Can Fin Homes Ltd Q2 FY26 — ₹1,049 Cr Quarterly Income, ₹251 Cr Profit, and a Fraud Bill of ₹39 Crore Later: Still India’s Most Disciplined Lender with a NIM of 3.7 %
1. At a Glance
Welcome to Can Fin Homes Ltd — the only lender whose loan book behaves better than most borrowers. At ₹801 per share, this ₹10,666 crore market-cap HFC is the poster child for “steady compounding without drama (except Ambala).”
Q2 FY26: Revenue ₹1,049 crore (+9 % YoY), PAT ₹251 crore (+19 %). FY25 PAT ₹921 crore on revenue ₹4,054 crore = Net Margin 22 %. ROE 18 %, NIM 3.73 %, GNPA 0.94 %. Cost-to-Income a lean 16.7 %. Dividend ₹12 per share = 1.5 % yield (“enough for one Starbucks EMI”).
Canara Bank still owns 29.99 % and keeps a watchful eye like a South Indian parent. From a ₹35 k crore loan book last year to ₹39.6 k crore now, this HFC shows discipline is still profitable.
2. Introduction
Some lenders throw money like confetti. Can Fin Homes throws term sheets like invitation cards — neatly numbered, audited, and approved by NHB.
Founded in 1987 by Canara Bank, the company has grown into India’s quiet powerhouse in affordable home finance. No viral ads, no “1-minute loan” nonsense — just branch-driven lending and repayment discipline that would make even HDFC’s CFO smile.
FY24 was textbook boring — which on Dalal Street is a compliment. Except for that one Ambala episode (₹39.67 crore fraud by staff), the company’s books were so clean they could be used as a mirror. They provided the entire amount and moved on.
Now armed with AI-based early-warning systems, centralised collections, and a new Deputy MD (Vikram Saha), Can Fin is entering FY26 with renewed focus: grow without forgetting to check Aadhaar.
3. Business Model – WTF Do They Even Do?
Simple enough to explain to your grandmother, and profitable enough to explain to your CA.
Main Products
Housing Loans (78 % of AUM) – Average ticket ₹25 lakh.
Non-Housing (FlexiLAP, Top-up etc.) – ~22 %.
Public Deposits – Old-school 1 % of funding mix.
Target segment = salaried and professionals (72 % of book). Average loan size is small; average discipline is large.
Distribution Network – 186 branches + 21 affordable loan centres + 12 satellite offices across 21 States. South India contributes ~72 % of loan book (because apparently everyone from Bengaluru to Kochi is buying a flat).
Funding Sources FY24 – Banks 59 %, NHB 16 %, NCD 17 %, CP 7 %, Deposits 1 %. Basically, it borrows from everyone cheaper than your credit card.
4. Financials Overview
Source table
Metric
Latest Qtr (Sep ’25)
YoY Qtr (Sep ’24)
Prev Qtr (Jun ’25)
YoY %
QoQ %
Revenue
1,049
962
1,020
+9 %
+2.8 %
Financing Profit
336
277
281
+21 %
+19 %
PAT
251
211
224
+19 %
+12 %
EPS (₹)
18.9
15.9
16.8
+19 %
+12 %
Annualised EPS ≈ ₹75 → P/E ≈ 10.7× — a housing-finance steal if you believe in spread and sleep. ROE 18 %, NIM 3.73 %, and yet trades below 2× book.
