Aadhar Housing Finance, owned by the Blackstone Group, plans to grow its assets by 20% in the fiscal year 2025. The company aims for this moderate growth to maintain a focus on the quality of its assets, rather than expanding too quickly.
At the end of March, Aadhar’s assets under management (AUM) reached Rs 21,121 crore, growing by 23% compared to the previous year. The average loan size provided by Aadhar is Rs 10 lakh.
Rishi Anand, the managing director, expressed confidence in the demand for home loans from economically weaker sections and lower income groups. He believes that there’s a significant demand due to the shortage of housing units, especially for these demographics.
However, Aadhar aims for cautious growth to maintain its asset quality. An aggressive expansion strategy could lead to a decrease in asset quality.
Despite its growth, Aadhar maintains strong asset quality, with gross non-performing assets at just over 1% and net non-performing assets at 0.71% as of March. The company plans to increase its presence in rural markets by opening 75 new branches this fiscal year. Currently, Aadhar operates 523 branches across 20 states and union territories.
Established in 2010, Aadhar recently completed its initial public offering (IPO) of Rs 3,000 crore on May 10 and listed its shares on May 15. The IPO included both fresh issue of shares and an offer-for-sale by the Blackstone Group.
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