Aadhar Housing Finance aims 20% AUM growth in FY25
Aadhar Housing Finance plans a lower business growth of 20% in FY25, as the newly listed mortgage lender to the low-income group does not want to lose focus on asset quality.
The lender expanded its assets under management (AUM) at 23% year-on-year to Rs 21,121 crore at the end of March, having an average loan size of Rs 10 lakh.
«Given the consistent demand for home loans from the economically weaker section and lower income group, coupled with the fact that there is an existing huge shortfall in dwelling units, growth in retail home loans should not be a challenge,» managing director Rishi Anand told ET in an interview.
«Aggressive growth in this space could lead to dilution of asset quality,» Anand added.
Aadhar, 76% owned by Blackstone Group Company BCP Topco VII Pte, has a robust asset quality with gross non-performing assets being at just a tad over 1% at the end of March. That compares with 1.16% a year ago.
Its net NPA stood at 0.71% as compared with 0.84% in the same period.
The lender plans to open 75 branches this fiscal to boost its penetration to the rural markets. It currently operates through 523 branches across 20 states and union territories.
The Bengaluru-headquaretred company offers loans for buying and building dwelling units, loans for home improvement and extension, while micro loans against property contribute three-fourths to its AUM.
Aadhar, which was established in 2010, completed its initial public offering of Rs 3,000 crore on May 10 and listed the shares on the bourses on May 15.
