Shares of Aavas Financiers edged up 0.21% to ₹1,116.40 on NSE, as investors welcomed better‑than‑expected earnings. The company posted a net profit of ₹182 crore in Q2 FY27, up 11% YoY from ₹164 crore.
Net interest income climbed 10.1% to ₹431 crore, aligning with the 10.1% YoY jump reported by analysts. The gross NPA ratio stood at 1.11%, while the net NPA ratio was 0.70%, both comfortably within the company’s guided range.
In the first half of FY27, Aavas accumulated ₹24,800 crore in assets under management, a 16.1% rise YoY, and net profit surged 16.4% to ₹350 crore. The net interest margin hit 7.76% and cost‑to‑income ratio improved to 42.9%.
Disbursements grew 30% YoY to ₹3,510 crore in H1, with Q2 disbursements near ₹1,900 crore, up 21% from a year ago. The firm now operates 443 branches across 15 states and added 21,500 new customers in the first half.
CEO Manu Singh said AUM is expected to cross ₹25,000 crore by October, with 4.5 lakh customers. The cost of borrowing was 7.64%, and the spread remained above 5%, while NIM rose 11 bps to 7.81%. Singh emphasized a focus on sustainable profitability, disciplined liability management, and branch expansion.