• Segmental growth performance: Tata Capital posted March quarter PAT growth of around 47% and NII growth of around 18%, driven by retail and SME segments that constitute 86% of the overall portfolio and saw 25% to over 30% growth across housing finance, vehicle loans, and loan against property.
• Asset quality improvement: Tata Motor Finance turned profitable in the fourth quarter after breaking even in the third quarter, while retail unsecured credit costs declined quarter-on-quarter.
• Unsecured portfolio expansion: Retail unsecured loans currently make up 10.3% of the total loan book, with management accelerating the segment to increase its portfolio contribution by about 1% next year amid industry-low credit costs.
• Long-term business strategy: The company is focusing on resilience through diversification across more than 25 products and geographies, prioritizing risk control over growth and embedding GenAI to steadily reduce operating costs.