M&M Financial Share Price Rises Over 3% After Q1 FY26 Update

Mahindra & Mahindra Financial Services share price gained nearly 2% on July 3, 2025, touching an intraday high of ₹267.45 on the BSE after the company shared its Q1 FY26 business update. At 9:31 am, the stock was up 0.86% at ₹264.20, while the Sensex traded flat. The company’s market value stood at ₹36,723 crore. Over the past year, the stock has moved between ₹235.47 and ₹333.64.

Mahindra & Mahindra Financial Services Q1 FY26 Performance

In Q1 FY26, the non-banking financial company reported total disbursements of about ₹12,800 crore, marking a modest 1% rise from last year (excluding finance leases). Business assets were estimated at ₹1,21,800 crore, up 15% year-on-year. Collection Efficiency improved slightly to 95% compared to 94% in Q1 FY25.

Asset Quality Update

As of June 30, 2025, Stage-3 assets (which are overdue) were around 3.8% to 3.9%, up from 3.7% in March 2025 and 3.6% in June 2024. Stage-2 assets stood at 5.8% to 5.9%, compared to 5.4% in March and 6.1% in June last year.

Strong Liquidity

The company maintained a solid liquidity buffer of over ₹9,600 crore on its balance sheet, ensuring it has enough funds to meet obligations.

Mahindra & Mahindra Financial Services Q4 FY25 Highlights

In the previous quarter, Q4 FY25, total income rose 15% to ₹4,245 crore compared to ₹3,706 crore a year earlier. Net interest income increased 9% to ₹2,156 crore. However, net interest margins dropped to 6.5% from 7.1%. Profit after tax stood at ₹619 crore, down 9% from ₹683 crore in the previous quarter.

Also Read: June 2025 Auto Sales: Tata Motors, Maruti Suzuki, M&M Shares in Focus!

About M&M Financial Services

M&M Financial Services is part of the Mahindra Group. It provides loans for buying new and used vehicles, construction equipment, and small business financing. The company is the only Indian NBFC listed on the Dow Jones Sustainability Index for Emerging Markets. Its subsidiaries include Mahindra Insurance Brokers and Mahindra Rural Housing Finance.

Conclusion

M&M Financial’s steady growth in disbursements and healthy asset base have boosted investor confidence. With strong liquidity and a focus on rural financing, the company remains well-positioned for the coming quarters.

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