Aavas Financiers Ltd. · NSE:AAVAS
Aavas Financiers — FY2025 Earnings Presentation
37 slides from Aavas Financiers's earnings presentation, Apr 24, 2025
Slide 1: Exchange filing cover letter
Ref. No. AAVAS/SEC/2025-26/186 Date: April 24, 2025 To, To, The National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1, Block G, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Dalal Street, Mumbai – 400051 Mumbai – 400001 Scrip Code: 541988 Scrip Symbol: AAVAS Dear Sir/Madam, Sub
Slide 2: Aavas Financiers Ltd Investor Presentation – FY25
AAVAS FINANCIERS LTD Investor Presentation – FY25
Slide 3: Safe Harbor
Safe Harbor This presentation and the accompanying slides (the “Presentation”), which have been prepared by Aavas Financiers Ltd. (the “Company”), without any specific objectives and solely for information purposes and do not constitute directly or indirectly any advertisement, advise, offer, recomm
Slide 4: Our Background
Our Background Commenced operations in 2011 Regulated by Reserve Bank of India (“RBI”) from Jaipur, Rajasthan Supervised by National Housing Bank (“NHB”) Currently being run by professional management team backed by Recognized by NHB for refinance marquee private equity players facility Kedaara Capi
Slide 5: Our Pillars of Strength
Our Pillars of Strength Professional Management Team Experienced Board of Directors In-house Execution Model Technology and Data Analytics Improving Credit Ratings Diversified Shareholding Base
Slide 6: Aavas 3.0: Building a lasting institution
Aavas 3.0: Building a lasting institution Aavas 1.0 Aavas 2.0 Aavas 3.0 2012 2016 2023 AUM (INR Bn) Investment (2016) by: IPO (October 2018) 173.1 204.2 94.5 113.5 141.7 40.7 59.4 78.0 0.0 1.8 4.1 8.4 16.8 26.9 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY30E # of 25 35 42
Slide 7: Strong Management Depth continues to drive Aavas's Outperformance
Strong Management Depth continues to drive Aavas's Outperformance Sachinder Bhinder Ghanshyam Rawat Ashutosh Atre Managing Director & CEO President & Chief Financial Officer President & Chief Risk Officer • 27+ years of experience • 30+ years of experience in financial • 30+ years of experience in c
Slide 8: Experienced Board has guided Aavas's journey since inception
Experienced Board has guided Aavas's journey since inception Sandeep Tandon Soumya Rajan Kalpana Kaushik Mazumdar Chairperson of Board, Independent Independent Director & Chairperson of Independent Director & Chairperson Director & Chairperson of Stakeholders Nomination & Remuneration Committee of A
Slide 9: Superior Business Outcome: In-house Execution Model
In-house Execution Model In-house execution model – Replicated across the states 1. Reduction in average login to sanction TAT (days) Lead generation and Risk management Collections sourcing Turn around time is a key metric for customer centricity ▪ With our new Lead ▪ In-house underwriting team for
Slide 10: State-of-the art technology implementation enabling digital & analytical capabilities
State-of-the art technology implementation enabling digital & analytical capabilities LOS LMS Enterprise GL A New digital loan origination Adopting a next-gen cloud ERP system platform (LOS) and customer service Adopting a new loan management for back-office process automations to system to enable b
Slide 11: Major Technology Transformation Completed
Major Technology Transformation Completed Loan Origination Loan Management ✓ Reimagined customer journeys ✓ Migrated to core banking based LMS platform ✓ Consolidation of processes into a single platform ✓ Seamless integrations across loan journey ✓ Multiple Fintech integrations for data enrichment
Slide 12: Technology Transformation Outcomes
Technology Transformation Outcomes Requests served via App Unique Customer login in App Outcomes ▪ Scalable enterprise architecture to support 10X+ scale with > 60,000+ 99% business uptime 71% 2x +24% ▪ Bank level systems with robust regulatory compliances 47% 29,000+ ▪ Automations and integrations
