L&T Finance Share Price in Focus; CEO Says Company is Building its Own Cloud

L&T Finance is intensifying its focus on technology-led transformation as it moves beyond traditional lending operations.  

As per The Moneycontrol report, Managing Director and Chief Executive Officer Sudipta Roy said the company is building its own UPI-based payments platform while continuing to invest in artificial intelligence-driven credit assessment tools that are already delivering lower credit costs in its retail lending business. 

AI Engine Driving Loan Underwriting Performance 

Roy highlighted the performance of Cyclops, the company’s AI-powered underwriting platform launched for two-wheeler loans in June 2024.  

The system uses deep-learning algorithms and evaluates borrowers through a combination of credit bureau information, banking transaction data and alternative datasets, including UPI transaction behaviour.

According to Roy, Cyclops operates with 18 parallel scorecards to generate underwriting decisions. The platform has helped build a loan portfolio of approximately ₹3,000 crore, with a credit cost of around 2%, significantly below the industry level of more than 7% in the two-wheeler financing segment. 

Explaining the platform’s capabilities, Roy said, “We are able to cut between good and bad credit like a fine scalpel using Cyclops.” 

Company Developing Proprietary Payments Platform 

L&T Finance is also working on its own QR-code-based UPI payments platform after obtaining an NPCI licence last year. The company plans to partner with a correspondent bank to launch the service. 

Roy said the objective extends beyond payment processing. The platform is expected to help onboard new customers, create opportunities for future lending and cross-selling, and generate additional transaction data that can strengthen underwriting and customer engagement models. 

He noted that the company currently serves around 2.8 crore customers and ranks among the largest non-banking financial companies in India by customer count. 

Focus On Niche Customer Acquisition 

While several financial institutions have expanded into digital payments, Roy indicated that L&T Finance does not intend to compete directly with large-scale payment providers. 

He said, “We do not want to be a PhonePe or Google Pay.” Instead, the company plans to pursue a measured growth strategy focused on affluent and prime customers, with an emphasis on technology-enabled experiences rather than rapid scale. 

According to Roy, the payments business will be developed gradually, incorporating advanced technology tools while maintaining a disciplined customer acquisition approach. 

AI Expected to Influence Future Valuations 

Looking ahead, Roy believes artificial intelligence will increasingly become a differentiating factor in corporate valuations. He said investors may begin assigning premium valuations to businesses that successfully use AI to transform operations and improve profitability. 

Roy stated, “I believe there's a set of companies which will emerge as AI Alpha companies and will set a distance from the rest of banks or NBFCs.” 

He added that over the next 12 to 18 months, companies are likely to provide clearer evidence of AI-driven improvements through metrics such as earnings growth, return on assets and lower credit costs. 

Read More: RBI Board Clears Historic ₹2.87 Lakh Crore Surplus Transfer in FY26! 

L&T Finance Share Price Performance 

As of 22 May 2026, L&T Finance share price closed at ₹270.15 per share, reflecting a surge of 0.11% from the previous closing price. 

Conclusion 

L&T Finance’s technology strategy spans both AI-powered lending and digital payments infrastructure. With Cyclops already supporting credit decisions and a proprietary UPI platform under development, the company is positioning technology as a central pillar of its future growth and customer engagement strategy. 

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