Cholamandalam Inv & Fin stock (INE121A01024): Q4 FY26 disbursements surge 25% YoY

Cholamandalam Investment and Finance Company, a leading Indian non-banking financial company (NBFC), reported robust Q4 FY26 performance on May 12, 2026, with aggregate disbursements reaching ?32,913 crore, reflecting 25% year-on-year growth, according to ScanX Trade as of May 12, 2026. Assets under management (AUM) climbed 21% to ?2,42,630 crore. Return on assets (ROA) improved to 4.1% before a ?200 crore precautionary management overlay. The stock hit an intraday low of Rs 1,575.75, down 3.01% from the prior close, per MarketsMojo as of May 12, 2026.

As of: 12.05.2026

By the editorial team – specialized in equity coverage.

Cholamandalam Inv & Fin: core business model

Cholamandalam Investment and Finance Company Ltd operates as a diversified NBFC in India, focusing on vehicle finance, home loans, corporate mortgage loans, and loans to small and medium enterprises (SMEs), per its profile on Tickertape as of February 2026. The company also offers investment advisory services. It is part of the Murugappa Group, emphasizing retail and corporate lending. For US investors, exposure comes via global funds tracking Indian financials or ADRs, given India's growing role in emerging markets.

Main revenue and product drivers for Cholamandalam Inv & Fin

Vehicle finance remains a key driver, with robust 16% year-on-year disbursement growth noted in early 2026, fueled by market conditions and GST reductions, according to Tickertape as of February 2026. FY26 total revenue from operations hit Rs 30,981.74 crore, up 20.34% from Rs 25,745.57 crore in FY25, as reported by ICICI Direct. Profit before tax reached Rs 6,960.66 crore for FY26.

Industry trends and competitive position

In India's NBFC sector, Cholamandalam Inv & Fin holds a strong position with ROCE at 9.21% and ROE at 17.18% as of recent data from MarketsMojo. Its price-to-book value stands at 4.59, indicating premium valuation. The sector benefits from economic recovery, but faces credit cost pressures.

Conclusion

Cholamandalam Inv & Fin showcased solid Q4 FY26 growth in disbursements and AUM, with improved ROA despite a cautious overlay and intraday price pressure. The NBFC's focus on vehicle and home loans positions it well in India's expanding credit market. US investors may track it through emerging market ETFs amid global uncertainty.

Disclaimer: This article does not constitute investment advice. Stocks are volatile financial instruments.