Shriram Finance shares touched a day high of Rs 1,051 on the NSE after strong Q1 results, before reversing sharply and slipping into the red.

The results themselves were solid. Shriram Finance reported a standalone net profit of Rs 3,447 crore for the June quarter, up 60% from Rs 2,154 crore a year earlier, well ahead of the Rs 3,065 crore analysts had expected.

Core income, or net interest income, rose 33.6% to Rs 7,712 crore, also beating estimates. The loan book kept growing too.

Assets under management reached Rs 3.13 lakh crore, up 15.3% from Rs 2.7 lakh crore a year ago. Return on assets improved to 3.93% from 2.76%, though return on equity slipped to 12.76% from 18.73% last quarter.

Asset quality was the one soft spot. Gross bad loans edged up to 4.64% from 4.58% in March, while net bad loans held steady at 2.33%. Provisions for loan losses rose to Rs 1,463 crore from Rs 1,409 crore.

This comes months after Japan’s MUFG Bank completed a Rs 39,618 crore capital infusion into the company in April, meant to strengthen its balance sheet and lower borrowing costs.

The board also approved a final dividend of Rs 6 per share for FY26 at its annual meeting earlier this month.

Zooming out, the stock has had a strong run over the past year, up close to 59%, even though it is nearly flat for 2026 so far, down about 1.2% year to date.

It also remains below its 52 week high of Rs 1,108, hit in February. As of 14:41 pm, Shriram Finance shares were trading at Rs 1,002.70 on the NSE, down 2.25% on the day.

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