• Event Type: Q1 FY27 Earnings Conference Call to discuss business strategy and outlook, hosted by IIFL Capital.
  • Date and Time: Conducted on Thursday, July 23, 2026 (specific time not mentioned in the transcript).
  • Purpose: Discussion of quarterly results, business strategy, and outlook for the micro-enterprise lending segment.
  • Management Participants:
  • Mr. Sanjay Sharma – Managing Director and Co-Founder
  • Mr. Niraj Kaushik – Deputy Chief Executive Officer
  • Mr. Gaurav Seth – Chief Financial Officer
  • Mr. Sovan Satyaprakash – Chief Strategy and Investor Relations Officer
  • Availability of Materials: The transcript and audio recordings were made available on the company website (https://www.ayefin.com/disclosures/analyst-investor-meeting) and submitted to stock exchanges.
  • Financial Period Discussed: Q1 FY27 (April-June 2026) results and performance.
  • Forward-Looking Statements: The management provided guidance for FY27 including AUM growth of 25-30%, credit cost guidance of 3.5-4%, and plans to increase mortgage loan share to 30% of portfolio over time.

Key Financial Highlights from Q1 FY27

Operational Performance:

  • Disbursements: INR 1,219 crore (22% YoY growth)
  • Assets Under Management (AUM): INR 7,324 crore (28% YoY growth, 4% sequential growth from INR 7,044 crore in March 2026)
  • New Borrowers Added: 44,000+ (38% YoY growth)
  • Active Borrower Base: 6.7+ lakh customers
  • Branch Network: 571 branches across 18 states and 3 union territories
  • AUM per Employee: Increased by 12% YoY

Asset Quality Metrics:

  • Gross NPA: 4.49% (improved from 4.77% previous quarter and 4.6% YoY)
  • PAR 30: 6.07% (stable)
  • PAR X: 7.01%
  • Collection Efficiency: Non-OD at 99.2%, Bucket 1 at 54.5%
  • Credit Cost: 4.01% (improved by 29 bps sequentially)

Financial Performance:

  • Gross Total Income: INR 490 crore (22% YoY growth)
  • Net Total Income: INR 322 crore (38% YoY growth)
  • Net Interest Margin (NIM): 15.9% (improved by 20 bps sequentially)
  • Pre-provision Operating Profit: INR 179 crore
  • Profit After Tax: INR 75 crore (144% YoY growth)
  • Capital Adequacy Ratio: 42.4% (corrected from initial 41.3% mention)

Strategic Updates:

  • Credit Rating Upgrade: India Ratings upgraded long-term rating from IND A to A+ with stable outlook, and commercial paper from IND A1 to A1+
  • Funding Cost Reduction: Expected 20-25 bps reduction on incremental borrowings
  • Product Mix: Mortgage loans currently at 22% of portfolio, targeting gradual increase to 30%
  • Branch Expansion: Planning to add 40-50 branches in FY27
  • Technology Investment: Continued focus on AI and machine learning in underwriting processes

Additional Notes Section

  • The document includes the full transcript of the earnings conference call with detailed Q&A session covering various aspects of business performance and strategy.
  • The company clarified that no unpublished price sensitive information (UPSI) was shared during the call.
  • The transcript was submitted to BSE and NSE as a regulatory compliance requirement under SEBI LODR Regulations.