India Shelter Finance Reports Robust Q2 Growth with 36% AUM Increase

India Shelter Finance Corporation Limited announced significant growth in its second quarter, reporting a 36% increase in AUM to Rs. 7,039 Crs. The company's consistent performance is bolstered by a branch expansion strategy and credit rating upgrade, resulting in a 50% rise in profits year-on-year.

Gurugram, Haryana [India], October 25: India Shelter Finance Corporation Limited has disclosed its financial performance for the second quarter of the fiscal year 2025, highlighting noteworthy growth figures. The Board of Directors sanctioned the unaudited financial results during their meeting on October 25, showing a 36% year-on-year increase in Assets Under Management (AUM) to Rs. 7,039 crore.

Rupinder Singh, Managing Director and CEO, commended the team's efforts for achieving sustainable growth. The company experienced a 30% growth in disbursements, climbing to Rs. 828 crore. This surge is largely attributed to the opening of 24 new branches, prompting a total branch count of 260 across 15 states, aligning with the proposed expansion strategy. Additionally, the credit rating was elevated from A+ to AA - Stable by ICRA Rating, anticipated to further refine cost management.

Profit after tax rose impressively by 50% year-on-year to Rs. 90 crore in Q2FY25, indicating improved operational efficiency with returns on assets increasing from 5.1% to 5.6%. Networth stood at Rs. 2,489 crore, with liquidity maintained at Rs. 1,192 crore as of September 2024. The company reported a Gross Stage 3 rate of 1.2% and improved asset quality, reflecting its focus on affordable housing solutions for low- and middle-income segments within Tier 2 and Tier 3 cities.

(With inputs from agencies.)