Slide 13: Strong Credit Ratings
Strong Credit Ratings Long-Term Credit Rating Short-Term Credit Rating Reaffirmed ICRA CARE ICRA Mar-25 A1+ AA / AA / Mar-25 Mar-25 Stable Stable CARE Mar-25 A1+ A/ A+ / INDIA RATINGS Mar-16 Mar-17 Stable Stable Mar-25 A1+ 12
Slide 14: Diversified Shareholding Base
Diversified Shareholding Base Shareholding Pattern as on Top Institutional Shareholders as on 31st Mar 2025 31st Mar 2025 Investor Details % Holding CVC Capital# 22.50 Kedaara Capital^ 16.02 Others, 8.9% Partners Group^ 10.87 CVC Capital, 22.5% Stewart Investors^ 6.38 UTI Asset Management^* 3.27 Nip
Slide 15: Financial Performance
Financial Performance Key Business Parameters Geographical Distribution Spreads and Margins Asset Quality Liability Franchise Key Ratios
Slide 16: Performance Highlights
Performance Highlights AUM (₹ Mn) Disbursement (₹ Mn) Gross Stage 3 (%) +18% +10% +14 bps 204,202 61,230 173,126 55,822 1.08% 0.94% Mar-24 Mar-25 FY24 FY25 Mar-24 Mar-25 PAT* (₹ Mn) NIM (%) ROA (%) +17% -27 bps -1 bps 7.91% 7.64% 5,743 3.28% 3.27% 4,908 FY24 FY25 FY24 FY25 FY24 FY25 * PAT includes O
Slide 17: Healthy Business Growth
Healthy Business Growth AUM (₹ Mn) Disbursements (₹ Mn) 204,202 +26% +17% 61,230 173,126 55,822 CAGR CAGR 141,667 50,245 113,502 36,022 94,543 77,961 26,724 29,304 26,569 59,416 20,512 40,730 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Mar-25 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 NIM (₹ Mn) P
Slide 18: Diversified Portfolio Mix
Diversified Portfolio Mix AuM by Product AuM by Occupation Average ticket size Average ticket size ₹ 0.85 mn 17% ₹ 0.84 mn 19% ₹ 0.91 mn ₹ 0.96 mn 14% 13% ₹ 0.68 mn ₹ 0.74 mn 60% 60% ₹ 1.02 mn 69% 68% ₹ 1.07 mn ₹ 0.96 mn ₹ 0.98 mn 40% 40% Mar-24 Mar-25 Mar-24 Mar-25 HL LAP MSME Salaried Self Employe
Slide 19: Disbursement break-up – Product category
Disbursement break-up – Product category FY24 FY25 ATS : ₹ 0.85 Mn ATS : ₹ 0.91 Mn 19.8% 24.9% ATS ₹1.14 mn ATS 13.7% ₹1.19 mn ATS : ₹ 0.88 Mn 66.5% ATS : ₹ 0.92 Mn 11.4% 63.7% ATS : ₹ 1.34 Mn ATS : ₹ 1.43 Mn MSME Loans are mortgaged-backed and classified under Priority Sector Lending Home Loan Othe
Slide 20: Well diversified geographical distribution
Well diversified geographical distribution Operations Branches added in State Branches Commenced in FY25 Rajasthan 109 2012 1 Maharashtra 51 2012 2 14 Gujarat 46 2012 1 States/ UTs Madhya Pradesh 55 2013 4 Delhi 5 2013 - Haryana & 25 2017 2 Punjab Chhattisgarh 9 2017 - Uttar Pradesh 39 2018 7 Uttara
Slide 21: Spreads Journey
Spreads Journey Yields, Cost of Borrowings and Spreads (%) Yields (%) COB (%) Spreads (%) Yields (%) COB (%) Spreads (%) 13.99% 13.75% 13.04% 13.12% 13.26% 13.15% 13.07% 13.13% 13.08% 13.04% 13.18% 13.13% 13.63% 13.16% 13.12% 13.13% 13.13% 12.65% 8.74% 8.24% 8.24% 8.63% 8.44% 7.95% 8.07% 8.08% 8.15%
Slide 22: Margin and Cost Efficiency
Margin and Cost Efficiency OpEx (%) NIM (%) ROA (%) FY23 7.67% 8.17% 8.23% 8.28% 3.17% 3.42% 3.43% 3.51% 3.56% 3.71% 3.75% 3.68% 3MFY23 H1FY23 9MFY23 FY23 3MFY23 H1FY23 9MFY23 FY23 3MFY23 H1FY23 9MFY23 FY23 FY24 8.00% 8.00% 7.94% 7.91% 3.16% 3.25% 3.22% 3.28% 3.79% 3.65% 3.63% 3.58% 3MFY24 H1FY24 9M
Slide 23: Pristine Asset Quality
Pristine Asset Quality Gross Stage 3 (%) Net Stage 3 (%) 1.09% 1.08% 1.14% 1.08% 0.79% 0.78% 0.81% 1.00% 1.04% 1.01% 0.73% 0.76% 0.72% 0.73% 0.92% 0.94% 0.68% 0.67% Mar-23 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Mar-25 Mar-23 Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Mar-25 1+DPD (%)
Slide 24: Robust Liability Management
Robust Liability Management Diversified Funding Mix AUM & Borrowings (₹ Mn) As on Mar-25 As on Mar-25 Successfully raised NCDs amounting to ₹ 2 Bn from Marquee Mutual Fund in Jan-25 at a competitive pricing. Floating Fixed Equity 9.5% Terms Loans 14.4% Diversified Mix : 34 Lenders 2,04,202 2,04,202
Slide 25: ALM Surplus
