L&T Finance Reports Strong Retail Growth in Q2 FY2025-26

Mumbai, October 3, 2025: L&T Finance Limited (formerly L&T Finance Holdings Limited) has released its business update for the quarter ended September 30, 2025, showcasing robust momentum in its retail lending franchise. The company’s retailisation ratio improved further to an estimated 98% in Q2 FY2025-26, compared with 96% in the corresponding period last year, reflecting its continued strategic focus on building a high-quality retail portfolio. Retail Disbursement Performance Retail disbursements during the quarter are estimated at ₹18,850 crore, marking a ~25% year-on-year increase from ₹15,092 crore in Q2 FY2024-25. Segment-wise performance indicates broad-based growth across key categories: Rural Business Finance: ₹6,310 crore (up 16% YoY) Farmer Finance: ₹1,650 crore (down 7% YoY) Urban Finance: ₹8,140 crore (up 30% YoY) SME Finance: ₹1,460 crore (up 17% YoY) Gold Finance: ₹980 crore (newly introduced segment) Acquired Portfolio: ₹310 crore (down 10% YoY) The expansion in urban and rural segments contributed significantly to the overall growth, while the launch of gold financing added a new avenue for retail lending. Loan Book Growth As of September 30, 2025, L&T Finance’s retail loan book is estimated at ₹1,04,500 crore, representing a ~17% increase from ₹88,975 crore in the previous year. This growth underlines the company’s transition into a predominantly retail-focused lender. Provisional Disclosure The company has clarified that the above figures are provisional and remain subject to a limited review by statutory auditors. The disclosure was filed with the National Stock Exchange of India and BSE Limited, signed by Apurva Rathod, Company Secretary and Compliance Officer.