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.

Aadhar Housing Finance Limited has announced a new Employee Stock Option Plan (ESOP) for 2025, seeking shareholder approval through a postal ballot. The plan aims to incentivize and retain talent within the company and its subsidiaries.

Key Features of the ESOP 2025

• Total Options: The plan proposes to grant up to 3,11,22,170 employee stock options, each convertible into one equity share of Rs. 10 face value.
• Option Pool Composition:
  • 1,34,06,852 new options
  • 71,75,952 ungranted options from the 2020 plan
  • 1,05,39,366 unvested options from the previous scheme

Vesting Schedule and Conditions

The plan introduces a tiered vesting schedule based on employee categories:

• Vesting period: 1-6 years
• Minimum cliff period: 1 year (except in cases of death or permanent disability)

Exercise Price and Period

• For grants within 30 days of stock exchange approval: Rs. 425.00 per option
• Subsequent grants: Up to 20% discount to market price
• Exercise period: Maximum 2 years from vesting date

Shareholder Voting

• E-voting period: October 18 to November 16, 2025
• Cut-off date for shareholder eligibility: October 10, 2025

This new ESOP plan represents Aadhar Housing Finance's commitment to aligning employee interests with company growth. By offering a mix of time-based and performance-based vesting, the company aims to motivate employees while ensuring long-term value creation.

Shareholders are encouraged to review the detailed plan and cast their votes through the electronic voting system provided by the National Securities Depository Limited (NSDL).