Shriram Housing Finance eyes Rs 30,000 crore AUM by FY26

economictimes.indiatimes.com:

Shriram Housing Finance, with assets under management of Rs 10,000 crore at the end of July, has unveiled a Vision 2026 plan to triple the size, tapping into a burgeoning customer base for home ownership in a country where supply of affordable apartments trails demand in all major urban areas. The mortgage lender, which is in the process of raising $100 million by way of share sale, is looking to double its branch network as well as manpower count in the next two-and-a-half years as part of the growth strategy. «Our aspiration is to take the AUM to Rs 30,000 crore by FY26 and to be the number one affordable housing finance company by then,» managing director Ravi Subramanian told ET.

«The growth we have seen in the last few quarters with asset quality holding firm has given us the confidence for planning the next stage expansion ,» he added. At present, it is the third largest after Aadhar Housing Finance and Aavas Financiers. More than three-fourths of its customers belong to the low- and middle-income groups, while 79% of its loan applicants are self-employed and 80% of the loan ticket size is under Rs 25 lakh.

Its gross non-performing assets ratio was just about 1% of total portfolio. Its growth strategy under the Vision 2026 plan includes new product launches, branch expansion and investment in technology and human resources. In the last three months, it already raised its staff strength to about 45% to 2547 from 1753 and targets to take the number to 5000 by March 2026.