FY26 expenses amounted to ₹2,539.2 Cr, more than 23% higher than ₹2,058.8 it spent in FY25. 

Let’s take a closer look at where Navi spent the most. 

• Finance Costs: The company’s finance costs rose by more than a third to ₹1,074.8 Cr in FY26, up from the ₹796.8 Cr recorded in FY25.
• Other Expenses: Navi’s other expenses surged 71% to ₹775.1 Cr, compared to ₹452.2 Cr spent a year ago.
• Impairment On Financial Instruments: Losses under this line item stood at ₹407.9 Cr in FY26, down around 29% YoY.
• Employee Benefits Expenses: Employee costs rose 24% to ₹254.9 Cr from ₹205.3 Cr in FY25.

 

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