InCred Finance’s FY26 Profit Increases 17% YoY To ₹438 Cr, Revenue Up 36%

IPO-bound fintech company InCred holdings’ lending tech arm InCred Financial Services (InCred Finance) reported a 17.1% increase in its consolidated net profit to ₹438 Cr in FY26 from ₹374 Cr in the previous fiscal year. Profitability moderated due to higher credit costs.

As per an ICRA report, the company’s total income in the fiscal rose 36.3% to ₹2,567 Cr from ₹1,883 Cr in the fiscal prior. The uptick was driven by a strong expansion of its lending business, with its total managed assets in the fiscal grew 22% to ₹17,748 Cr from ₹14,512 Cr.

IFSL’s assets under management (AUM) expanded by 28% to reach ₹15,881 Cr as of March 2026, though it moderated vis-à-vis the 37% YoY growth seen in FY25. 

Personal loans remained IFSL’s largest lending vertical, accounting for 56% of its AUM as of March 2026. The rest of the portfolio comprised student loans (20%), specialised MSME loans (8%), loans against property (7%), loans to financial institutions (6%) and secured school financing (3%).

While earnings continued to grow, profitability moderated during the year. Return on managed assets (RoMA) declined to 2.7% in FY26 from 3% a year earlier as recoveries from the legacy portfolio acquired during the KKR India Financial Services merger tapered off, resulting in higher credit costs.

IFSL, previously known as KKR India Financial Services Limited, in 2023 merged with InCred Holdings (IHL), becoming a wholly owned subsidiary of IHL. As of March 2026, IFSL operates in 19 states with 166 branches.

The results come at a time when InCred Holdings is set to make a public markets debut soon. The company filed its IPO papers confidentially in November last year and subsequently filed an updated draft red herring prospectus (UDRHP-I) with SEBI in May post receiving SEBI’s go-ahead for the public float. 

The company’s public issue will comprise a fresh issue of shares worth up to ₹1,250 Cr and an offer for sale (OFS) of up to 9.9 Cr equity shares.

Besides the NBFC arm, InCred Holdings operates an asset management arm InCred Capital as well as an investment platform InCred Money.

At the group level, InCred Holdings reported a net profit of ₹290.1 Cr in the first nine months of FY26, up around 5% from ₹275.5 Cr reported during the same period in FY25. The company’s revenue from operations surged 38.6% to ₹1,848.9 Cr in 9M FY26 from ₹1,333.9 Cr in the year-ago period. 

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