Home First India (HOMEFIRST) Q4 24/25 earnings summary

Executive summary

• Achieved a significant milestone by raising INR 1,250 crore (₹12,500 million) via QIP in April 2025, strengthening capital for expansion and operational enhancement.

• FY 2025 marked by robust growth: AUM up 31.1% YoY to INR 12,713 crore (₹127,127 Mn), PAT at INR 382 crore (₹3,821 Mn), and ROE at 16.5%.

• Disbursements grew 21.2% YoY to INR 4,805 crore (₹48,053 Mn), with network expansion adding 40 touchpoints and 22 branches.

• Asset quality remained stable with GNPA at 1.7% as of March 2025, in line with regulatory changes.

• Dividend of Rs. 3.70 per share recommended for FY25, up from Rs. 3.40 in FY24, subject to shareholder approval.

Financial highlights

• Total income for FY25 was INR 1,539 crore (₹15,392 Mn), up 33.1% YoY; PAT rose 25% to INR 382 crore (₹3,821 Mn).

• Q4 net profit crossed INR 100 crore (₹1,047 Mn), with ROE at 17%.

• Net interest margin for Q4 at 5.1%, up 20 bps QoQ; spreads (ex-co-lending) at 5.1%.

• Operating expenses to assets at 2.7% for Q4 and FY25; cost-to-income ratio at 35.8%.

• Basic EPS for FY25 was 42.8, up from 34.7 in FY24.

Outlook and guidance

• Disbursement growth targeted at 20-25% for FY26, with 75% from existing branches and 25% from new locations.

• AUM growth expected at 26-30%, assuming 17-18% runout.

• Confident of reaching INR 20,000 crore AUM by FY27 and INR 35,000 crore by FY30.

• ROE expected to return to 15%+ in 6-7 quarters post equity raise.

• Focus remains on expanding distribution, maintaining asset quality, and leveraging technology for operational efficiency.