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InCred Finance reports 17% profit rise to ₹438 crore in FY26

InCred Finance, the lending technology arm of IPO-bound fintech firm InCred Holdings, posted a 17.1% increase in consolidated net profit to ₹438 crore in FY26 from ₹374 crore the previous year.

InCred Finance, the lending technology arm of IPO-bound fintech firm InCred Holdings, posted a 17.1% increase in consolidated net profit to ₹438 crore in FY26 from ₹374 crore the previous year. The company’s total income rose 36.3% to ₹2,567 crore, driven by growth in its lending business, according to an ICRA report.

The firm’s total managed assets grew 22% to ₹17,748 crore in FY26 from ₹14,512 crore in FY25. Assets under management (AUM) for InCred Financial Services Limited (IFSL) expanded 28% to ₹15,881 crore as of March 2026, though this was a moderation compared to the 37% growth seen in FY25. Personal loans made up 56% of AUM, followed by student loans at 20%, MSME loans at 8%, loans against property at 7%, loans to financial institutions at 6%, and secured school financing at 3%.

Despite revenue and asset growth, profitability moderated due to higher credit costs. Return on managed assets (RoMA) declined to 2.7% in FY26 from 3% the prior year, impacted by reduced recoveries from the legacy portfolio acquired during the KKR India Financial Services merger. IFSL, formerly KKR India Financial Services Limited, merged with InCred Holdings in 2023 and now operates as its wholly owned subsidiary across 19 states.

As of March 2026, InCred Finance continues to expand its footprint and lending portfolio, with personal loans remaining its largest vertical. The company’s financial results highlight its steady growth trajectory ahead of its planned IPO, with total income and managed assets showing significant increases year-on-year.

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