Satin Creditcare Network vs Aptus Value Housing Q4 FY26

Satin Creditcare delivered a standout Q4 FY26, with consolidated PAT surging 640% YoY to ₹330 Cr, driven by sharp credit cost reduction (FY26: 3.8%, Q4: 2.5%) and strong AUM growth of 19% to ₹15,174 Cr. The microfinance sector is healing, and Satin is leading with best-in-class asset quality: standalone GNPA at 3.1% and X-bucket collection efficiency of 99.9%. Management guided standalone AUM growth of 15-20% for FY27 and credit cost of 3-3.5%, while raising the 2030 consolidated AUM target to ₹32,000 Cr (from ₹25,000 Cr). Non-MFI businesses (17% of AUM) are gaining traction, with housing and MSME finance growing rapidly. Key risk: any resurgence of geopolitical or inflation-driven stress could pressure rural demand and asset quality.

Guidance read

Standalone AUM growth 15-20% in FY27: Expects standalone AUM to reach ₹14,800-15,100 Cr by March 2027, driven by branch expansion and sector tailwinds. Credit cost target of 3-3.5% for FY27: Aims to reduce credit cost further from 3.8% in FY26, supported by improving asset quality and underwriting. Consolidated AUM target of ₹32,000 Cr by 2030: Revised upward from ₹25,000 Cr, reflecting strong growth in non-MFI businesses and core microfinance. Non-MFI AUM share target of 30% by 2030: Subsidiaries in housing, MSME, and tech are expected to drive diversification and improve ROA.

Risk read

Key risks include Geopolitical/inflation impact on rural demand — Rising fuel prices and inflation could squeeze household incomes, potentially affecting loan demand and asset quality.; Regulatory intervention on interest rates — Past RBI commentary on microfinance interest rates could resurface, especially if political pressure builds.; Forex volatility impact on reported profits — Foreign currency borrowings and hedging create quarterly swings in treasury income and finance costs, though neutral over time..

Promise ledger

Scorecard data is being built as historical quarters are processed.

Aptus Value Housing Finance delivered a strong Q4 FY26 with disbursements of ₹1,242 crore (highest ever, +17% YoY) and PAT growth of 26% YoY to ₹261 crore. AUM grew 21% YoY to ₹13,117 crore, driven by higher ticket sizes (discontinued sub-₹7 lakh loans) and expansion into Maharashtra and Odisha. Spreads improved 10bps to 9% due to lower cost of funds (8.1%). Collection efficiency rose to 100.5%, though GNPA increased to 1.52% (vs 1.19% in FY25) mainly from NBFC portfolio. Management guided for 22-24% AUM growth in FY27 and sustained ROE above 20%, supported by 60 new branches and connector channel. Risk: rising competition in Tamil Nadu and potential yield compression from calibrated lending rates.

Guidance read

AUM growth of 22-24% in FY27: Management expects sustainable AUM growth driven by new branches, higher ticket sizes, and connector channel. ROE above 20% sustainable: Management confident of maintaining ROE above 20% despite slight yield compression, supported by productivity gains. Credit cost guidance of 0.5% ±0.1%: Credit cost expected to remain in the range of 40-60 bps, consistent with FY26. Opex to AUM ratio of 2.6-2.8%: Operating expenses as a percentage of AUM to be maintained within this range, with investments in technology.

Risk read

Key risks include Intense competition in Tamil Nadu — Competitors poaching staff and high attrition could impact growth and collection efficiency in Tamil Nadu.; Yield compression from rate cuts — Calibrated lending rate reductions for incremental housing loans may reduce spreads by 15-20bps, impacting profitability.; Rising GNPA in NBFC portfolio — GNPA increased to 1.52% due to higher stress in NBFC segment (20-30bps higher than housing), requiring stronger collection efforts.; Potential increase in borrowing costs — Management noted incremental cost of funds may rise slightly, which could offset some spread benefits..

Promise ledger

Scorecard data is being built as historical quarters are processed.