Home First Finance Reports 35.5% Surge in Q1 FY26 Profit, Completes Rs 1,250 Crore QIP
Home First Finance Company reported a 35.5% year-on-year increase in profit after tax to Rs 1,188.91 million for Q1 FY26. Total revenue grew by 34.8% to Rs 4,536.14 million. Assets Under Management rose by 28.6% to Rs 134,787.00 million. The company successfully raised Rs 12,500 million through a Qualified Institutional Placement, strengthening its balance sheet. The company expanded its branch network to 158 and implemented new digital initiatives to enhance customer interactions.

*this image is generated using AI for illustrative purposes only.
Home First Finance Company , a technology-driven affordable housing finance company, has reported a robust financial performance for the first quarter of fiscal year 2026, marked by significant growth in profits and successful capital raising.
Strong Financial Performance
The company posted a profit after tax of Rs 1,188.91 million for Q1 FY26, representing a substantial year-on-year growth of 35.5% compared to Rs 877.68 million in the same quarter last year. On a sequential basis, the profit increased by 13.6% from Rs 1,046.92 million in the previous quarter.
Total revenue from operations saw a notable increase, rising to Rs 4,536.14 million in Q1 FY26 from Rs 3,364.19 million in Q1 FY25, marking a 34.8% year-on-year growth. The company's interest income, a key component of its revenue, grew by 26.8% year-on-year to Rs 3,843.79 million.
Improved Operational Metrics
Home First Finance demonstrated strong operational performance during the quarter:
- Assets Under Management (AUM) grew to Rs 134,787.00 million, showing a robust growth of 28.6% year-on-year and 6.0% quarter-on-quarter.
- Disbursements for Q1 FY26 stood at Rs 12,435.00 million, up by 7.0% year-on-year.
- The company maintained a healthy gross stage 3 assets (GNPA) ratio of 1.8%, indicating sound asset quality.
Successful Capital Raise
A significant highlight of the quarter was the completion of a Qualified Institutional Placement (QIP) on April 11, 2025. The company raised Rs 12,500.00 million by allotting 12,886,597 equity shares at Rs 970.00 per share. This capital infusion substantially strengthened the company's balance sheet, with the net worth increasing to Rs 38,551.00 million as of June 30, 2025, compared to Rs 25,213.00 million at the end of the previous quarter.
Expansion and Digital Initiatives
Home First Finance continued its expansion strategy:
- Added 3 new physical branches during the quarter, bringing the total branch count to 158.
- Increased its presence to 142 districts across 13 states.
- Grew its employee base to 1,709, adding 75 net employees during the quarter.
The company also made strides in its digital initiatives:
- Integrated DigiLocker into its document verification process.
- Launched "Pulse", an omni-channel conversational AI platform to enhance customer interactions.
Management Commentary
Manoj Viswanathan, Managing Director and CEO, commented on the results: "Q1 FY26 saw consistent business delivery with Assets Under Management (AUM) growing to ₹13,479 Cr, registering a growth of 28.6% y-o-y and 6.0% q-o-q. The key highlight from the quarter was the successful QIP of ₹1250 Cr and a subsequent upgrade of our long-term credit rating to AA (Stable) by ICRA, IndRa and CARE."
He further added, "This capital infusion augments HomeFirst's capital base and further strengthens our ability to expand our footprint, deepen customer engagement, and deliver sustained value to all stakeholders."
Outlook
With a strong capital base, expanding distribution network, and focus on technology-driven operations, Home First Finance appears well-positioned for continued growth in the affordable housing finance segment. The company's commitment to digital initiatives and customer-centric approach is likely to drive further operational efficiencies and market penetration in the coming quarters.
Historical Stock Returns for Home First Finance Company
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-1.21% | -19.05% | -9.30% | +24.38% | +16.77% | +126.95% |