SG Finserve Limited (SGFIN) — Financial Results

Investor Takeaways

Record Q1 FY27 PBT of INR72 crores, up 82% YoY and 27% QoQ

Loan book grew 16% QoQ to INR4,552 crores

ROE target increased to 16% with leverage maintained at 2.2x

⚠️ Execution risks noted in new verticals like insurance brokerage

Overall Tone: Positive

Key Financial Highlights

Metric	Value	YoY Change
Revenue	Not available	N/A
Net Profit	INR72 crores	82%
EBITDA	Not available	N/A
EPS	Not available	N/A
OPM	Not available	N/A

What Changed

SG Finserve Limited (SGFIN) reported record profitability in Q1 FY27, with PBT reaching INR72 crores—a 27% quarter-on-quarter increase and 82% year-on-year growth. This performance was driven by a 16% QoQ expansion in the loan book, which reached INR4,552 crores. Management has raised its ROE target to 16% for FY27, supported by maintaining a leverage ratio of 2.2x and scaling the equity base to INR1,700 crores by FY27. The company emphasized a strategic focus on expanding into factoring, TReDS, and insurance brokerage to achieve 25-30% AUM CAGR and 30-35% profitability CAGR by FY30. Asset quality remains strong with nil NPAs and a 5.1% RoA. While the financial metrics reflect robust momentum, the filing explicitly notes execution risks associated with scaling new business verticals.

Peer Comparison

Company	P/E	ROE	ROCE	Market Cap (₹ Cr)
SG Finserve Limited (SGFIN)	31.36	Not available	Not available	3,234.64
HDFC Bank Limited (HDFCBANK)	15.5	14.3%	24.4%	1,18,1607.38
ICICI Bank Limited (ICICIBANK)	15.47	N/A%	N/A%	8,92,242
State Bank of India (SBIN)	10.44	N/A%	N/A%	8,89,093.09

SG Finserve trades at a premium to peers on P/E basis, reflecting growth expectations, though its ROE and ROCE metrics are not directly comparable due to data unavailability in the provided peer data.