ALM Surplus Surplus Management* (₹ Mn) Average tenor of outstanding borrowing As on Mar-25 (months) <3months 21,877 16,282 5,595 <6months 30,992 18,998 11,994 134 130 126 132 130 <1year 44,128 128 18,723 25,405 <3years 93,599 20,258 73,341 <5years 133,554 18,956 114,598 <7years 164,490 133,443 31,04
Slide 26: Comfortable Liquidity Position
Comfortable Liquidity Position Particulars (₹ Mn) As on Mar-25 Cash & Cash Equivalents 15,320 High-Quality Liquidity of Un-availed CC Limits 1,200 ₹ 16,520 Mn Documented & Un-availed Sanctions from NHB - Documented & Un-availed Sanctions from other Banks 13,470 Total Liquidity Position 29,990 Partic
Slide 27: Net Securitization Volume
Net Securitization Volume (₹ in Mn) ₹ 9,541 Mn ₹ 12,428 Mn ₹ 15,226 Mn 4,344 4,536 3,970 4,044 3,284 3,173 2,967 2,916 2,234 2,303 2,001 1,424 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4FY24 Q1FY25 Q2FY25 Q3FY25 Q4FY25 26
Slide 28: Key Financial Ratios
Key Financial Ratios ROE (%) Book Value Per Share (₹) 14.12% 14.09% 13.94% 550.9 476.8 413.6 FY23 FY24 FY25 Mar-23 Mar-24 Mar-25 Capital Adequacy Ratio (%) Earning Per Share* (₹) Tier I Tier II 72.0 46.66% 43.76% 44.38% 61.9 54.3 0.30% 0.23% 0.12% Mar-23 Mar-24 Mar-25 Mar-23 Mar-24 Mar-25 Data of Ca
Slide 29: Annexures
Annexures Quarterly Profit & Loss Statement Balance Sheet PAT Reconciliation ECL Provisioning Net worth Reconciliation ESG
Slide 30: Profit & Loss Statement
Profit & Loss Statement Particulars (₹ Mn ) Q4 FY25 Q4 FY24 Y-o-Y Q3 FY25 Q-o-Q FY25 FY24 Y-o-Y Interest Income on Loans (incl. Processing 5,419.1 4,598.2 17.9% 5,188.0 4.5% 20,410.3 17,301.6 18.0% Fee) Interest Income on Fixed Deposits 358.4 372.9 352.9 1,376.9 1,413.8 Upfronting Income on Fresh As
Slide 31: Balance Sheet
Balance Sheet Particulars (₹ Mn ) 31-Mar-25 31-Mar-24 Sources of Funds Share Capital 792 791 Reserves & Surplus 42,817 36,942 Borrowings 1,39,185 1,24,119 Deferred Tax Liability (Net) 756 602 Other Liabilities & Provisions 2,636 2,740 Total 1,86,185 1,65,195 Application of Funds Loan Assets 1,62,297
Slide 32: PAT Reconciliation
PAT Reconciliation Particulars (₹ Mn ) FY25 FY24 Y-o-Y Q4 FY25 Q4 FY24 Y-o-Y Net Profit as per IGAAP 5,291.0 4,435.1 19.3% 1,424.1 1,200.7 18.6% Add / (Less) : Adjustments as per IndAS on account of: Adoption of effective interest rate (EIR) for amortisation of Income and expenses - financial assets
Slide 33: ECL Provisions
ECL Provisions Particulars (₹ Mn ) Stage 1 Stage 2 Stage 3* Total For the period ended Mar’25 Gross Loan Principal Outstanding 1,59,199 2,408 1,763 1,63,370 % of Portfolio 97.45% 1.47% 1.08% 100% ECL Provision Amt. 234 267 572 1,073 ECL Provision % 0.15% 11.11% 32.43% 0.66% For the period ended Dec’
Slide 34: Net Worth Reconciliation
Net Worth Reconciliation Particulars (₹ Mn ) 31-Mar-25 31-Mar-24 Net Worth as per previous GAAP 39,927.1 34,650.8 Adjustments increasing/(decreasing) net worth as reported under previous GAAP: Adoption of EIR for amortisation of Income and expenses - financial assets at (230.7) (193.8) amortised cos
Slide 35: Environmental, Social & Governance
Environmental, Social & Governance Pillars for Sustainable Future Robust Corporate Governance The Board of Directors helps improve corporate credibility and Green Planet Nurturing Workplace governance standards and manage risk and independent oversight in the Company. Create a healthy planet by Crea
Slide 36: Environmental, Social & Governance
Environmental, Social & Governance Environmental Initiatives • Green Homes – The company has financed 300 EDGE-certified Self-Built Green Homes and boasts a team of four qualified EDGE auditors and has completed pilot phase of Jan Griha Certification Program. • Solar Drive – The Company has Installe
Slide 37: Thank You !
Contact Us For further information, please contact : Aavas Financiers Limited CIN: L65922RJ2011PLC034297 (www.aavas.in) Mr. Rakesh Shinde, Head of Investor Relations Thank You ! Rakesh.shinde@aavas.in Investor Relations – Aavas Financiers investorrelations@aavas.in 36