L&T Finance Ltd.,formerly known as L&T Finance Holdings Ltd. (LTF), one of the leading Non-Banking Financial Companies (NBFCs) in India, has recorded its highest ever core Profit After Tax (PAT) of Rs. 760 Crore (before one-time impact of New Labour Code provision), up 21% YoY (Year-on-Year) in the third quarter ended December 31, 2025 (Q3FY26). PAT after one-time impact of New Labour Code stands at Rs. 739 Crore, up 18% in Q3FY26.During the quarter, the retail book size reached Rs. 1,11,990 Crore, up
21% YoY. The consolidated loan book grew by 20% YoY to Rs. 1,14,285 Crore. The Company has recorded the highest ever quarterly retail disbursement of Rs. 22,701 Crore for the third quarter ended December 31, 2025, up 49% YoY. The Company also recorded all-time high disbursements in Two-wheeler Finance at Rs. 3,217 Crore and Farmer Finance at Rs. 2,783 Crore growing 33% YoY and 12% YoY, respectively. Retailisation stood at 98% of overall book as onDecember 31, 2025.
The Company’s Net Interest Margins (NIMs)+Fees sequentially improved by 19 basis points (bps) Quarter-on-Quarter (QoQ) to 10.41% from 10.22% in the second quarter ended September 30, 2025 (Q2FY26). The Rural Business Finance business asset qualityimproved significantly with 0 Days Past Due (DPD) collection efficiencies reaching 99.7% in December 2025.
The Company’s customer-facing PLANET app, which has emerged as a powerful digital channel for customers, crossed more than 2.20 Crore downloads as of December 31, 2025,comprisingmorethan18.3 Lakhcustomers ontheruralside. Asof December 31, 2025,thischannelhas donecollections ofoverRs. 7,700 Crorewhile servicing over 10 Crore requests and has sourced loans of over Rs. 24,100 Crore.
‘Project Cyclops’ has been implemented in Two-wheeler Finance, Farm Equipment Finance, SME Finance, and Personal Loans. It will be rolled out in Home Loans and Rural Group Loans & MFI in FY27. ‘Project Nostradamus’ – Proprietary AI portfolio management engine islive in Beta mode for Two-wheeler. ‘Project Helios’ – Underwriting AI Co-Pilot is live in SME Finance. ‘Project Orion’ – Nostradamus Co-Pilot AI Conversational Assistant for automated portfolio is live in Two-wheelerFinance from December 2025.
RAISE’25, LTF’s flagship AI conference, which was conducted in November 2025,drew participation of over4,500 attendees. It brought together global tech leaders, policymakers, innovators, and industry practitioners. On the sidelines of RAISE’ 25, LTF launched an AI startup pitch platform – ‘Pitch Point’, thereby incubating new tech AI entrepreneur ecosystem.
Commenting on the financial results, Mr. Sudipta Roy, Managing Director & CEO, LTF, said, “Q3FY26 for the financial services sector has been defined by a powerful convergence of favourable macro-tailwinds. The implementation of GST 2.0, good monsoons, and a series of repo rate cuts have seen a surge in consumption and created an environment for growth. In Q3FY26, LTF’s focus remained on delivering a
standout performance across business segments. We registered the highest ever quarterly disbursements of Rs. 22,701 Crore, up 49% YoY, and the retail portfolio reaching Rs.1,11,990 Crore, reflecting a growth of 21% YoY leading to a PAT of Rs. 760 Crore, up 21% YoY (without the impact of a one-time exceptional item).
In line with our commitment to deliver a sustainable and profitable growth across quarters, we are focused on transforming LTF into a risk-first, tech-first, multi-product retail financier of choice. In line with this, we have been continuously broadening our customer acquisition funnels while sourcing creditworthy customers backed by technology and robust credit guardrails, while keeping a strong focus on collection efficiencies across businesses.
Our proprietary AI driven next-gen digital credit engine ‘Project Cyclops’ is now implemented in Personal Loans in addition to Two-wheeler, Farm Equipment, and SME Finance businesses. It will go live in Home Loans and Loan Against Property and Rural Group Loans and MFI businesses in the new financial year (FY27). At LTF, we are no longer just automating processes,we are deploying predictive intelligence at scale.Our portfolio management engine, ‘Project Nostradamus,’ is now live in Beta for Two-wheeler
Finance, while ‘Project Helios,’ our AI Underwriting Co-Pilotis live in SME Finance. The recent launch of ‘Project Orion’ – Nostradamus Co-pilot in December 2025 has brought automated conversational intelligence to our portfolio management, ensuring we stay ahead of risk while enhancing customer experience. We remain focused on continuously strengthening our risk and credit frameworks, which will serve us well in times to come.
Furthermore, through our RAISE’ 25 conference and the ‘Pitch Point’ competition launched as a part of RAISE, we are nurturing a new ecosystem of AI entrepreneurship and thought leadership.We are confident that our focused actions will not only ensure a sustainable and resilient performance in the coming quarters, but also truly transform LTF into a risk-first, tech-first, diversified retail finance company.”