1. At a Glance – The Financial Mall With a Debt Problem
Market Cap: ₹1,164 Cr
Current Price: ₹25.3
3-Month Return: -22.1%
ROE: -57.6%
Debt: ₹16,943 Cr
Debt-to-Equity: 37.5
Interest Coverage: 0.86
Q3 FY26 Revenue: ₹878 Cr
Q3 FY26 PAT: ₹-135 Cr
Centrum Capital is that ambitious financial conglomerate that wants to sell you everything — loans, insurance, broking, wealth management, bonds — basically a one-stop “financial mall.” The only issue? The mall is running at a quarterly loss of ₹135 Cr and sitting on ₹16,943 Cr of borrowings. Interest coverage below 1 means even the interest payments are sweating.
Stock has fallen 22% in three months. ROE is deep in the red at -57.6%. Promoters hold 34.8%, and 47.2% of that is pledged.
Revenue is growing. Profitability? Not invited to the party.
So the big question: Is this a turnaround-in-progress… or a leverage juggling act that requires Olympic-level balance?
2. Introduction – The Man Who Wanted to Be a Bank
Centrum Capital is not just a financial company. It is a financial buffet.
Investment banking? Yes.
Wealth management? Yes.
SME lending? Yes.
Microfinance? Yes.
Housing finance? Yes.
Insurance? Yes.
Alternative funds? Yes.
Small Finance Bank license? Also yes.
If ambition was revenue, this company would be trading at 10x book.
But ambition doesn’t pay interest bills.
Centrum got RBI approval for Unity Small Finance Bank and even absorbed PMC Bank operations into it. That’s not small stuff. That’s headline stuff. They expanded housing finance, signed co-lending MoUs, issued market-linked debentures, did preferential allotments, issued warrants, sold stakes — basically corporate action ka nonstop marathon.
And yet…
Latest quarterly net profit: negative ₹135 Cr.
TTM net profit: negative ₹226 Cr.
So what’s happening here?
Are they restructuring?
Are they transitioning from NBFC-heavy to bank-led model?
Or are we looking at financial engineering meets financial pressure?
Let’s open the hood.
3. Business Model – WTF Do They Even Do?
Imagine a financial services thali.
Institutional Business
Investment banking, bond trading, institutional broking. Fee-based, transaction-heavy. Good when markets are happy. Silent when markets sulk.
Wealth Management
Assets under advice stood at ₹35,000 Cr in FY22. Portfolio management, retail broking — commission-driven.
Lending
SME loans, MSME loans, microfinance, housing finance. Loan book in FY22 was ₹2,184 Cr. Housing finance AUM ₹584 Cr. SME/MSME ₹861 Cr. Microfinance ₹413 Cr.
Alternative Investments
Private credit, venture capital, real estate
