L&T Finance ratings upgraded following sovereign action

S&P Global Ratings upgraded L&T Finance's credit ratings on August 14, 2025. The Long Term Issuer Credit Rating moved to 'BBB/Stable' from 'BBB-/Positive', and the Short Term rating improved to 'A-2' from 'A-3'.

The upgrade follows a similar action on India's sovereign credit rating. L&T Finance's stand-alone credit profile was revised upward to 'bbb-' from 'bb+', driven by expectations of maintained strengthened capital levels.

The company's risk-adjusted capital ratio is estimated at 15%-20% over the next two years, standing at 19.7% as of March 31, 2025.