Aadhar Housing Finance, a Blackstone-backed lender, is sufficiently capitalized to support planned expansion and annual loan growth of about 20% without raising fresh capital for at least the next four years. According to Mint, Rishi Anand, MD & CEO, stated that the company's capital adequacy today is upwards of 40%, allowing expansion of about 50 branches every year for the next four years while maintaining growth at 20-22% annually. The company plans to add about 50 branches during FY27, taking its network beyond the current 628 branches, with expansion concentrated across key markets including Gujarat as a focus state, while remaining relatively cautious on regions such as parts of eastern India and Kerala.
Housing finance company Aadhar Housing Finance Ltd has been downgraded from Buy to Hold as of July 29, 2026, reflecting a nuanced reassessment across quality, valuation, financial trends, and technical indicators. The stock's recent performance shows mixed signals, with shares closing at ₹496.40, up 0.49% from the previous close of ₹494 on BSE. Despite the rating downgrade, the company continues to demonstrate solid fundamentals with net profit rising 19% year-on-year to ₹282.36 crore compared with ₹237.28 crore in the corresponding period last year.
The company delivered robust first-quarter results, with consolidated net profit rising 19% year-on-year to ₹282.36 crore compared with ₹237.28 crore in the corresponding period last year. According to reports from The Hindu BusinessLine, the bottomline was supported by net interest income increasing 19% year-on-year to ₹510 crore from ₹428 crore in the year-ago quarter. The company also reported a significant 54% year-on-year jump in profit earned from selling or transferring loans to ₹50 crore from ₹32.5 crore previously. The strong financial performance reflects the company's sustained growth momentum and healthy business expansion during the quarter.
The company's sales rose 17.06% to ₹992.89 crore in the quarter ended June 2026, compared with ₹848.18 crore in the previous year, as reported by Business Standard. The Operating Profit Margin (OPM) improved to 75.02% from 75.58% in the corresponding quarter last year, indicating enhanced operational efficiency. The company's Profit Before Depreciation and Tax (PBDT) increased 19% to ₹372.74 crore from ₹312.27 crore previously, while Profit Before Tax (PBT) rose 19% to ₹363.63 crore from ₹305.15 crore in the year-ago quarter. These metrics demonstrate the company's ability to maintain strong profitability while scaling operations.
The company's Assets Under Management (AUM) grew 18% year-on-year to ₹31,364 crore as of June 30, 2026, compared with ₹26,524 crore a year ago, as reported by The Hindu BusinessLine. Aadhar Housing Finance maintained a portfolio of more than 3.4 lakh loan accounts as of June 30, 2026. The company's disbursements were up 19% year-on-year to ₹2,036 crore from ₹1,979 crore a year earlier. The debt-equity ratio has improved to a low 2.49 times as of the half-year mark, signalling prudent leverage management and financial stability. The gross non-performing assets (GNPA) on AUM improved marginally to 1.31% from 1.34% in the previous quarter, demonstrating stable asset quality management.
Rishi Anand, MD & CEO, highlighted that the operating environment for low income housing finance remained favourable during the quarter, supported by resilient demand, stable affordability and continued strength across Tier-II and Tier-III markets. According to Mint, Anand emphasized that the company's increasing presence in talukas and district centres is expected to strengthen growth without compromising asset quality. During the April-June quarter, home loans accounted for about 74% of disbursements while loans against property (LAP) constituted 26%, compared with the company's usual mix of about 70:30. The company continues to focus primarily on retail home loans, with LAP remaining focused on low-income households with an average ticket size of about ₹8 lakh. Anand expressed confidence that the company will close the current financial year with GNPA in the range of 1.08-1.10%, broadly in line with the previous year.
