Shares of Home First Finance Company India were trading over 6% higher on Friday, January 23, emerging as a top gainer on the NSE, after the company reported a strong set of Q3 FY26 results post market hours on Thursday.
In early trade, Home First Finance shares were quoted around Rs 1,114.70, up 6.30%, as investors reacted positively to the company’s robust profit growth, improvement in return ratios, and steady asset quality during the December quarter.
For Q3 FY26, Home First Finance reported a 44% year-on-year rise in net profit to Rs 140.2 crore, compared with Rs 97.7 crore in the same quarter last year. Net interest income (NII) grew 44% YoY to Rs 234.8 crore, up from Rs 163.1 crore a year ago, reflecting healthy loan growth and stable margins.
Total income for the quarter stood at Rs 484 crore, registering a 18.7% YoY increase. Profitability metrics also improved, with return on assets (RoA) rising to 4% from 3.4% in Q3 FY25, while return on equity (RoE) stood at 13.7%, with pre-money adjusted RoE at 17.1%.
The company’s assets under management (AUM) increased 24.9% YoY and 5.3% QoQ to Rs 14,925 crore as of December 2025. Disbursements during the quarter reached Rs 1,318 crore, marking a 10.5% YoY growth and a 2.2% sequential increase. Housing loans accounted for 83% of AUM, while customers from economically weaker sections (EWS) and low-income groups (LIG) comprised around 60% of the customer base.
Asset quality remained stable, with gross stage 3 assets at 2%, while credit cost stood at 40 basis points for the quarter. The company also maintained a strong capital position, with total capital adequacy ratio (CRAR) at 49.0% and tier I capital at 48.6%. Net worth rose to Rs 4,180 crore as of December 2025.
In the previous quarter, Home First Finance had reported a 43% YoY increase in net profit to Rs 132 crore, supported by continued AUM growth and steady disbursement momentum.
The strong quarterly performance across profit, NII, AUM growth and asset quality metrics appeared to support the stock’s sharp gains during Friday’s trading session.
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