Home First Finance Company India Reports 23.55% Increase in Net Profit for Q3 FY25

NEW DELHI: Home First Finance Company India has posted a notable 23.55% rise in its net profit for the quarter ending December 31, 2024. According to the company’s filing with the BSE, its profit after tax (PAT) surged to ₹97.38 crore in Q3 FY25, compared to ₹78.82 crore in the same quarter of the previous fiscal year.

The company’s total income witnessed a substantial jump, reaching ₹407.45 crore in Q3 FY25, marking a 35.36% increase from ₹301.01 crore recorded in the corresponding quarter last year.

In a significant move, the board of directors has given the green light for raising capital through the issuance of equity shares to eligible investors via Qualified Institutional Placement (QIP) or other permissible methods, either independently or in combination. The total amount to be raised will not exceed ₹1,250 crore and may take place in one or multiple tranches.

Additionally, the board has approved the promotion of Ajay Khetan, who currently holds the position of Chief Business Officer, to the role of Deputy Chief Executive Officer, effective from January 28, 2025.

During the quarter and the nine-month period ending December 31, 2024, the company allotted 5,08,473 and 11,63,580 equity shares, respectively, to employees who exercised their options under the approved employee stock option schemes.

Commenting on the company’s performance, Managing Director & CEO Manoj Viswanathan stated, “Our Assets Under Management (AUM) have grown to ₹11,949 crore, representing a solid year-on-year increase of 32.6% and a quarter-on-quarter rise of 6.4%. Our strong liability profile, coupled with timely access to competitively priced borrowing, has helped us manage borrowing costs efficiently.”

Key financial indicators for the quarter include:

• Gross Stage 3 (GNPA): 1.7%
• Credit Cost: 30 basis points
• Cost of Borrowings: 8.4%
• Total Capital to Risk-Weighted Assets Ratio (CRAR): 33.1%

The company’s net worth as of December 2024 stood at ₹2,408 crore. Disbursements for the quarter totaled ₹1,193 crore, reflecting an 18.4% year-on-year growth.

As of December 31, 2024, the company reported an Expected Credit Loss (ECL) provision of ₹84 crore, translating to a total provision-to-loans outstanding ratio of 0.8%. The GNPA-to-Total Provision Coverage Ratio (PCR) was recorded at 47.3% in December 2024, compared to 52.4% in December 2023.

Total borrowings, including debt securities, amounted to ₹9,213 crore as of December 2024. Meanwhile, the company continued to maintain a liquidity buffer of ₹3,486 crore during the same period.