AYE Finance Limited has submitted a statement to BSE Limited and National Stock Exchange of India Limited confirming no deviation or variation in the utilization of proceeds raised through its Initial Public Offer for the quarter ended March 31, 2026. The filing was made pursuant to Regulation 32(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with the SEBI Master Circular dated January 30, 2026.

The company raised INR 710 Crores through a fresh issue via public issue on February 12, 2026. CRISIL Ratings Limited has been appointed as the monitoring agency for overseeing the utilization of these funds. The statement confirms that there has been no deviation in the objects or purposes for which the funds were raised, nor any deviation in the amount of funds actually utilized as against what was originally disclosed.

Key Details of IPO Proceeds Utilization

The audit committee and auditors have provided nil comments after reviewing the fund utilization. The company clarified that deviation or variation could mean deviation in the objects or purposes for which funds were raised, deviation in the amount of funds actually utilized as against original disclosure, or change in terms of a contract referred to in the fund raising document such as prospectus or letter of offer.

The statement was signed by Vipul Sharma, Company Secretary, Compliance Officer & CCO, and Sovan Satyaprakash, Interim Chief Financial Officer, on behalf of Aye Finance Limited. The company, formerly known as Aye Finance Private Limited, operates with scrip code 544699 and trading symbol AYE on the stock exchanges.

Aye Finance Limited announced its audited financial results for Q4FY26 and the full fiscal year ended March 31, 2026, delivering exceptional performance with quarterly net profit surging 110% year-on-year. The technology-driven lender focused on micro enterprises reported quarterly PAT of ₹86 crores and annual PAT of ₹194 crores, marking its first full-year results since listing on Indian stock exchanges in February 2026.

Outstanding Quarterly Performance

The company's Q4FY26 performance demonstrated remarkable growth across all key metrics. Net profit jumped 110% YoY to ₹86 crores, while Assets Under Management (AUM) grew 27% YoY to ₹7,044 crores. The quarter saw 25% YoY growth in disbursements with 70,841 new borrowers added, showcasing strong business expansion.

Improved Asset Quality and Risk Management

Aye Finance demonstrated significant improvement in asset quality with credit costs reducing by 186 basis points YoY to 4.30% for the quarter. The company achieved consistent reductions in credit costs for five consecutive quarters. Gross NPA stood at 4.80% and Net NPA at 1.80%, declining 17 bps and 19 bps respectively from the previous quarter, with a robust credit PCR of 64%.

Strong Annual Performance FY26

For the full year FY26, the company reported annual PAT of ₹194 crores, up 13% YoY despite absorbing cost impacts from new labour rules. Annual disbursements grew 20% with 2,06,833 new borrowers added during the year. The company achieved ROA of 2.80% and ROE of 9.30% for the annual period.

Management Commentary

Mr. Sanjay Sharma, Managing Director of Aye Finance Ltd, commented on the results: "In FY26, Aye Finance improved its profits and credit quality, thereby standing apart in a year defined by industry-wide over-lending and market corrections. We closed Q4 with ₹86 crores of PAT and ROE of 16% for the quarter. We have reduced our credit costs for 5 consecutive quarters while maintaining a robust credit PCR of 64%." He emphasized the company's focus on balancing growth with prudent risk management while maintaining effective underwriting for the micro-enterprise sector.

Post-IPO Financial Strength

The company's performance reflects strong execution following its successful IPO in February 2026, which raised ₹710 crores in equity. This capital infusion has enhanced the company's net worth, enabling the achievement of 16% ROE on the enlarged equity base while maintaining robust growth in the micro-enterprise lending segment across 18 states and 3 union territories.