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Motilal Oswal Home Finance Limited (MOHFL) is the unlisted housing-finance subsidiary of Motilal Oswal Financial Services Limited (MOFSL). MOFSL reported the subsidiary's figures for the quarter and half year ended 30 September 2026 in its results filing of 29 October 2026. The short version: profit and lending grew, asset quality held, and credit cost and leverage rose.
The headline numbers
| Item | H1 FY27 / Sep-26 | H1 FY26 / Sep-25 | Change |
|---|---|---|---|
| Profit after tax (half year) | 69 | 58 | +19% |
| Profit after tax (Q2 only) | 36 | 34 | +7% |
| Net interest income (half year) | 218 | 189 | +15% |
| Assets under management | 6,476 | 5,236 | +24% |
| Disbursements (half year) | 1,348 | 940 | +43% |
| Gross NPA | 1.5% | 1.6% | Slightly lower |
| Net NPA | 0.9% | 0.9% | Unchanged |
| Capital adequacy (CRAR) | 34.9% | 42.6% | Lower |
| Gross gearing (debt to equity) | 2.9x | 2.5x | Higher |
Source: MOFSL Q2 & H1 FY27 press release and investor presentation, Housing Finance pages. Percentage changes are calculated from the rounded crore figures shown. The disbursement comparison is as printed; the presentation notes that the base period would be higher on a like-for-like basis.
What grew
Lending is expanding faster than profit. AUM rose about a quarter in a year and half-year disbursements were well above last year. Net interest income rose 15% for the half year. Profit grew 19% for the half year, but only 7% in the September quarter.
What weakened
Credit cost. Credit cost was 0.9% of average assets in H1 FY27, against 0.6% in H1 FY26 and 0.3% for full-year FY26. Higher provisions absorbed part of the income growth. That is why Q2 profit rose much less than Q2 income.
Returns. Return on equity was 8.8% in Q2 FY27, down from 9.2% a year earlier. It was 10.6% for FY26.
Pricing. Portfolio yield eased to 13.5% from 13.8%, while the cost of borrowing moved only from 8.1% to 8.0%. The spread between them narrowed slightly.
Why the capital ratio fell, and why it matters for shareholders
CRAR measures capital against risk-weighted loans. It fell from 42.6% to 34.9% because the loan book grew much faster than net worth (₹1,499 crore to ₹1,683 crore). At the same time, debt rose relative to equity, from 2.5x to 2.9x.
A housing finance company normally uses this kind of surplus capital to grow, and 34.9% is still a large cushion. For an equity holder, it matters in two ways. More leverage can lift future returns if credit quality holds. If growth continues at this pace, the company will eventually need fresh equity. Any capital raise would happen at a price the shareholder does not control. The filing does not say whether or when that might happen.
Limits of this reading
- These are segment figures in the parent's presentation, not MOHFL's own standalone financial statements. Figures there may differ by rounding or presentation.
- One page of the presentation shows H1 FY27 Housing Finance PAT as ₹66 crore. The press release and the segment table show ₹69 crore. We use ₹69 crore and note the difference.
- The half-year figures are unaudited. The audited FY26 annual figures on our company page remain the latest audited data.
- Rupee provision amounts, the on-book loan figure and the branch count are not disclosed in the presentation.
What to check next
- MOHFL's own unaudited H1 FY27 results, for provisions in rupees and the standalone balance sheet.
- Whether credit cost settles back towards FY26 levels in the second half.
- Any board or shareholder approval for a capital raise.
Unlisted shares can be illiquid and can lose part or all of their value. This article gives no price target or view on whether to invest. See the Motilal Oswal Home Finance share page for identifiers, filed annual financials and today's indicative price, and our unlisted-share comparison checklist.
Primary source
- Motilal Oswal Financial Services: press release and investor presentation, Q2 & H1 FY27, filed 29 October 2026. Housing Finance segment table, business pages and return tree.