Can Fin Homes reported Q2 FY27 disbursements of INR 2,375 crore, citing temporary operational slowdowns due to its 'Project Tejas' IT migration. With the new system now fully live, management expects a recovery in disbursements for H2 to meet its FY27 guidance of INR 13,000 crore. The company maintains steady NIM targets and is aggressively expanding its sales team to leverage increased operational efficiency.
Can Fin Homes Completes IT Overhaul After Q2 Disbursement Dip
Q2 FY27 Disbursements: INR 2,375 crore
FY27 Disbursement Target: INR 13,000 crore
Reader Takeaway: Project Tejas is now live, removing operational friction, though the company faces a tight H2 recovery timeline.
What just happened
Can Fin Homes has finalized its 'Project Tejas' IT transformation as of October 1, 2026. This comprehensive digital overhaul, which includes new Loan Origination and Loan Management systems, was the primary cause of a temporary operational slowdown in Q2. Management reported that branches undergoing implementation saw disbursement volumes drop by 70-75% during the transition month, leading to total quarterly disbursements of INR 2,375 crore.
Why this matters
The completion of Project Tejas removes the bottleneck that hampered Q2 performance. With the system now fully functional, the company is shifting its focus to an aggressive recovery in H2. To meet the annual disbursement guidance of INR 13,000 crore, Can Fin Homes must hit a run rate of approximately INR 3,500 crore per quarter for the remainder of the fiscal year. Success here is essential for maintaining the firm’s target of 13-14% AUM growth for FY27.
Strategy and Operations
Efficiency gains from the new IT platform are allowing the company to reallocate resources. Can Fin Homes plans to expand its sales team from 90 to 150 members by utilizing staff freed up by digital automation. Additionally, the company is continuing its branch expansion, having opened 25 new branches in FY27 with a total target of 28 for the full year. Margins remain a key focus; the company has successfully passed on a 10 basis point interest rate hike to customers to offset funding costs and maintain a 3.75% NIM.
What to track next
Investors should closely monitor the disbursement figures in Q3 and Q4. The market will be looking for confirmation that the IT transformation has indeed enabled higher productivity and faster loan processing. Furthermore, the ability to maintain NIMs of 3.75% amidst fluctuating borrowing costs will be a crucial indicator of the company's interest rate risk management.