Aptus Value Housing profit rises 18% in Q2

Research Analyst: UJVIN NEVATIA (PROPRIETOR: NEVAT INVESTMENTS) | SEBI Registration No.: INH100009628 Aptus Value Housing Finance India Limited (

) reported net profit of ₹267 crore in Q2 FY27, up 18% year-on-year from ₹227 crore. Total income increased to ₹634 crore from ₹554 crore, while interest income grew to ₹551 crore from ₹472 crore. What happened? Assets under management (AUM) increased 20% to ₹14,177 crore. Disbursements grew 20% to ₹1,153 crore, while net income margin rose 19% to ₹463 crore. The company maintained a return on equity of 20.1% and return on assets of 7.7%. It also declared an interim dividend of ₹2 per equity share. However, asset quality showed some pressure. Gross NPA increased to 1.68% from 1.55% a year earlier, while net NPA rose to 1.27% from 1.17%. Management attributed the increase in delinquencies partly to collection challenges in its NBFC business. Why does it matter? Strong AUM and disbursement growth indicate continued demand for affordable housing finance. However, rising delinquencies, particularly in the NBFC segment, require attention. The company's ability to maintain growth while controlling credit costs will be important. My view The quarter reflects healthy business expansion and earnings growth. However, the deterioration in asset quality means growth should be evaluated alongside collection efficiency and credit costs. The performance of the NBFC subsidiary remains an important area to monitor. What I am watching next I would track AUM growth, disbursements, collection efficiency, gross and net NPAs, credit costs and the contribution of the NBFC business to overall performance. No Recommendations Source: The Economic Times Disclosure: My relatives or associates hold a position in Aptus Value Housing Finance India Limited.