AAVAS Financiers

AUM rises 15%, asset quality improves

The income from operation of AAVAS Financiers increased 12.33% to Rs 714.68 crore in Q4FY2026. Overall OPM eased to 73.13% in Q4FY2026 from 74.52% in Q4FY2025, leading to 10.24% rise in operating profit to Rs 522.67 crore. Other expenditure as a percentage of total income moved up to 8.33% from 7.88% in Q4FY2026. The staff cost as a percentage of total income increased to 18.54% from 17.60% in Q4FY2026.

Other income declined 88.28% to Rs 0.15 crore. Interest cost increased 3.29% to Rs 273.46 crore. Depreciation moved up 22.06% to Rs 11.95 crore. Provisions declined 12.96% to Rs 6.65 crore. PBT moved up 19.43% to Rs 230.76 crore.

The effective tax rate increased to 21.27% in Q4FY2026 compared to 20.46% in Q4FY2025. Provision for tax was expense of Rs 49.09 crore, compared to Rs 39.54 crore. Profit after tax rose 18.21% to Rs 181.67 crore.

Book value of the company was at Rs 637.8 and adjusted book value was Rs 617.7 (net of NNPA) end March 2026.

Business highlights

AUM increased 15% to Rs 23452 crore end March 2026 over March 2025, of which Home Loans contributed 65% and other mortgage loans contributed 35%.

The disbursements have increased 16% to Rs 2348.1 crore in Q4FY2026.

Spread and NIM during the quarter eased to 5.2%, while NIM improved to 8.01% respectively in Q4FY26.

The total number of branches stands at 435 end March 2026.

Gross Stage declined to 1.05% and Net Stage 3 is 0.68% end March 2026.

Net Worth grew by 16% YoY to Rs 5051 crore end March 2026.

Financial Performance FY2026

The income from operation of AAVAS Financiers increased 13.97% to Rs 2683.46 crore in FY2026. Overall OPM eased to 74.93% in FY2026 from 76.44% in FY2025, leading to 11.72% rise in operating profit to Rs 2,010.73 crore. Other expenditure as a percentage of total income moved up to 7.54% from 7.52% in FY2026. The staff cost as a percentage of total income increased to 17.53% from 16.04% in FY2026.

Other income declined 64.71% to Rs 1.38 crore. There is 8.67% rise in interest cost at Rs 1094.84 crore and 18.27% rise in depreciation to Rs 43.11 crore, Provisions increased 24.34% to Rs 33.72 crore. Profit before tax increased 14.72% to Rs 840.44 crore. There is no extraordinary item. After which, PBT increased 14.72% to Rs 840.44 crore.

The effective tax rate increased to 22.08% in FY2026 compared to 21.63% in FY2025. Provision for tax was expense of Rs 185.56 crore, compared to Rs 158.48 crore. Profit after tax rose 14.07% to Rs 654.88 crore.

 

Aavas Financiers: Standalone Results
Particulars	2603 (3)	2503 (3)	Var %	2603 (12)	2503 (12)	Var %
Income from Operations	714.68	636.21	12	2683.46	2354.51	14
OPM (%)	73.13	74.52	-139 bps	74.93	76.44	-151 bps
OP	522.67	474.11	10	2010.73	1799.72	12
Other Inc.	0.15	1.28	-88	1.38	3.91	-65
PBDIT	522.82	475.39	10	2012.11	1803.63	12
Interest	273.46	264.74	3	1094.84	1007.47	9
PBDT	249.36	210.65	18	917.27	796.16	15
Depreciation	11.95	9.79	22	43.11	36.45	18
Profit before Tax & Provisions	237.41	200.86	18	874.16	759.71	15
Provisions	6.65	7.64	-13	33.72	27.12	24
PBT before EO	230.76	193.22	19	840.44	732.59	15
EO	0.00	0.00	-	0.00	0.00	-
PBT after EO	230.76	193.22	19	840.44	732.59	15
Tax Expenses	49.09	39.54	24	185.56	158.48	17
PAT	181.67	153.68	18	654.88	574.11	14
EPS *	91.8	77.7		82.7	72.5
Equity	79.2	79.2		79.2	79.2
Adj BV (Rs)	617.7	532.1		617.7	532.1
* EPS and Adj BV are calculated on diluted equity as given for each year. Face Value: Rs 10, Figures in Rs crore, PL: Profit to Loss, LP: Loss to Profit
Source: Capitaline Corporate Database

 

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