1. At a Glance
MAS Financial just posted its Q1 FY26 results and here’s the TL;DR: solid growth, steady profitability, but still playing in the “small finance kid” sandbox. PAT up 19.3% YoY to ₹86.6 Cr. AUM grew 20.8% YoY to ₹13,298 Cr. They even got IRDAI’s nod for insurance broking. But while everything’s growing, the share price… kinda chilling.
2. Introduction with Hook
Imagine an NBFC that behaves like your disciplined Gujarati uncle—punctual EMI collections, low drama, and dreams of becoming an insurance broker next door. That’s MAS Financial for you. It’s been compounding silently while the market keeps ghosting it like a bad Tinder date.
Key Stat #1: Revenue growth YoY at 27.9%
Key Stat #2: EPS at ₹4.71 this quarter alone
Key Stat #3: Promoter holding down to 66.6% from 73.7% in FY23. Dilution or exit—pick your paranoia.
3. Business Model (WTF Do They Even Do?)
MAS is your vanilla-flavored, no-deposit NBFC with an MSME backbone:
- MSME & MEL Lending (81% of AUM): Micro and small biz lending is the engine.
- 2W, CV & Personal Loans (19%): Two-wheelers, CVs, used cars, salaried personal loans = side hustle
- Now entering insurance broking. Because why stop at EMIs when you can sell premiums too?
Basically, MAS lends to the country’s hustle economy—and does it with an Excel sheet’s personality: precise, boring, reliable.
4. Financials Overview
| Metric | Q1 FY26 | YoY Growth |
|---|---|---|
| Revenue | ₹466 Cr | +27.9% |
| Net Profit | ₹86.6 Cr | +19.3% |
| Net Interest Margin | ~9.5% | Steady |
| EPS | ₹4.71 | vs ₹3.95 |
| AUM | ₹13,298 Cr | +20.8% |
Comment:
Profitable, predictable, but not headline-grabbing. This is the Toyota Corolla of NBFCs—efficient, not sexy.
5. Valuation
P/E Based Valuation
- TTM EPS: ₹17.86
- Current P/E: 18.7
- Fair P/E Range: 15–22
- FV Range: ₹268 – ₹393
PB Based Valuation
- Book Value: ₹144
- CMP/BV: 2.32x
- Fair P/B: 2.2–2.5x
- FV Range: ₹316 – ₹360
Verdict:
Valuation’s in the fair zone—like a Gujarati thali: not cheap, not overpriced, very filling.
6. What’s Cooking – News, Triggers, Drama
- Q1 PAT up 19.3% — consistent like your dad’s bedtime.
- AUM crosses ₹13,000 Cr, with MSME and MEL forming the core.
- Insurance broking license (IRDAI approved): They’ll now cross-sell policies like Diwali gift boxes.
- Dividend of ₹0.70 declared. Not life-changing, but better than zero.
Zero scandals. Zero credit rating downgrades. Zero entertainment.
7. Balance Sheet
| Item | FY25 |
|---|---|
| Net Worth | ₹2,609 Cr |
| Borrowings | ₹9,156 Cr |
| Other Liabilities | ₹434 Cr |
| Total Assets | ₹12,199 Cr |
| Book Value | ₹144/share |
Comment:
Healthy, robust, and as clean as a Jain thali. Leverage is expected in NBFCs. MAS keeps it balanced.
8. Cash Flow – Sab Number Game Hai
| Year | Ops CF | Inv CF | Fin CF | Net CF |
|---|---|---|---|---|
| FY23 | -₹1,426 Cr | -₹304 Cr | ₹1,684 Cr | -₹46 Cr |
| FY24 | -₹1,366 Cr | ₹50 Cr | ₹1,290 Cr | -₹26 Cr |
| FY25 | -₹1,133 Cr | -₹828 Cr | ₹2,198 Cr | ₹236 Cr |
Insight:
Classic NBFC cash flow: operations negative because of disbursals, funded through borrowings. Looks scary, but it’s the biz model. Like gym pain: hurts now, gains later.
9. Ratios – Sexy or Stressy?
| Ratio | FY25 |
|---|---|
| ROE | 14.1% |
| ROCE | 11.2% |
| NIM (est.) | 9.5% |
| P/E | 18.7x |
| D/E | ~3.5x |
Verdict:
Decent ROE for a small NBFC. Margins stable. Gearing expected. Just don’t expect Bajaj Finance FOMO multiples here.
10. P&L Breakdown – Show Me the Money
| Year | Revenue | PAT |
|---|---|---|
| FY23 | ₹980 Cr | ₹206 Cr |
| FY24 | ₹1,284 Cr | ₹254 Cr |
| FY25 | ₹1,596 Cr | ₹314 Cr |
EPS growth? From ₹12.39 to ₹17.86 in 2 years. Slow compounding, not meme-stock speed.
11. Peer Comparison
| Company | AUM (Cr) | PAT (Cr) | ROE | P/E |
|---|---|---|---|---|
| Bajaj Finance | ₹2,47,379 | ₹16,663 | 19.2% | 36.1 |
| Shriram Finance | ₹1,92,000 | ₹8,208 | 15.6% | 15.0 |
| Cholamandalam | ₹1,41,000 | ₹4,262 | 19.7% | 30.7 |
| MAS Financial | ₹13,298 | ₹328 | 14.1% | 18.7 |
Comment:
MAS is the small-cap cousin trying to sit at the grown-ups table. And honestly? It’s doing just fine.
12. Miscellaneous – Shareholding, Promoters
- Promoter holding: 66.63% (down from 73.7% two years ago)
- FIIs: Increased to 3.07% from 1.5% in 2023
- DIIs: Massive jump to ~20%
- Public holding: Shrinking, possibly due to institutions taking over
Also:
- AGM on Sept 3
- Secretarial auditor appointed (because compliance never sleeps)
13. EduInvesting Verdict™
MAS Financial is the nerdy overachiever of the NBFC gang. Quiet, consistent, ambitious—now even moving into insurance.
✅ Clean numbers
✅ Steady compounding
❌ No explosive growth
❌ Promoter holding slipping
Verdict:
“A solid pit stop on your portfolio journey. But don’t expect Ferrari-level acceleration.”
Metadata
Written by EduInvesting Team | 23 July 2025
Tags: MAS Financial, NBFC, Q1 FY26, Insurance, EduInvesting Premium
