Aadhar Housing Finance Ltd , a leading player in India's low-income housing finance sector, has announced robust financial results for the second quarter and first half of fiscal year 2026, demonstrating strong growth across key metrics. The company has also reported no deviation in the utilization of its Initial Public Offering (IPO) proceeds.

Strong AUM and Profit Growth

The company reported a significant 21% year-on-year increase in Assets Under Management (AUM), reaching ₹27,554.00 crore as of September 30, 2025, up from ₹22,817.00 crore in the corresponding period last year. This growth underscores Aadhar Housing Finance's expanding presence in the affordable housing segment.

Profit After Tax (PAT) for H1 FY26 grew by 18% to ₹504.00 crore, compared to ₹428.00 crore in H1 FY25. The Q2 FY26 PAT stood at ₹266.00 crore, marking a 17% increase from ₹228.00 crore in Q2 FY25.

Key Financial Highlights

The company's total income for H1 FY26 increased by 18% to ₹1,751.00 crore, reflecting strong operational performance. Net worth stood at ₹6,894.00 crore as of September 30, 2025, showing a 17% growth from the previous year.

Stable Asset Quality and Returns

Aadhar Housing Finance maintained a stable asset quality with Gross Non-Performing Assets (GNPA) at 1.42% of AUM as of September 30, 2025, compared to 1.29% a year ago. The Return on Assets (ROA) for H1 FY26 remained steady at 4.2%, while the Return on Equity (ROE) was 15.1%, reflecting efficient capital utilization.

Expanding Customer Base

The company's total number of loan accounts reached over 3,15,000 by the end of September 2025, indicating its growing reach in the affordable housing finance segment.

IPO Proceeds Utilization

Aadhar Housing Finance Limited submitted its monitoring agency report for the quarter ended September 30, 2025, confirming no deviation in the utilization of proceeds from its Initial Public Offering. ICRA Limited, the monitoring agency, reported that the company's use of IPO funds remained aligned with stated objectives.

The company raised ₹1,000.00 crore through its IPO (excluding OFS portion) with net proceeds of ₹952.33 crore. Out of the total amount, ₹994.34 crore has been utilized as planned:

• ₹750.00 crore for meeting future capital requirements towards onward lending
• ₹202.33 crore for general corporate purposes (specifically repayment of indebtedness)
• ₹42.01 crore for issue-related expenses

The remaining unutilized amount of ₹5.66 crore consists of issue-related expenses, with ₹17.07 crore lying in the public offer account. The IPO was conducted from May 8-10, 2024, and all objects are reported to be on schedule for completion by FY25.

Management Commentary

Rishi Anand, MD & CEO of Aadhar Housing Finance Ltd, commented on the results: "We concluded the first half of FY26 on a strong note, driven by healthy operational performance and steady demand across the affordable housing finance segment. Our AUM stood at ₹27,554.00 crore, reflecting a year-on-year growth of 21%. Profit after Tax for H1 FY26 was ₹504.00 crore, marking a growth of 18% YoY."

Anand also highlighted the potential impact of recent policy changes, stating, "The recent GST rationalisation under the 'GST 2.0' framework is a timely and welcome reform for the affordable housing ecosystem. It is expected to have a positive cascading impact, making loan ticket sizes more affordable, improving credit demand quality, and furthering financial inclusion."

Future Outlook

The company remains optimistic about the sector's growth prospects, citing government initiatives such as PMAY-Urban 2.0 and Angikaar 2025, along with a stable macroeconomic environment. Aadhar Housing Finance is well-positioned to capture emerging opportunities while continuing to drive inclusive and sustainable growth in the low-income housing finance sector.

With its pan-India presence and a focus on the Economically Weaker Section (EWS) and Low Income Group (LIG) segments, particularly in semi-urban and rural areas, Aadhar Housing Finance aims to maintain its growth trajectory in the coming quarters.

Aadhar Housing Finance Ltd , a leading player in India's affordable housing finance sector, has announced its financial results for the first half of fiscal year 2026, showcasing robust growth across key metrics.

Financial Performance

Aadhar Housing Finance reported a profit after tax of INR 5,038.00 million for H1FY26, representing an 18% growth compared to the same period in the previous year. Total income for the half-year also saw an 18% increase.

Asset Growth and Quality

The company's Assets Under Management (AUM) grew significantly, reaching INR 276.00 billion as of September 30, 2025, a 21% year-on-year increase. This growth reflects Aadhar Housing Finance's expanding presence in the affordable housing segment.

The company maintained its asset quality with a Gross Non-Performing Assets (GNPA) ratio of 1.40% as of September 2025.

Key Financial Metrics

Operational Highlights

The company's loan book expansion was supported by a 16% year-on-year growth in disbursements, which reached INR 41.00 billion for H1FY26. Aadhar Housing Finance's customer base expanded to over 315,000 live accounts as of September 30, 2025.

The company operates through 611 branches across 22 states and union territories, maintaining a 100% secured retail book focused on low-income housing segments with an average ticket size of INR 1.10 million.

Financial Efficiency

Aadhar Housing Finance's portfolio yield remained stable at 13.80% with a spread of 5.90%. The cost to income ratio improved by 30 basis points to 36.10% in H1FY26, indicating enhanced operational efficiency.

Credit Rating Upgrade

The company received a rating upgrade from CARE to AA+/Stable, reflecting its strong financial position and growth prospects.

Market Position

With its pan-India presence and focus on the Economically Weaker Section (EWS) and Low Income Group (LIG) segments, particularly in semi-urban and rural areas, Aadhar Housing Finance is well-positioned in the affordable housing finance market.

The company continues to strengthen its market position, supported by its strong balance sheet and focus on enabling home ownership for low-income families.