Transcript of the Earnings call for quarter and half year ended 30th September, 2026

ICFL/LS/0140/2026-27 Date: November 05, 2026 BSE Limited National Stock Exchange of India Limited Listing Department, 1st Floor, Exchange Plaza, C-1, Block G, P J Towers, Dalal Street, Fort, Bandra Kurla Complex, Mumbai - 400 001 Bandra (E), Mumbai – 400 051 Scrip Code: 541336 Symbol: INDOSTAR Dear Sir / Madam, Subject: Transcript of analyst(s) / institutional investor(s) call Please find enclosed herewith transcript of analyst(s) / institutional investor(s) call held on Friday, October 30, 2026, at 12:00 noon (IST), pertaining to the Unaudited Financial Results of the Company for the quarter and half year ended September 30, 2026. The transcript is also available on the website of the Company at www.indostarcapital.com. Kindly take the above on record. Thanking you, Yours faithfully, For IndoStar Capital Finance Limited Reshma Ramchandani Company Secretary & Compliance Officer (Membership No. A38983) Enclosed: a/a IndoStar Capital Finance Limited Registered Office: Silver Utopia, Third Floor, Unit No 301-A, Opposite P & G Plaza, Cardinal Gracious Road, Chakala, Andheri (E), Mumbai - 400099, India. | T +91 22 4315 7000 | contact@indostarcapital.com | www.indostarcapital.com CIN: L65100MH2009PLC268160 “IndoStar Capital Finance Limited Q2 FY27 Earnings Conference Call” October 30, 2026 MANAGEMENT: MR. RANDHIR SINGH – MANAGING DIRECTOR AND EXECUTIVE VICE CHAIRMAN – INDOSTAR CAPITAL FINANCE LIMITED MR. JAYESH JAIN – CHIEF FINANCIAL OFFICER – INDOSTAR CAPITAL FINANCE LIMITED MODERATOR: MS. AYUSHI GUPTA – MUFG INTIME INDIA PRIVATE LIMITED Page 1 of 17 IndoStar Capital Finance Limited October 30, 2026 Moderator: Ladies and gentlemen, good day, and welcome to IndoStar Capital Finance Limited Q2 FY27 Earnings Conference Call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Ayushi Gupta. Thank you, and over to you, ma'am. Ayushi Gupta: Thank you. Good afternoon, everyone. I welcome you all to the Q2 and H1 FY27 earnings conference call for IndoStar Capital Finance Limited. To discuss the quarter's performance, we have from the management, Mr. Randhir Singh, Managing Director and Executive Vice Chairman; and Mr. Jayesh Jain, Chief Financial Officer. Before we proceed with the call, I would like to mention that some of the statements made in today's call may be forward-looking and may involve risks and uncertainties. For more details, kindly refer to the investor presentation and other filings that can be found on the company's website. Without further ado, I would like to hand over the call to the management for their opening remarks, and then we can open the floor for Q&A. Thank you, and over to you, sir. Randhir Singh: Thanks, Ayushi. Good afternoon, everyone, and thank you for joining us today. I'm Randhir Singh, Managing Director and Executive Vice Chairman of IndoStar Capital Finance Limited. On behalf of the entire IndoStar team, I extend a warm welcome to all of you on our Q2 and H1 FY27 earnings conference call. We appreciate your continued support and confidence in our company. I trust you have had an opportunity to review our financial results and investor presentation, which has been uploaded on our website and filed with the stock exchanges. Before discussing our business performance, let me set the context with the macro indicators most relevant to our business, both those that affect us directly and those that work through our customers and segments. The Indian economy continues to demonstrate resilience during the quarter despite an uncertain global backdrop characterized by geopolitical developments, elevated commodity prices and volatility across financial markets. Domestic economic activity remained healthy, supported by resilient consumption, sustained infrastructure spending and continued investment activity. Reflecting the strength of these underlying trends, the Reserve Bank of India revised its FY27 GDP growth forecast upwards to 7.1% from 6.7% earlier. At the same time, inflationary pressure resurfaced during the quarter. CPI inflation increased to 4.82% in August 2026, driven largely by food and fuel prices. In response, the MPC committee increased the repo rate by 25 basis points to 5.50% and adopted a calibrated tightening stance. While interest rates have moved modestly higher, overall credit demand across the economy remains healthy and broad-based. Page 2 of 17 IndoStar Capital Finance Limited October 30, 2026 The quarter was also characterized by weather-related challenges, uneven monsoon distribution and strengthening El Nino conditions created concerns around agriculture activity and rural demand in certain regions. However, urban demand remained resilient and the festive season contributed positively to consumption trends, trade activity and transportation demand across several markets. From a credit demand perspective, the operating environment remained constructive. Non-food bank credit grew 18.8% year-on-year in August 2026 and strengthened further to 19.4% by September end, reflecting healthy demand across retail, agriculture industry and service segments. Credit growth to the services sector remained particularly strong at 24.3%, supported by lending to trade, NBFCs and commercial real estate. Looking specifically at the vehicle finance ecosystem, demand conditions remained supportive during the quarter. Transportation activity continued to benefit from infrastructure execution, replacement demand and healthy logistics activity. Vehicle finance credit within the NBFC sector grew 15.4% year-on-year as of August 2026, reflecting healthy activity levels across transportation linked segments. Industry outlook also remained encouraging. ICRA expects NBFC vehicle finance portfolios to continue growing at a healthy pace over FY26 and FY27, supported by increasing financing penetration and replacement demand, while lenders continue to focus on improving portfolio quality and risk-adjusted returns. ICRA has also highlighted the growing role of pre-owned vehicle financing with the share of used vehicles in NBFC portfolios expected to exceed 41% by FY27. Against this backdrop, our focus during the quarter remained firmly centered on accelerating growth while maintaining portfolio quality. As the operating environment continues to evolve, we remain committed to building a stronger and more resilient franchise through disciplined underwriting, prudent risk management and consistent execution. Over the last several quarters, we have undertaken a number of initiatives to strengthen customer selection, enhance credit assessment and improve portfolio monitoring capabilities. We continue to refine our underwriting framework through proprietary scorecards, product-specific filters and system-driven decision-making processes. At the same time, we have strengthened our monitoring architecture through enhanced early warning systems, technology-led portfolio surveillance and a continued focus on collection effectiveness. These efforts are directed towards improving the quality of the new originations, enhancing portfolio resilience and creating a stronger foundation for sustained profitability. We are encouraged that the benefit of these actions are increasingly visible across customer quality metrics, portfolio behavior and overall asset quality trends. Let me now move to our operating performance, beginning with disbursements. During the quarter, retail disbursements stood at INR1,399 crores compared to INR1,235 crores in the previous quarter and INR927 crores in the corresponding period last year. For H1 FY27, retail disbursements stood at INR2,634 crores. Page 3 of 17 IndoStar Capital Finance Limited Oc [Showing first 8,000 characters — download PDF for full document]