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Hot Pursuit News

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(25 Apr 2025, 11:25)

AAVAS Financiers Q4 PAT rises 8% to Rs 154 crore

AAVAS Financiers’s standalone net profit jumped 7.75% to Rs 153.68 crore in Q4 FY25, compared with Rs 142.62 crore posted in Q4 FY24.


Total revenue from operations soared 16.51% to Rs 636.21 crore in Q4 FY25 as against Rs 546.02 crore posted in Q4 FY24.

Profit before tax (PBT) was at Rs 193.22 crore in the March 2025 quarter, registering a growth of 8.86% on a YoY basis.

Net worth grew by 16% YoY to Rs. 4,361 crore as on 31st March 2025. Our asset quality continues to be pristine, within the guided range, with 1 day past due well below 5% at 3.39% in Q4 FY25, and Gross Stage 3 & Net Stage 3 under 1.25% stood at 1.08% and 0.73%, respectively.

The total number of branches stands at 397 as on 31st March 2025.

On a full-year basis, the company’s net profit rallied 17.01% to Rs 574.30 crore on a 16.70% rise in revenue from operations to Rs 2,354.5 crore in FY25 over FY24.

Assets under Management (AuM) of the company have crossed the milestone of Rs 20,000 crore this year. In FY25, our AUM grew by 18% YoY to Rs 20,420 crore.

In FY25, disbursement grew by 10% YoY to Rs 6,123 crore. ROA was stable at 3.27%, and ROE improved by 18 bps YoY to 14.12% in FY25.

Sachinder Bhinder, MD & chief executive officer, said: “Dear All, Building on the momentum of previous quarters, the affordable housing sector continues to present immense opportunities to drive growth and economic inclusivity. At Aavas, our steadfast commitment remains focused on empowering unserved, underserved, and underbanked customers in Tier 2 to Tier 4 markets by providing customized financial solutions that cater to their unique aspirations. Our approach, rooted in achieving risk-adjusted returns, reinforces our mission to foster housing affordability and create enduring value in these communities.

Following the successful completion of the technological transformation during the year, we have already begun to observe tangible benefits. As of March 2025, the TAT from login to sanction has been reduced to just 7 days, a substantial improvement from the previous peak of 13 days. Additionally, the initiative has resulted in significant cost and time savings, contributing to enhanced productivity and operational efficiency across the organization.

During the quarter, we expedited our branch expansion efforts, establishing 24 new locations to enhance our footprint in key states. As a result, our total branch network now comprises 397 branches across 14 states. Consistent with our strategic approach of contiguous growth, we remain committed to broadening our presence in both core and emerging markets Aavas has a well-diversified liability franchise with prudent cash management. Aavas is well capitalized, boasting a Capital to Risk (Weighted) Assets Ratio (CRAR) of 44.5% as of March 2025.

Our robust underwriting practices and collection efforts, backed by cutting-edge technology, have yielded a positive outcome, with the 1+ days past due contained at 3.39% as of March 2025, an improvement of 46 bps QoQ. The portfolio’s maintains strong overall health, demonstrated by a Gross Stage 3 at 1.08%. The launch of the PMAY 2.0 scheme, including the interest subsidy scheme for urban housing, will be pivotal in improving loan accessibility for economically weaker sections and low-income groups, empowering countless individuals to realize their dreams of homeownership. This bold initiative reflects the government’s steady commitment to ensuring that every Indian has access to safe and affordable housing, driving inclusive growth and prosperity for all.

It aligns with Aavas's mission and vision, enhancing our dedication to delivering innovative housing solutions for underserved communities. Our steadfast focus on governance, asset quality, profitability, and growth remains at the core of our mission. Leveraging advanced technology and delivering exceptional customer experiences, we are confident in building a promising future. Through strategic initiatives, we aim to drive sustainable growth while maximizing value for our shareholders.”

AAVAS Financiers is engaged in long-term financing activity in the domestic markets to provide housing finance.

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