SG Finserve Limited Q2 FY26 Concall Decoded – “Zero NPA, Full Drama”

1. Opening Hook

When an NBFC boasts zero NPAs in 2025, you either applaud or quietly check their Excel formulas. SG Finserve’s management swore by that “immaculate” record while also announcing a CEO–CFO double exit on the same day — pure Bollywood timing. The cherry? They guided for 10% QoQ growth and “no disruptions,” right before admitting macros are slowing and yields fell 90 bps.

A clean book, a leadership shuffle, and cautious optimism — this isn’t your average Finserve call; it’s a transition disguised as confidence. Stay tuned — the numbers are tidy, but the subtext? Messy and entertaining.

2. At a Glance

• Loan Book ₹2,878 Cr – Up 15% QoQ; expanding faster than their org chart.
• PAT ₹53 Cr (H1) – Up 16% QoQ; now targeting ₹120–125 Cr FY26 vs ₹150 Cr earlier.
• PBT Guidance FY27 ₹250 Cr – Because round numbers sound authoritative.
• Disbursements ₹52,000 Cr (lifetime) – Claimed zero NPA; skeptics fainted.
• Yield 11.5% – Down from 12.4%; Tata Motors & Mahindra blamed politely.
• Equity Base ₹1,071 Cr – Plus ₹338 Cr incoming April’26; dilution? Just 1 Cr shares.
• Management Changes – CEO, CFO out; new team “seasoned” and “seamless.”

3. Management’s Key Commentary

Anubhav Gupta: “Loan book grew 15% QoQ, profits 16%. We’ve disbursed ₹52,000 Cr till date with zero NPA.”
(Translation: Our Excel sheet wears a halo.)

Sorabh Dhawan: “We’re growing responsibly — zero risk mindset.”
(Zero risk = zero sleep for auditors.)

Anubhav Gupta: “New CEO Vinay Gupta joins from Yes Bank; transition smooth.”
(Yes Bank alumni handling risk—what could possibly go wrong?)

Sahil Sikka: “Cost of funds will keep improving; ongoing process.”
(Translation: Don’t ask how, just believe.)

Anubhav Gupta: “We’ll reach ₹6,000 Cr AUM by FY27.”
(That’s if macros don’t macro us first.)

On Yields: “Entered Tata Motors, M&M anchors — lower yield initially, will rise later.”
(Classic ‘we’ll make it up in volume’ energy 😏)

On Competition: “Plenty of space for all NBFCs; it’s a large industry.”
(Translation: We’re not the monopoly, just the messiah.)

4. Numbers Decoded