L&T Finance Sees Strong Retail Growth, Gold Loans Surge

L&T Finance Ltd

reported a strong operating performance, supported by healthy momentum across its retail lending businesses. Retail disbursements grew 27% year-on-year (YoY) to approximately ₹24,000 crore, reflecting robust credit demand and continued execution of the company’s retail-focused strategy. The retail loan book expanded at an even faster pace of 29% YoY to around ₹1.35 lakh crore, strengthening the company’s position in the retail lending market. Among key business segments, Urban Finance maintained solid momentum, with disbursements increasing 27% YoY to ₹10,320 crore. SME Finance also delivered healthy growth, recording a 24% YoY rise in disbursements to ₹1,820 crore, indicating sustained financing demand from small and medium enterprises. The standout performance came from Gold Finance, where disbursements surged 229% YoY to ₹3,230 crore. This sharp increase highlights the rapid scaling of L&T Finance’s gold loan franchise and could make the segment an increasingly meaningful contributor to overall retail growth. Another important positive was the continued improvement in the company’s retailisation strategy. Retail loans now constitute 99% of the overall loan book, compared with 98% in the corresponding period. The combination of strong disbursement growth, a 29% expansion in the retail loan book and increasing diversification across Urban, SME and Gold Finance indicates healthy business momentum. Going forward, asset quality, credit costs, margins and the sustainability of the exceptionally high growth in Gold Finance will be important factors to track alongside loan growth.