Home First India (HOMEFIRST) investor relations material

Executive summary

• AUM grew 25.7% year-over-year to INR 16,938 crore (₹169,379 Mn), with disbursements reaching INR 1,628 crore (₹16,284 Mn), reflecting robust demand and broad-based growth across geographies and channels.

• Profit after tax rose 34.5% year-over-year to INR 160 crore (₹1,599 Mn), driven by 38.2% growth in net interest income and healthy business growth.

• Asset quality remained stable: GNPA at 1.8%, 30+ DPD at 3.2%, and collection efficiency at 98.3%.

• Branch network expanded to 175 branches and 373 touchpoints, with 133 new employees added, mainly in customer-facing roles.

• Technology and AI initiatives are central to operations, improving underwriting and customer experience; 100 additional Green Homes certified, totaling 550.

Financial highlights

• Total income for the quarter was INR 540 crore (₹5,398.41 million), up 18.6% YoY and 7% QoQ.

• Net interest margin improved to 6% for Q1FY27.

• Cost to income ratio at 32.7%, up 70 bps sequentially; operating cost to assets at 2.8%.

• Pre-provision operating profit was INR 224 crore, up 32.9% YoY.

• Return on assets at 4.2% and return on equity at 14.5%.

Outlook and guidance

• Confident of delivering 25% AUM growth while maintaining profitability, portfolio quality, and operating efficiency.

• Spreads expected to remain in the 5% to 5.25% range; OpEx to assets guided at 2.6%-2.7% for the full year.

• Co-lending channel to be scaled further as process changes stabilize.

• Focus on expanding in UP, Tamil Nadu, Andhra Pradesh, and Telangana for future growth.

• Structural demand drivers include favorable demographics, urbanization, and policy support.