Religare Enterprises FY26 Revenue Hits ₹8,494 Cr But PAT Plunges 150% YoY

Synopsis:- Religare Enterprises saw revenue climb, but the actual performance varied significantly across its different business lines. Care Health Insurance scaled its premiums, though accounting rules masked its bottom-line gains, while the financial arm bounced back after regulatory restrictions were lifted. 

Shares of the diversified financial services holding company came into focus after Religare Enterprises Limited filed its Q4 and FY26 investor presentation with BSE and NSE on May 12, 2026, ahead of an earnings call scheduled for May 13, 2026. The filing covers the full fiscal year ended March 31, 2026, across REL’s four operating subsidiaries.

With a market capitalization of Rs. 7,544.63 crore, the shares of Religare Enterprises Limited were trading at Rs. 226.54 per share, up 1.95 percent from its previous closing price of Rs. 222.30. It is trading at a P/E of 101.08.

REL’s consolidated revenue grew 14.7 percent to Rs. 8,494 crore in FY26 from Rs. 7,405 crore in FY25, with Care Health Insurance’s net premium income contributing over 85 percent of the top line. Profitability, however, contracted sharply. Consolidated PBT fell from Rs. 243 crore to Rs. 87 crore, and PAT from Rs. 183 crore to Rs. 73 crore.

The Insurance segment posted a segment loss of Rs. 46.8 crore at the PBT level, while the Financial Services segment generated a segment profit of Rs. 152.3 crore, a structural reversal from FY25 directions. In Q4 FY26, consolidated total income grew 20.7 percent to Rs. 2,473 crore, but PAT still contracted, to Rs. 96 crore from Rs. 151 crore in Q4 FY25, as higher commission expenses in the insurance business outpaced premium growth.

Care Health Insurance

Care Health Insurance (63.2 percent-owned by REL) grew gross written premium 24 percent to Rs. 11,417 crore on an “n basis” (where the full multi-year premium is recognised upfront) in FY26. Under the statutory IGAAP 1/n basis, which prorates multi-year premiums across the policy term, GWP stood at Rs. 10,416 crore and PBT was almost entirely erased, at Rs. 18 crore versus Rs. 208 crore in FY25.

The combined ratio on this basis worsened to 106.7 percent from 102.8 percent, with the claims ratio rising 510 basis points to 69.6 percent. Under Ind AS (which applies Ind AS 117 adjustments to insurance contracts) PBT was Rs. 519 crore, up 34 percent year on year, a materially higher figure than either IGAAP basis conveys.

Religare Finvest

The clearest positive in REL’s FY26 results was Religare Finvest, the group’s NBFC. RFL’s PAT rose to Rs. 138.8 crore from Rs. 23.8 crore in FY25, largely from provision write-backs recoveries on the legacy loan book released Rs. 93.7 crore in provisions that had previously depressed earnings. The RBI lifted its Corrective Action Plan restrictions on RFL in July 2025, and all lender banks removed fraud classifications, ending a regulatory overhang dating back to January 2018.

CRAR improved from 160.9 percent to 261.9 percent, NNPA declined to 0.8 percent, and RFL now holds Rs. 591.5 crore in cash and liquid investments against a debt-free balance sheet with net owned funds of Rs. 821.4 crore. The business describes itself as ready to ramp up secured MSME lending; the pace at which it can deploy its capital surplus into yield-generating loans will determine whether FY26’s PAT is a structural floor or a one-time recovery.

Broking and Housing Finance

Religare Broking (RBL) reported total income of Rs. 373.4 crore in FY26, down 2 percent, with PAT declining 26 percent to Rs. 23.1 crore. The full-year decline included a one-time charge under Ind AS 19 from new labour code obligations, and brokerage income slipped as derivatives volumes moderated following SEBI’s F&O market reforms. Q4 FY26, though, showed a different trajectory: income grew 18 percent year on year and PBT surged 79 percent to Rs. 12.9 crore. The E-Governance franchise expanded 16 percent to 61,129 touchpoints, and the MTF book (margin trade funding) grew 75 percent. 

Religare Housing Development Finance Corporation (RHDFCL) remained loss-making, posting a PAT loss of Rs. 18.4 crore in FY26 against Rs. 14.7 crore in FY25. AUM was flat at Rs. 243 crore; the business is adequately capitalized at 130 percent CRAR but too small to cover operating costs without scale.

Business Overview

Religare Enterprises Limited , incorporated in 1984 and now controlled by the Burman Group, operates through four subsidiaries: Care Health Insurance (63.2 percent), Religare Broking (100 percent), Religare Finvest (100 percent), and Religare Housing Development Finance Corporation (87.5 percent). 

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Religare Enterprises FY26 Revenue Hits ₹8,494 Cr But PAT Plunges 150% YoY appeared first on Trade Brains.