TATA CAPITAL Q2 CONCALL : NET PROFIT SURGES 51% YOY, AUM CROSSES ₹3 LAKH CR; MANAGEMENT GUIDES 23–25% AUM GROWTH & EXPECTS MARGIN RECOVERY IN Q4

• MANAGEMENT MAINTAINS AUM GROWTH GUIDANCE OF 23–25%, SUPPORTED BY HOUSING FINANCE, RETAIL LENDING, SME FINANCING & HIGH-MARGIN BUSINESSES • MANAGEMENT EXPECTS NIM PLUS FEES TO REMAIN STABLE OR IMPROVE MARGINALLY IN Q3 FY27, WITH CLEARER IMPROVEMENT EXPECTED IN Q4 • MANAGEMENT EXPECTS MOTOR FINANCE PORTFOLIO TO STABILISE IN Q3 FY27 & RETURN TO GROWTH FROM Q4, FOLLOWING RECENT PORTFOLIO CONTRACTION • MANAGEMENT EXPECTS STRONGER RETAIL LENDING MOMENTUM IN H2 FY27, WHILE PRIORITISING PROFITABILITY & LENDING MARGINS OVER AGGRESSIVE VOLUME GROWTH • Q2 CONSOLIDATED AUM UP 26% YOY & 6% QOQ TO ₹3,08,030 CR, WHILE AUM EXCLUDING MOTOR FINANCE GREW 32% YOY • Q2 CONSOLIDATED NET PROFIT SURGED 51% YOY & 7% QOQ TO ₹1,660 CR, WITH ROA AT 2.3% & ROE AT 14% • Q2 CONSOLIDATED DISBURSEMENTS GREW 29% YOY TO ₹51,665 CR, WHILE RETAIL & SME PORTFOLIOS CONTRIBUTED 85.4% OF TOTAL AUM • HOUSING FINANCE AUM GREW 26% YOY TO ₹95,098 CR, WITH QUARTERLY NET PROFIT AT ₹552 CR, ROA AT 2.5% & ROE AT 18% • HIGH-MARGIN BUSINESS DISBURSEMENTS SURGED 40% YOY, WHILE AUM GROWTH ACCELERATED TO 14% FROM 10% IN Q1 FY27 • GROSS STAGE 3 ASSETS REMAINED AT 1.9%, WITH PROVISION COVERAGE RATIO AT 59% & ANNUALISED CREDIT COST IMPROVING TO 0.9% FROM 1.0% IN Q1 • COST OF FUNDS INCREASED TO 7.33% FROM 7.28% QOQ, WHILE NIM DECLINED APPROXIMATELY 10 BPS DUE TO HIGHER FUNDING COSTS & HOME-LOAN PRICING PRESSURE • TATA CAPITAL APPROVED A 25 BPS LENDING-RATE HIKE, WHILE HOUSING FINANCE APPROVED A 20 BPS INCREASE, EFFECTIVE 1 NOVEMBER 2026 • COST-TO-INCOME RATIO IMPROVED 438 BPS YOY TO 35.3%, WHILE 99% OF CUSTOMERS WERE DIGITALLY ONBOARDED & 98% OF RETAIL DISBURSEMENTS USED AUTOMATED DECISIONING • MANAGEMENT INDICATED POTENTIAL CAPITAL RAISING IN H2 FY28, WITH CURRENT AVAILABLE LIQUIDITY OF APPROXIMATELY ₹36,400 CR & STANDALONE CAPITAL ADEQUACY AT 17.3% • MANAGEMENT REMAINS CONFIDENT IN GROWTH & PROFITABILITY TARGETS, BUT HIGHER BORROWING COSTS, HOUSING-LOAN COMPETITION, MOTOR FINANCE ASSET QUALITY & REGULATORY UNCERTAINTY REMAIN KEY RISKS

TATA CAPITAL LIMITED

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