1. Opening Hook
So while the world is busy debating rate cuts, elections, and whether inflation is “transitory” for the 17th time, HomeFirst quietly dropped a Q3 that screamed: boring is beautiful.
No fireworks, no panic, no “one-time but actually recurring” surprises. Just steady AUM growth, fat profitability, and asset quality that refuses to misbehave. Even GNPA moved a whole 10 bps—clearly didn’t get the memo about creating headlines.
Management sounded confident, almost annoyingly calm, like someone who already survived the credit cycle and is now sipping chai watching others stress.
This quarter wasn’t about bold promises—it was about execution, discipline, and quietly flexing balance-sheet muscle.
Stick around. The real fun begins when we translate management optimism into investor reality.
2. At a Glance
- AUM up 24.9% YoY – Growth without lunging at risky borrowers. Refreshing.
- PAT up 44% YoY – Earnings sprinted while credit costs stayed seated.
- ROA at 4.0% – Still elite, still ignoring gravity.
- GNPA at 2.0% – Inched up, but nothing spilled.
- Cost-to-income at 32.1% – Efficiency pretending it’s boring.
- CRAR at 49% – Capital buffer thicker than management disclaimers.
3. Management’s Key Commentary
“India’s economy continues to display resilience despite global uncertainties.”
(Translation: We’re not waiting for macro excuses to
grow 😏)
“Disbursements grew 10.5% YoY to an all-time high.”
(Translation: Credit demand exists if you know where to look)
“PAT grew 44% YoY supported by strong operating performance.”
(Translation: This isn’t leverage-fuelled magic—it’s core business)
“One-time labour code provisions impacted opex this quarter.”
(Translation: Don’t annualise this, please 🙃)
“Asset quality remains healthy with stable early delinquencies.”
(Translation: The scary part of the credit cycle is behind us)
“We maintain credit cost guidance of 30–40 bps.”
(Translation: No YOLO underwriting, even at 25% growth 🚦)
4. Numbers Decoded
| Metric | Q3FY26 | Decode |
|---|---|---|
| AUM | ₹14,925 Cr | Growth engine firmly on |
| Disbursement | ₹1,318 Cr | Demand intact, execution smooth |
| PAT | ₹140 Cr | Operating leverage kicking in |
| ROA | 4.0% | Still top-tier in HFC land |
| GNPA | 2.0% | Slight bump, zero panic |
| Credit Cost | 40 bps | Exactly where guidance said |
| CRAR | 49.0% | Capital fortress |
Bottom line: growth + profitability + balance sheet comfort—all present.
5. Analyst Questions
- On GNPA uptick: Management said
