Ugro Capital Ltd
NSE:UGROCAP
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Ugro Capital Ltd
NSE:UGROCAP
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IN |
Ugro Capital Ltd
Ugro Capital Ltd. is a non-banking financial service company, which engages in the business of lending. The company is headquartered in Mumbai, Maharashtra and currently employs 1,111 full-time employees. The company went IPO on 2021-08-11. The firm is focused on providing capital for small businesses and customized loan solutions in eight sectors. The Company’s sectors include healthcare, education, chemicals, food processing/fast-moving consumer goods (FMCG), hospitality, electrical equipment and components, auto components, light engineering.
Ugro Capital Ltd. is a non-banking financial service company, which engages in the business of lending. The company is headquartered in Mumbai, Maharashtra and currently employs 1,111 full-time employees. The company went IPO on 2021-08-11. The firm is focused on providing capital for small businesses and customized loan solutions in eight sectors. The Company’s sectors include healthcare, education, chemicals, food processing/fast-moving consumer goods (FMCG), hospitality, electrical equipment and components, auto components, light engineering.
Strategic Realignment: UGRO is shifting focus toward high-yield, small ticket LAP (loan against property) and embedded merchant financing while running down lower-yield intermediated portfolios.
Strong AUM Growth: Consolidated AUM reached INR 15,454 crores as of December 2025, up 40% YoY and 26% QoQ, mainly driven by the Profectus acquisition.
Profitability: Consolidated Q3 FY '26 profit after tax was INR 46 crores, showing 23% YoY growth. Stand-alone profit dropped QoQ due to transaction timing and accounting, not underlying weakness.
Cost Reduction: UGRO is executing an annualized cost rationalization of INR 220 crores, with about half already achieved. The remainder will impact results in Q4 FY '26 and FY '27.
Stable Asset Quality: Gross NPA was 2.2% and net NPA 1.4% as of December 2025. Collection efficiency improved to 99%.
Funding Mix & Borrowing Cost: Off-book AUM is 36% and cost of borrowing improved to 10.24% from 10.37% last quarter.
Guidance & Outlook: Management expects improved quality and durability of earnings, with ROAs and profitability anticipated to strengthen further in FY '27.
