Purple Finance Limited: FY 2025-26 Annual Report

Revenue from Operations: ₹47.65 crore
Net Loss: ₹6.44 crore

Reader Takeaway: Strong revenue growth and reduced losses but still unprofitable; watch funding concentration.

What just happened

Purple Finance Limited, a non-deposit-taking NBFC, has published its Annual Report for the financial year 2025-26. The company reported a substantial increase in revenue from operations, reaching ₹47.65 crore, up from ₹14.72 crore in the previous fiscal year. Despite this growth, the company registered a net loss of ₹6.44 crore, which is a reduction from the ₹15.55 crore loss reported in FY 2024-25.

Why this matters

The report indicates a strong growth trajectory for Purple Finance, with revenue more than doubling. The reduction in net loss suggests improved operational efficiency as the company scales. The AUM (Assets Under Management) has also grown significantly to ₹249.01 crore, reflecting an expanding loan book and market penetration.

The backstory

Purple Finance operates as a non-deposit-taking NBFC, focusing on providing secured loans to micro and small enterprises. It employs a 'phy-gital' model, integrating digital processes with a physical branch network. As of March 31, 2026, the company operated 46 branches across 7 states and had a workforce of 462 employees.

What changes now

The company has secured ₹148 crore in equity funding and raised ₹84 crore through Rights Issues. It also listed on the Wholesale Debt Segment of BSE Limited in January 2026. These strategic financial moves and listing are aimed at supporting its expansion and operational growth.

Risks to watch

A key concern is the company's continued loss-making status, indicating it is still in an investment-heavy phase. Additionally, its reliance on wholesale borrowings without access to cheaper retail deposits poses a liquidity risk. Investors should monitor the company's ability to achieve profitability while managing its funding structure.

Peer comparison

While specific peer data isn't provided in the filing, Purple Finance's focus on micro and small enterprise lending and its 'phy-gital' model place it within the competitive NBFC sector. Its reported Gross NPA of 1.48% needs to be viewed against industry benchmarks for similar lending segments.

Context metrics (time-bound)

• Revenue from Operations: Increased by 223.7% from ₹14.72 crore in FY 2024-25 to ₹47.65 crore in FY 2025-26.
• Net Loss: Reduced by 58.6% from ₹15.55 crore in FY 2024-25 to ₹6.44 crore in FY 2025-26.
• AUM: Grew to ₹249.01 crore as of March 31, 2026.
• Gross NPA: Stood at 1.48% as of March 31, 2026.

What to track next

Investors will be keen to observe Purple Finance's progress towards profitability, its ability to sustain revenue growth, and its strategy for managing funding sources to mitigate liquidity risks. Monitoring asset quality and further expansion of its branch network will also be crucial.