India Shelter Finance Corporation Limited Releases its Maiden Result Post IPO, Registers Strong AUM Growth of 42%

• AUM as of Q3FY24 at Rs. 5,609 Crs, growth of 42% YoY

• Disbursement at Rs. 679 Crs for Q3FY24, growth of 36% YoY

• PAT at Rs. 62 Crs for Q3FY24, growth of 55% YoY

• RoA & RoE at 4.7% and 13.9% for Q3FY24

India Shelter Finance Corporation Limited announced its first financial results for the fiscal year 2024 after a successful IPO in the previous year. The Board of Directors approved the unaudited financial results for quarter and nine months ending on December 31, 2023.

Key Performance Metrics of India Shelter

Commenting on the performance, Rupinder Singh, Managing Director, and CEO, India Shelter Finance Corporation said, “We would like to thank all our investors for their support in making our IPO successful. The total size of the IPO was Rs. 1,200 Crs of which primary was Rs. 800 Crs. This infusion of equity will allow us to meet our future capital requirements. The third quarter results have been in line with our expectations. We saw strong AUM growth of 42% YoY led by disbursement growth of 36% YoY. Our strategy to fund self-employed with granular ticketsize is playing out well. Our focus will be to continue servicing the customers in this segment. We will continue to follow a balanced approach to growth and focus on asset quality & profitability. Our liquidity pipeline continues to be very strong with positive ALM. Our current rating stand at A+ (Positive) from CARE Rating and A+ (Stable) from ICRA.”

Distribution:

• The company continues to deepen its presence by adding 12 new branches during the quarter, the company has 215 branches in 15 states as of 31st December’23.

Asset Quality & Provisions:

• Gross Stage 3 and Net Stage 3 stood at 1.2% and 0.9% as of 31st December 2023 as against 2.3% and 1.8% as of 31st December 2022.

• 30+ DPD stood at 3.5% as of 31st December 2023.

• Credit Cost for the quarter stable at 0.3%.

Borrowings & Liquidity:

• Networth at Rs. 2,209 Crs as of Dec’23. The company continues to carry a liquidity of Rs. 1,488 Crs as of Dec’23.

• In Q3FY24, cost of funds was maintained at 8.8% despite rising interest rate market.

Profitability:

• Profit after tax grew by 55% YoY to Rs. 62 Crs in Q3FY24 as against Rs. 40 Crs in Q3FY23

• In Q3, the company delivered annualized RoA of 4.7% as against 4.2% in Q3FY23

• In Q3, the company delivered annualized RoE of 13.9% as against 13.8% in Q3FY23

With a strong foundation laid during the IPO, the Company has continued its momentum showcasing resilience and growth in its operations. The retail-focused affordable housing finance model, supported by an extensive distribution network comprising 215 branches, has enabled the company to navigate market dynamics effectively. Leveraging the scalable technology infrastructure, integrated throughout the loan lifecycle, the company has been able to enhance operational efficiency and customer experience.

Led by a professional and experienced management team, the company is committed to delivering value to its shareholders and stakeholders while continuing to serve the housing finance needs of the underserved segments of society.

About India Shelter Finance Corporation

India Shelter provides affordable home loans and loan against property in Tier 2 and 3 geographies in India. India Shelter provides home loans to customers from low-and middle income segments who are building or buying their first homes. The company has strong distribution moat with its Pan-India network in 15 states via 215 branches and maintains a granular portfolio. The company is being run by an experienced professional management team backed by marquee investors.

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