India Shelter Finance Corporation has announced its financial results for the first quarter of FY27, reporting a 20% year-on-year increase in Profit After Tax (PAT) to ₹143 crore. The company also reiterated its Assets Under Management (AUM) growth guidance of 25% to 30% for the full fiscal year. Key financial metrics and operational updates were shared during the earnings conference call.
India Shelter Finance Reports Strong Q1 FY27 Performance
India Shelter Finance Corporation Limited has reported its unaudited financial results for the first quarter ended June 30, 2026 (Q1 FY27). The company announced a Profit After Tax (PAT) of ₹143 crore, representing a 20% increase compared to the same period last year. This growth was driven by a 30% rise in Net Interest Income and improved asset quality metrics.
Key Financial Highlights
- PAT Growth: The company achieved a PAT of ₹143 crore, up 20% year-on-year. Excluding the impact of direct assignment transactions, PAT growth was 30%.
- AUM: Gross Assets Under Management (AUM) stood at ₹11,284 crore as of June 2026, showing a 24% year-on-year growth. The company is confident in meeting its AUM growth guidance of 25% to 30% for the fiscal year.
- Disbursements: The company disbursed ₹1,046 crore in Q1 FY27, a 3% increase compared to Q4 of the previous financial year. July saw a disbursement of around ₹400 crore.
- Portfolio Yield: The portfolio yield remained stable at 14.8% quarter-on-quarter.
- Finance Cost: The finance cost was stable at 8.2% on a quarter-on-quarter basis.
- Asset Quality: Stage 3 assets were at 1.5%, up by 30 bps. Credit cost remained stable at 0.5% year-on-year.
- ROE/ROA: ROA was well above 5%, and ROE was 17.5%, up by 30 bps year-on-year.
Operational and Strategic Outlook
The company reiterated its commitment to its strategic priorities, including maintaining a credit cost of around 40-50 bps and achieving loan growth of 25%-30%. India Shelter Finance is also focusing on leveraging technology and AI for operational efficiency and customer engagement. The management expressed confidence in sustaining the growth momentum and navigating the current macroeconomic environment.
Earnings Call Insights
During the earnings conference call, management addressed questions regarding the adoption of AI, disbursement growth trends, asset quality, and the impact of policy changes on revenue recognition. The company highlighted its efforts in enhancing customer experience and operational efficiency through AI-driven tools. They also provided clarity on the disbursement recognition methodology, emphasizing transparency and predictive operations.
Source: BSE
