Kissht bets on secured LAP loans as Q1 FY27 profit rises 59%
Kissht reported Q1 FY27 net profit of ₹95.1 crore on operating revenue of ₹669.5 crore, while credit costs fell to 6.8% of AUM. The lender is expanding loans against property to diversify beyond unsecured personal loans, targeting LAP break-even by Q3 FY27.
What happened
Kissht is prioritising higher-quality borrowers, lower credit costs and secured loans against property after strong Q1 FY27 growth. It aims for LAP break-even
Key facts
- Q1 FY27 consolidated net profit ₹95.1 Cr, up 59% YoY
- Q1 FY27 operating revenue ₹669.5 Cr, up 45% YoY
- AUM ₹8,001 Cr as of June 2026
- Unsecured personal loans: ₹7,384 Cr, or 92.3% of AUM
- Loans against property: ₹617 Cr, or 7.7% of AUM
- Credit cost declined to 6.8% of AUM from 8.85% YoY
- Operations resumed in about 180 of 450 paused pincodes
- Operates across nearly 17,000 pincodes; about 11,000 generate 98% of revenue
- LAP expanded to 101 branches
- Over 40% of LAP customers are cross-sold from personal loans
- Recent borrowing rates are 12%-12.9%, about 150 bps below FY26
- Operating expenses are around 18% of AUM
Why this matters
Kissht’s secured-lending buildout creates partnership and acquisition opportunities in branch networks, property underwriting, valuation and collections capabilities that can accelerate LAP scale.
What to watch
- Whether LAP reaches operating break-even by Q3 FY27 and its share of AUM rises materially above 7.7%.
- LAP disbursement growth, average ticket size, loan-to-value ratios, geographic concentration and repeat/cross-sold customer mix.
- Blended credit-cost trend after the reported 6.8% of AUM, including early-bucket delinquencies and collection efficiency.
- Branch productivity: disbursement per branch, turnaround times and cost-to-income impact from the 101-branch network.
- Changes in net interest margin, borrowing costs and lender access as the secured portfolio scales.
- Any rise in property-auction inventory, legal recovery delays, fraud incidents or collateral-value haircuts.
- Add LAP branches in urban and tier-2 markets where Kissht already has dense personal-loan customer cohorts.
- Prioritize cross-sell to proven unsecured borrowers, using repayment behavior to reduce acquisition and underwriting costs.
- Build property valuation, legal-title verification and secured-collections capabilities rather than relying solely on unsecured-loan underwriting models.
- Use lower-risk secured originations to seek cheaper warehouse lines, co-lending arrangements or improved funding terms.
- Maintain disciplined unsecured personal-loan growth to prevent a riskier borrower mix from masking LAP performance improvements.