Jio Financial Services Q2: Profit Flat At INR 695 Cr

SUMMARY

On a sequential basis, the company's PAT surged 114% from INR 324.7 Cr

JFS’ operating revenue jumped 42% YoY and 60% QoQ to INR 981.4 Cr

Total expenses surged 198% YoY and 68% QoQ to INR 436.5 Cr

JFS’ operating revenue jumped 42% YoY and 60% QoQ to INR 981.4 Cr. A majority of the company’s revenue came from interest income, which stood at INR 392 Cr during the quarter. Gain on fair value changes brought in INR 180 Cr, while fees and commission income contributed INR 140 Cr. The remainder, INR 269 Cr, came from dividend income.

Including other income of INR 21 Cr, total income for the quarter stood at INR 1,002.4 Cr. Meanwhile, total expenses surged 198% YoY and 68% QoQ to INR 436.5 Cr.

The fintech major said it saw strong execution momentum across its lending, payments, asset management and insurance verticals during the quarter.

“The significant growth in business income is a direct result of the initiatives taken over the last few quarters towards scaling up profitably by pursuing a risk-calibrated growth strategy. Our expanding user base is a validation of the enthusiasm with which our offerings have been met in the market,” JFS CEO Hitesh Sethia said

Now, let’s take a deeper look at what the quarter looked like for JFS across segments.

Jio Credit

The company’s NBFC, Jio Credit Ltd, saw its AUM climb to INR 14,712 Cr at the end of September 2025, up 26% QoQ from INR 11,665 Cr.

Quarterly disbursements stood at INR 6,624 Cr, with the average cost of borrowing declining to 7.06% from 7.85% in Q1. The lending arm posted a net interest income of INR 140 Cr (up 142% YoY) and a profit of INR 50 Cr (up 62% YoY).

During the quarter, Jio Credit launched loans against exchange-traded funds (ETFs), while also expanding its home loan and LAP (loans against property) portfolio across 14 cities via digital and partner-led sourcing channels.

Jio Payments Bank

JFS’ banking subsidiary, Jio Payments Bank, saw its CASA customer base rise to 2.95 Mn (up 14% QoQ) and deposits grow 18% QoQ to INR 421 Cr.

The payments bank’s business correspondent network grew 4X during the quarter to nearly 200,000, from 50,000 in Q1. The bank also received 12 mandates from NHAI for toll collection — 11 of which are now live — and secured two bids for barrier-free MLFF toll plazas in Rajasthan.

Jio Payment Solutions

Jio Payment Solutions recorded a transaction processing volume (TPV) of INR 13,566 Cr in Q2 FY26, up 76% QoQ and 167% YoY.

The company launched tap-and-pay contactless payments in partnership with Mastercard, rolled out UPI Autopay, and introduced an SDK for merchant integration during the quarter.

JioBlackRock JV

The AMC business, JioBlackRock Asset Management, saw its AUM reach INR 15,980 Cr across nine mutual funds in under four months.

During the quarter, the JV launched six new funds, including four equity index funds, one debt index fund, and its first active equity fund.

Overall, the AMC now caters to 1.5 Lakh institutional and 6.35 Lakh retail investors, with 40% of retail AUM coming from tier II & III cities.

The joint venture’s broking and wealth management entities — JioBlackRock Investment Advisers and JioBlackRock Broking — are currently building teams and refining GTM strategies post receiving regulatory approvals earlier this year.

Jio Insurance Broking

In the insurance space, Jio Insurance Broking Ltd facilitated INR 347 Cr in premiums and issued 2.9 Lakh policies during Q2.

JFS also incorporated Allianz Jio Reinsurance, a 50:50 JV with Allianz Group, to enter the reinsurance segment during the quarter. It has also signed non-binding agreements for life and general insurance JVs.