HomeLatestAadhar Housing Finance Eyes Rs 25,000 Crore AUM by March 2025, Reports...

Aadhar Housing Finance Eyes Rs 25,000 Crore AUM by March 2025, Reports 24% Profit Growth

Aadhar Housing Finance, a key player in the affordable housing segment, aims to achieve an Asset Under Management (AUM) of over Rs 25,000 crore by March 2025. In the first half of FY 2024, the company reported an AUM of Rs 22,817 crore, up from Rs 18,885 crore as of September 2023. With a projected growth rate of 23-24%, the company expects its AUM to grow to Rs 25,000-26,000 crore by the end of the financial year.

Rishi Anand, Managing Director and CEO of Aadhar Housing Finance, highlighted the company’s focus on the low-income housing sector, where the average loan size stands at Rs 10 lakh with a loan-to-value ratio of 59%. Notably, 56% of the portfolio is catered to the salaried customer segment. In the first half of the year, Aadhar Housing Finance saw a 24% growth in profit, reaching Rs 428 crore compared to Rs 344 crore in the same period the previous year. The company also maintained a healthy Gross NPA (Non-Performing Asset) ratio of 1.29%, which saw a slight reduction of 6 basis points, along with a robust collection efficiency of 99%.

To fund its expansion plans, the company intends to raise Rs 500 crore through non-convertible debentures (NCDs) and explore external commercial borrowing to diversify its funding sources. Aadhar Housing Finance, which went public in May 2024, is also focused on expanding its distribution network. The company has added 22 new branches this financial year and plans to open 50 more branches in the coming months, bringing its total to 545 branches across 21 states. This expansion is part of the company’s strategy to reach deeper markets and serve its growing customer base, with over 2.77 lakh active accounts across the country.

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