CP Capital FY26: ₹42.6 Crore of Profit, and Almost None of It Borrowed From “Other Income”

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1 — At a Glance

CP Capital closed FY26 with ₹76.32 crore in revenue and ₹42.58 crore in profit after tax, the second figure up 11.7% on the prior year. On paper that profit looks almost identical to the ₹43.46 crore the company earned in FY24. The interesting part is where it came from. In FY24, other income contributed ₹17.52 crore. In FY26, other income contributed ₹0.18 crore. The headline profit barely moved; the engine underneath it changed entirely.

This is a company that used to teach students how to crack JEE and now mostly lends money. The education business was demerged out, Srajan Capital was merged in, and the renamed entity received its RBI non-banking finance registration effective 1 April 2025. The name on the door reads CP Capital; the name in the older “About” still says educational services. Both are technically correct, depending on which year you stand in.

The market currently pays about 4.4 times earnings here, against an industry multiple of roughly 21.8 times. The book value sits at ₹315 per share while the company carries a price-to-book of 0.33. A profit that grew, an operating base that grew faster, and a multiple that has stayed in single digits — those three facts do not usually share a sentence.

Where this gets uncomfortable: return on equity is 7.6%, and a 0.33x book multiple is the kind of number the market reserves for assets it has questions about.

2 — Introduction

Career Point Limited was incorporated in 2000 as an education company. For most of its listed life that is exactly what it was — coaching for JEE and NEET, formal schools, university campuses at Kota and Hamirpur, study material, the full Kota apparatus.

Then came the restructuring. The Chandigarh bench of the NCLT approved a Composite Scheme of Arrangement in September 2024, with an appointed date of 1 April 2023. Under it, the education business was demerged into Career Point Edutech Limited, and the NBFC subsidiary Srajan Capital Limited was amalgamated into the parent. The board approved the name change to CP Capital Limited in January 2025. By April 2025 the parent itself held the RBI NBFC certificate of registration.

So the FY26 results describe a different company than the ticker’s history suggests. What remains is two divisions: a financing business that lends, and an infrastructure business — Career Point Infra Limited — that earns rental income off real assets. The coaching empire walked out the side door; the lending desk took the corner office.

The most recent corporate events are quieter. The board approved the audited FY26 results on 29 May 2026. Whole-Time Director Nawal Kishore Maheshwari resigned effective 30 March 2026 — though he remains a 7.62% promoter shareholder, so he left the office without leaving the family WhatsApp group.

3 — Business Model: WTF Do They Even Do?

For an encyclopedia entry, the honest answer is: CP Capital is now an NBFC wearing an education company’s old jacket.

The segment annexure settles it. Of FY26’s ₹76.32 crore revenue, the Financing Division brought ₹59.06 crore — about 77% — and the Infra Division ₹17.26 crore, roughly 23%. The lending book is the business. The disclosures describe educational infrastructure loans, loan-against-property, and business loans, all run through the NBFC, against a net loan book that reached ₹442 crore in FY26.

The second engine is rental and infrastructure income off the company’s tangible real assets, housed in the Infra subsidiary. It is the boring, recurring kind of revenue — the financial equivalent of owning the building rather than the tenant. The associate, Imperial Infin Private Limited, sits at the edge of the consolidation contributing a rounding error (₹0.12 crore net profit share for the year).

The model, then, is dual-engine: yield on loans plus rent on assets. There is a certain irony in a company that once sold the dream of cracking competitive exams now running a balance sheet whose main skill is collecting interest. The lesson reads itself: a business model can be replaced entirely while the brand stays frozen — the ₹442 crore loan book is the present tense, “educational services” is the past one.

Does a company keep the right to its old name once 77% of its revenue comes from lending? The filings say yes. The revenue mix raises an eyebrow.

4 — Financials Overview

Figures are consolidated, in ₹ crore. The latest reported period is the quarter ended March 2026.