India Shelter Finance Corporation Limited , a leading player in the affordable housing finance sector, has reported robust financial performance for the second quarter, demonstrating strong growth and strategic expansion.

Financial Highlights

The company's financial results for Q2 showcase impressive year-on-year growth:

The company's Assets Under Management (AUM) reached ₹9,252.00 Crore, marking a significant 31% increase from the previous year. This growth aligns with India Shelter Finance's strategic goal of achieving sustained AUM growth of over 30%.

Strategic Initiatives

India Shelter Finance is implementing several key strategies to drive its growth:

1. Branch Expansion: The company added 9 new branches in Q2, bringing its total geographic presence to 299 branches across 15 states. This expansion is part of its plan to deepen penetration in Tier-II and Tier-III markets.

2. Technology-Driven Underwriting: The company is leveraging technology to enhance its underwriting processes, aiming to improve efficiency and risk assessment.

3. Asset Quality Management: India Shelter Finance maintains strong asset quality with a gross NPA below 1.2%, reflecting its robust risk management practices.

4. Credit Rating: The company holds an AA- rating, which supports its growth strategy in the affordable housing segment.

Operational Performance

• Spread: The company's spread expanded by 30 basis points year-on-year to 6.4% in Q2.
• Return on Equity (ROE): ROE stood at 17.0% for the quarter, indicating efficient capital utilization.
• Cost of Funds: The cost of funds improved by 10 basis points quarter-on-quarter to 8.5%.

Market Position and Future Outlook

India Shelter Finance continues to focus on serving the underserved customer base, with 71% of its borrowers being first-time mortgage borrowers and 91% located in Tier II and Tier III cities. The company's strategy of expanding its branch network and leveraging technology for underwriting is expected to drive sustained growth in the coming quarters.

Rupinder Singh, Managing Director and CEO of India Shelter Finance Corporation, commented on the performance, stating, "We are pleased to announce that the Company delivered another quarter of sustained performance. We delivered an AUM growth of 31% YoY, reaching an AUM of Rs. 9,252 Crores. In Q2, we disbursed Rs. 931 Crores, registering a growth of 12% YoY."

As India Shelter Finance continues to execute its growth strategy, the company appears well-positioned to capitalize on the opportunities in the affordable housing finance sector, targeting sustained AUM growth of over 30% through its multi-pronged approach of branch expansion, technology adoption, and market penetration.

India Shelter Finance Corporation Limited has announced robust financial results for the second quarter of fiscal year 2026, showcasing strong growth across key metrics.

Financial Highlights

India Shelter Finance Corporation delivered impressive quarterly results:

• Assets Under Management (AUM) grew 31% year-on-year to Rs. 9,252.00 crores
• Disbursements reached Rs. 1,817.00 crores, up 12% year-on-year
• Profit after tax increased 35% to Rs. 122.00 crores, compared to Rs. 90.00 crores in the same quarter last year
• Net income grew 30% year-on-year to Rs. 260.00 crores

Asset Quality and Performance Metrics

The company maintained strong asset quality and performance:

• Gross Stage 3 assets: 1.20%
• Net Stage 3 assets: 0.90%
• Return on Assets: 5.80%
• Return on Equity: 17.00%

Operational Expansion

India Shelter Finance continued its growth trajectory:

• Added 9 new branches during the quarter
• Total network expanded to 299 locations across 15 states

Financial Management

The company demonstrated effective financial management:

• Cost of funds improved by 10 basis points quarter-on-quarter to 8.50%
• Spreads expanded to 6.40%
• Maintains a liquidity buffer of Rs. 2,082.00 crores

Strategic Focus

India Shelter Finance continues to focus on:

• Providing affordable home loans
• Serving underserved segments in Tier 2 and 3 cities

The company's strong performance in Q2FY26 reflects its resilience and strategic positioning in the housing finance sector. With expanding operations and improved financial metrics, India Shelter Finance appears well-positioned for continued growth in the coming quarters.