Financial Performance Summary

Quarterly Performance (Q1 FY27 vs Q1 FY26):

| Metric | Q1 FY27 | Q1 FY26 | Growth/Change |

| Net Interest Income (Rs. in millions) | 3,383 | 2,862 | 18.2% YoY |

| Net Profit (Rs. in millions) | 1,713 | 1,392 | 23.0% YoY |

| Net Interest Margin | 7.70% | 7.48% | Improved by 22 bps |

| Cost to Income Ratio | 43.7% | 46.3% | Improved by 254 bps |

| Spread | 5.06% | N/A | Moderated by 5 bps YoY |

| Borrowing Cost | 7.64% | N/A | Stable sequentially |

| Operating Expense-to-Assets Ratio | 3.37% | N/A | Improved by 9 bps YoY |

| Return on Assets (ROA) | 3.19% | N/A | Improved by 25 bps YoY |

| Return on Equity (ROE) | 13.34% | N/A | Improved by 78 bps YoY |

Operational Metrics

Assets Under Management (AUM):

  • AUM reached Rs. 239.3 billion as of June 30, 2026
  • Growth of 15.4% Year-over-Year
  • Monthly AUM addition improved by nearly 50% YoY

Disbursements:

  • Q1 FY27 disbursements: Rs. 16.1 billion
  • Growth of 41% Year-over-Year
  • Home Loan segment grew 38% YoY

Loan Accounts:

  • Active Loan Accounts: 275,869 (Q1 FY27) vs 250,694 (Q1 FY26)
  • Increased by 10% Year-over-Year

Asset Quality:

  • 1+ Days Past Due (DPD): 3.76% (Q1 FY27) vs 4.15% (Q1 FY26) - Improved by 39 bps
  • Gross NPA: 1.11% (Q1 FY27) vs 1.22% (Q1 FY26) - Improved by 11 bps
  • Net NPA: 0.71% (Q1 FY27) vs 0.84% (Q1 FY26) - Improved by 13 bps
  • Credit Costs: 24 bps for Q1 FY27 (within guided range)

Capital Position:

  • Net Worth: Rs. 52,196 million (Q1 FY27) vs Rs. 45,098 million (Q1 FY26)
  • Growth of 15.7% Year-over-Year
  • Strong capital position driven by consistently compounding internal accruals

Business Expansion

Branch Network:

  • Expanded to 440 branches across 15 states
  • Continued investment in branch expansion to strengthen and diversify presence

Management Commentary

Mr. Manu Singh, Chief Executive Officer, commented on the performance:

  • Q1 FY27 was a strong quarter reflecting a business that is "becoming faster, fitter, and more productive"
  • Performance driven by strong pickup in volumes, meaningful improvement in resource productivity
  • Momentum strengthens confidence in strategic initiatives and provides solid foundation for the rest of the year
  • NIM expansion supported by improvement in cost of borrowing and focus on risk-adjusted pricing
  • Efficient cost of borrowings management despite volatile interest rate environment and uncertain geo-political backdrop
  • Disciplined cost management approach and focus on profitable growth yielding encouraging results
  • Industry-leading asset quality with all key indicators trending positively
  • Embedding greater execution discipline and rigor throughout the organization

Company Background

Aavas Financiers Limited, incorporated in 2011 in Jaipur, is a retail, affordable housing finance company primarily serving low- and middle-income self-employed customers in semi-urban and rural areas in India. Product offering consists of:

  • Home loans for purchase or construction of residential properties
  • Loans for extension and repair of existing housing units
  • Loan against property
  • MSME loans

The Company has an in-house execution model leading to superior business outcomes.

Additional Information

  • The information was submitted pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
  • Board Meeting concluded at 04:34 P.M. on July 21, 2026
  • Full information available on company website: https://www.aavas.in/investor-relations/investor-intimation