Gurugram: Aye Finance closed FY26 on a strong footing, combining steady growth with improving asset quality and robust collection performance.
The company’s Assets Under Management rose to Rs 7,044 crore in FY26, up from Rs 5,534 crore in FY25, reflecting a 27 percent increase. Quarterly performance also showed momentum, with AUM growing 11 percent sequentially from Rs 6,356 crore in Q3 FY26. This expansion highlights sustained demand for credit among micro-enterprises and the company’s ability to scale its lending operations effectively.
Disbursements reached Rs 5,169 crore during FY26, compared to Rs 4,291 crore in the previous year, registering a 20 percent growth. In Q4 FY26, disbursements rose sharply by 26 percent quarter-on-quarter to Rs 1,655 crore. The steady increase indicates continued credit demand from small businesses, supported by improving economic conditions and business activity across key segments.
The company reported a noticeable improvement in asset quality during the year. GNPA declined to 4.77 percent in Q4 FY26, while PAR X reduced by 115 basis points between October 2025 and March 2026. The 1-90 days past due ratio also improved to 1.87 percent, indicating better repayment behaviour and stronger credit discipline across the portfolio.
Collection efficiency remained strong, with non-overdue collection efficiency reaching 99.5 percent in March 2026. Early-stage delinquencies also improved, with Bucket 1 efficiency rising to 62.5 percent. Key states such as Bihar, Uttar Pradesh, and Rajasthan recorded strong repayment trends, contributing to overall portfolio stability and improved performance metrics.
The company’s portfolio remains well-diversified across 18 states and 3 union territories, along with presence in more than 70 business clusters. This geographic spread has helped mitigate risks and maintain operational stability amid changing market conditions. Management indicated that improved asset quality and strong collections reflect both disciplined lending practices and the resilience of its customer base. The company plans to continue leveraging technology and data-driven approaches to expand its reach among micro-enterprises. Overall, Aye Finance’s FY26 performance highlights a balanced growth trajectory, combining scale with improving credit metrics and operational efficiency.
Disclaimer: This article is based solely on the company’s press release dated April 6, 2026. All figures are provisional and subject to audit, and no independent verification has been conducted.
