Aadhar Housing Finance Shares Jump 5% as Q1FY26 PAT Rises 19% YoY, AUM Grows 22%

Mumbai, July 28, 2025 – Aadhar Housing Finance Ltd (NSE: AADHARHFC, BSE: 544176) shares surged 5% intraday to ₹521 as of 11:52 AM IST, following the announcement of strong Q1FY26 results.

The stock opened at ₹525.00 and climbed to an intraday high of ₹537.50, registering a sharp rebound from the previous close of ₹496.40. Investor sentiment was buoyed by robust earnings and operational performance for the quarter ended June 30, 2025.

Stock Performance Snapshot (As of 28-Jul-2025, 11:52 AM IST)

Aadhar Housing Finance shares have gained 5.10% trading at ₹521.70 on July 28, 2025. Aadhar Housing Finance shares have gained 13.6% over the last year, 24% year-to-date, and 14% in the previous month.

Shares of Aadhar Housing Finance Ltd opened at ₹525 on the bourses and touched an intraday high of ₹537.50, marking a fresh 52-week high. The stock also saw a low of ₹517.25 during the session. The company commands a market capitalization of ₹22,570 crore. The stock has gained significant ground from its 52-week low of ₹346.05.

Q1FY26 Financial Highlights (Consolidated)

• Aadhar Housing Finance reported Assets Under Management (AUM) of ₹26,524 crore in Q1 FY26, up 22% from ₹21,726 crore in the same quarter last year.
• Disbursements rose 32% year-on-year to ₹1,979 crore from ₹1,497 crore in Q1 FY25.
• Profit After Tax (PAT) grew 19% to ₹237 crore, compared to ₹200 crore in the year-ago period.
• The company’s net worth increased by 17% to ₹6,616 crore from ₹5,633 crore.
• Return on Assets (ROA) stood at 4.0%, slightly lower by 6 basis points compared to 4.1% last year.
• Return on Equity (ROE) dropped by 120 basis points to 14.7% from 15.9%.
• Gross Non-Performing Assets (GNPA) rose marginally to 1.34%, up 3 basis points from 1.31%.

Operational Metrics

The company has reported a total income of ₹851.34 crore, reflecting its solid revenue-generating capability for the reporting period. Total expenses stood at ₹546.19 crore, indicating prudent cost management and operational efficiency. In terms of profitability, the company delivered a Basic Earnings Per Share (EPS) of ₹5.50, while the Diluted EPS stood at ₹5.37, underscoring steady value creation for shareholders.

Capital adequacy remained quite strong, with the Capital Adequacy Ratio (CRAR) at 44.61%. Liquidity also remained ample, as reflected in the Liquidity Coverage Ratio (LCR) of 354.16%, ensuring the firm is well-positioned to meet short-term obligations without stress.

Asset quality stayed stable with Net Non-Performing Assets (Net NPA) at 0.94%, reflecting sound credit underwriting and risk management practices. However, the Provision Coverage Ratio (PCR) was at 32.44%, which could be an area to watch, as a higher PCR generally indicates stronger buffers against potential asset quality deterioration.

Overall, the company demonstrated a robust financial and operational position with strong capital and liquidity buffers, maintaining healthy earnings and stable asset quality.

Management Commentary

Rishi Anand, Managing Director & CEO, stated: “We concluded the first quarter of FY26 on a strong note with an AUM of ₹26,524 crore, reflecting a 22% YoY growth. Disbursements remained healthy at ₹1,979 crore, supported by sustained demand in the affordable housing segment. PAT stood at ₹237 crore, up 19% YoY.”

He also highlighted a credit rating upgrade from CARE Ratings to AA+ with a stable outlook, as well as the company’s expansion into Assam with a new branch in Guwahati.

Regulatory & Capital Market Updates

• NCD Proceeds: ₹400 crore raised via listed NCDs in Q1FY26; fully utilised as per SEBI Regulation 52(7)
• IPO Proceeds: ₹1,000 crore raised in May 2024; only ₹566 lakh pending utilisation for issue expenses
• ESOP Activity: 6,74,889 equity shares allotted under ESOP in the quarter
• Security Cover: 1.10x (Pari-passu); 1.13x (Exclusive) as per SEBI Regulation 54(3)

About Aadhar Housing Finance

Aadhar Housing Finance Ltd., incorporated in 2010 and listed since May 2024, is a leading housing finance company serving economically weaker and low-income groups. It operates across 591 branches in 22 states, providing loans for home purchase, construction, improvement, and LAP products. The company maintains strong risk metrics and asset quality, with a diversified funding base that includes NCDs, NHB financing, and term loans.

REF: https://nsearchives.nseindia.com/corporate/AHFL2021_25072025181011_results_Jun25_2sd.pdf

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