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Religare Enterprises Limited
NSE: RELIGARE BSE: 532915 INE621H01010 Financial Services NBFC 🔎 Screen
Microcap 250
₹8,534 Cr
Market Cap
3.31
P/B
3.5%
ROCE
3.2%
ROE
0.17
D/E
0.6%
Fin. Margin
-11.6%
% from 52W High
51
α RS
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📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
Shareholding
About

Religare Enterprise Ltd, incorporated in 1984, is a diversified financial services company with presence all over India, operating through its subsidiaries. The Co. provides loans to SMEs, Affordable Housing Finance, Health Insurance and Retail Broking. REL’s subsidiaries service over 11 lakh clients from over 1,275 locations having presence in more than 400 cities.

✓ Strengths

No strengths data yet.

! Concerns 6
  • Stock is trading at 2.94 times its book value
  • Though the company is reporting repeated profits, it is not paying out dividend
  • Company has low interest coverage ratio.
  • Promoter holding is low: 30.6%
  • Company has a low return on equity of 4.46% over last 3 years.
  • Earnings include an other income of Rs.34.8 Cr.
Key Ratios Snapshot
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📈 Growth Pattern
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Weak/mixed quarter: consolidated revenue grew 26% to ₹2,358.4 Cr, but PAT swung to a ₹46.9 Cr loss from ₹8.1 Cr profit as insurance underwriting strain and financial-services drags outweighed Care premium growth and broking strength. quarter Investor Presentation One-Pager? Jun 2026
Revenue
₹2,358.4 Cr
+26% YoY vs ₹1,876.3 Cr
PAT
₹(46.9) Cr
vs +₹8.1 Cr in Q1FY26; swung to loss
Key Metric
Care GWP ₹3,247 Cr
+37% YoY; SAHI market share 24%
What Went Right
  • Broking PAT rose 65% YoY to ₹7.5 Cr on total income of ₹99.5 Cr (+7% YoY), with Assets Under Custody at ₹47,946 Cr (+14% YoY).
  • Care GWP grew 37% YoY to ₹3,247 Cr and retail GWP jumped to ₹1,762 Cr from ₹1,279 Cr; SAHI market share improved to 24%.
  • RFL stayed debt-free with CRAR 238.4%, NNPA 0.8% and ~98% collection efficiency; net worth rose 17% YoY to ₹913.7 Cr.
  • Consolidated cash and equivalents increased 170% YoY to ₹378.3 Cr; Care investment AUM rose 34% to ₹11,751 Cr.
  • RHDFCL remains adequately capitalised with CRAR 121%, no external borrowings and a ₹250 Cr capital commitment from REL.
What to Watch
  • Consolidated PBT swung from +₹5.7 Cr to -₹76.7 Cr; PAT was -₹46.9 Cr vs +₹8.1 Cr.
  • Care's I-GAAP (1/n) PBT loss deepened to -₹131 Cr from -₹19 Cr; combined ratio worsened to 110.7% from 109.9% (claims ratio 77.2% vs 76.9%).
  • RFL's earnings quality is weak: PPOP was -₹5.1 Cr vs +₹3.6 Cr a year ago; the reported ₹15.1 Cr PAT came from ₹20.2 Cr of net excess provisions/recoveries, while total income fell 25% YoY.
  • RHDFCL's PAT loss widened to -₹5.0 Cr from -₹4.15 Cr; GNPA rose QoQ to 4.4% from 3.5% and the book is still sub-scale at ₹247 Cr AUM.
  • REL standalone loss worsened to -₹9.62 Cr from -₹6.14 Cr; the RBI's Aug 6 demerger communication adds regulatory overhang and no resolution timeline was given.
Investor Lens
Thesis is weakened for consolidated earnings: revenue growth is real, but it is not converting into profit. REL's consolidated PBT swung to -₹76.7 Cr and segment reporting shows an insurance-segment PBT loss of -₹87.3 Cr, even though Care's GWP grew 37%; Care's I-GAAP 1/n combined ratio of 110.7% shows premium growth still carries seasonal underwriting strain. Broking is the one clean profit engine (PAT +65%, ₹7.5 Cr); RFL's PAT is recovery-driven (PPOP -₹5.1 Cr), and RHDFCL's loss widened to -₹5.0 Cr. The ₹250 Cr RHDFCL commitment and Care's ₹200 Cr Tier-II raise add capital, but there is no disclosed timeline for RFL's lending restart or RHDFCL profitability. Watch Q2FY27 for a positive consolidated PBT, insurance combined-ratio improvement, RFL disbursements, and RBI clarification on the demerger.
From investor presentation · AI-generated analysis · Not investment advice
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📉 WEAK Revenue up 26% to ₹2,353 Cr, but PAT turns -₹47 Cr vs +₹8 Cr YoY
Revenue
Revenue grew 26.4% YoY to ₹2,353 Cr, but fell 4.6% sequentially from ₹2,466 Cr in Mar 2026. The YoY growth is healthy, though the quarterly decline points to momentum loss.
Profitability
Net profit was a loss of ₹47 Cr against a profit of ₹8 Cr in Jun 2025, a swing of -687.5% YoY. EPS stood at -₹0.77 versus ₹0.31 a year ago. PBT was -₹77 Cr, with a negative tax rate of -39%.
Margins
Operating margin turned negative at -2.1% versus +0.8% YoY and +6% in the previous quarter. Operating profit was -₹49 Cr, indicating significant cost pressure and negative operating leverage.
Cash Flow
No cash flow data disclosed in the provided information.
Balance Sheet
Debt-to-equity ratio stood at a low 0.17, suggesting limited leverage. However, ROCE at 3.06% and ROE at 3.17% are weak, reflecting poor return generation on capital.
Key Risks
Sequential revenue decline (-4.6% QoQ) combined with widening losses signals weakening demand or pricing power. Negative OPM of -2.1% indicates elevated fixed costs. The 90.64 PE with negative EPS suggests the market is pricing in a significant turnaround that is yet to materialise.
Outlook
The company needs to reverse the sequential revenue decline and restore operating margins to positive territory. Sustained YoY revenue growth of 26% is encouraging, but cost discipline and earnings recovery are critical for future performance.
Generated by AI · Jun 2026 results · Not investment advice
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Revenue by Segment

Segment Q3FY26 Q4FY26 Trend
(a) Investment and Financing Activities
50
EBIT 4
65
EBIT 117
(b) Broking Related Activities
81
EBIT 4
86
EBIT 10
(c) E-Governance
15
EBIT 1
(d) Insurance
2,314
EBIT 41
(e) Unallocated
1
EBIT -42
E-Governance
12
EBIT 0
Insurance
1,932
EBIT -111
Total 2,075 2,481

Source: NSE Integrated Filing XBRL (Reg. 33 Ind AS). Values in ₹ Crore.

🏦 Banking KPIs

NIM, GNPA, CASA, CAR, ROA, ROE and more — extracted from investor presentations
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Guidance vs Delivery — management track record
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Investment Risk:
Investing in securities, including equities and mutual funds, involves inherent risks, including the potential loss of principal. All investments are subject to market fluctuations, regulatory changes, and other risks that may affect their value. Past performance is not indicative of future results. This report is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This report does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a SEBI-registered investment adviser or other qualified financial professional before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities or financial instruments discussed in this report. Any such positions, if material, are disclosed to the best of the author's knowledge and are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company, institution, or third party.

Information Sources:
The analysis and opinions expressed herein are based on publicly available information, including but not limited to company filings with the BSE/NSE, annual reports, management commentary, investor presentations, data from the Reserve Bank of India (RBI), SEBI, industry publications, and other reliable financial data sources. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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