SRG Housing Finance Limited has completed the payment of interest and partial redemption for its secured redeemable Non-Convertible Debentures (NCDs). The transactions were executed on May 22, 2026, ahead of the scheduled due date of May 24, 2026, as the latter fell on a non-working business day.

Interest Payment Details

The company paid an interest total of ₹20,26,752.48 against a due amount of ₹22,38,007.48. The difference is attributed to Tax Deducted at Source (TDS). The interest payment record date was May 9, 2026, and the frequency of payment is monthly. The last interest payment prior to this was made on April 24, 2026.

Partial Redemption of NCDs

Simultaneously, the company undertook a partial redemption of its NCDs. The redemption amount was ₹39,39,393.94, reducing the outstanding principal to ₹23,24,24,242.42. The redemption was executed on a face value basis and categorized under 'Others - Monthly Redemption'.

The NCDs issue size aggregates to ₹26 crore, including a Green Shoe Option of ₹1 crore. The debentures are rated, secured, listed, senior, and transferable with a face value of ₹1,00,000 each.

SRG Housing Finance Limited filed its Q4FY26 investor presentation and earnings conference call transcript with stock exchanges, detailing audited financial results for the quarter and year ended March 31, 2026. The company achieved a significant milestone by crossing INR 10,000 Mn in Assets Under Management (AUM), which stood at INR 10,422 Mn, marking a 37.24% year-on-year growth. Acuite Ratings & Research Limited upgraded the company's long-term rating to ACUITE A- (Stable) from ACUITE BBB+ (Positive), reflecting improved business scale, stable asset quality, and strong capitalization profile.

Q4-FY26 and FY26 Key Financial Performance

The company recorded a Profit After Tax (PAT) of INR 93 Mn in Q4-FY26, an increase of 50.00% from INR 62 Mn in Q4-FY25. For the full year FY26, PAT grew by 33.20% to INR 325 Mn compared to INR 244 Mn in FY25. Net Interest Income (NII) for the year rose 30.90% to INR 983 Mn, while Total Net Income increased 31.90% to INR 1,220 Mn. The company maintained a healthy Capital Adequacy Ratio of 38.62% as of March 31, 2026. The following table summarizes the key performance highlights for Q4-FY26 and FY26:

* Quarterly figures are annualized

Management Guidance and Outlook

During the earnings conference call, management provided guidance for the upcoming financial year. The company targets disbursements of approximately INR 600 crores, with AUM expected to reach between INR 1,300 crores and INR 1,400 crores, optimistically targeting INR 1,500 crores. To support this growth, the company plans to expand into the southern states of Tamil Nadu and Telangana by the end of the year, adding approximately 10 to 15 new branches. Management indicated that the cost of borrowing is expected to decline from 10.88% to around 10.70% over the next one to two years. Long-term, the company aims to cross INR 2,000 crores in AUM within the next two years, with a vision to reach INR 10,000 crores to INR 20,000 crores in the longer term.

Lending Operations and Portfolio Mix

The AUM of INR 10,422 Mn is primarily composed of housing loans, which account for 72% (INR 7,502 Mn) of the portfolio, while Loans Against Property (LAP) constitute 28% (INR 2,920 Mn). Self-employed borrowers represent the majority of the customer base at 74.49% of total AUM. The average ticket size for the quarter increased by 41.10% YoY to INR 15.44 Lakhs, driven by expansion into newer markets and higher construction costs. The average loan tenure stood at 10.17 years and average LTV at 50.67% in Q4-FY26. Geographically, Gujarat leads the portfolio at 39.93% of AUM (INR 4,162 Mn), followed by Rajasthan at 36.90% (INR 3,845 Mn) and Maharashtra at 10.53% (INR 1,097 Mn).

The following table presents the product-wise portfolio details:

Funding, Liquidity and Business Presence

Outstanding borrowings in FY26 comprised borrowings other than debt securities of INR 7,882 Mn and debt securities of INR 687 Mn. The borrowing mix comprised Secured Term Loans at 90%, NCDs at 8%, and Refinance at 2%. The lender mix included Banks & NHB at 53%, Financial Institutions/NBFCs at 39%, and NCDs at 8%, supported by a diversified network of 5 PSBs, 11 private banks, and 19 financial institutions — totalling 36 lenders. The NIM for FY26 stood at 10.91% with a cost of borrowing of 10.95%. As of March 31, 2026, the company operates through 96 branches across 6 states and 1 Union Territory, serving 25,000+ customers through a 980+ employee base.

The liquidity position as of March 31, 2026 is summarized below:

Asset Quality and Stage-wise Portfolio

Asset quality continued to improve with GNPA declining to 1.77% in Q4-FY26 from 1.84% in Q4-FY25, while NNPA stood at 0.65%, reflecting the company's prudent underwriting standards and strong collection efficiency. The Cost-to-Income ratio improved to 63.14% in Q4-FY26 from 67.49% in Q4-FY25. Nearly 97% of collections are routed through automated banking channels, and around 88% of sourcing is done through field-based relationship managers. The stage-wise asset breakdown as of March 31, 2026 is as follows:

Historical Growth Trajectory

SRG Housing Finance has demonstrated a strong long-term growth trajectory with AUM recording a CAGR of approximately 36% from FY19 to FY26, and PAT recording a CAGR of approximately 32% over the same period. The following table presents the historical financial performance:

Established in 1999, SRG Housing Finance is among the early NHB-registered Housing Finance Companies in Rajasthan, focused on underserved rural and semi-urban borrowers. The company offers diversified affordable housing products including home purchase, self-construction, renovation, extension, and LAP loans. With 95%+ women co-borrowers and 94% rural loan book, the company continues to deepen its impact on financial inclusion across Tier 3/4 and semi-urban markets.