IndoStar Capital Finance Q3 FY25 PAT at ₹28 Cr, Vehicle Finance Grows 51%

IndoStar, a middle-layered non-banking finance company (NBFC) registered with the Reserve Bank of India, announced its financial results for the quarter ended December 31st, 2024, earlier today.

The company’s AUM at ₹10,625 crore, is up 5% QoQ from ₹10,112 crore in Q2 FY25. At a consolidated level, the Company delivered a PAT of ₹ 28 crore for Q3 FY25.

Q3 FY25 Quarter Performance:

Used commercial vehicle (CV):

o   Vehicle finance (VF) AUM at ₹ 7,303 crore, up 5% QoQ and 51% YoY

o   VF Disbursements at ₹ 1,265 crore, up 18% from ₹ 1,074 crore in Q3FY24

Q3 FY25 Highlights (Consolidated):

·                    AUM at ₹ 10,625 crore, up 5% from ₹ 10,112 crore in Q2 FY25 and up 32% from Q3 FY24

·                    Disbursements of ₹ 1,572 crore, up 17% from ₹ 1,345 crore in Q3 FY24

Q3 FY25 Highlights (Standalone - ICF):

·                    AUM at ₹ 7,877 crore, up 4% QoQ from ₹ 7,550 crore in Q2 FY25

·                    VF AUM at ₹ 7,303 crore, up 5% QoQ from ₹ 6,964 crore in Q2 FY25 and up 51% from Q3 FY24

·                    VF Disbursements at ₹ 1,265 crore, up 18% from ₹ 1,074 crore in Q3 FY24

·                    Debt/Equity Ratio at 2.04x

·                    Gross Stage 3 assets at 4.92% for Q3 FY25

·                    Net Stage 3 assets are at 2.71% for Q3 FY25

·                    Strong Capital Adequacy at 28.51%

Q3 FY25 Highlights (Subsidiary – Niwas Housing Finance Private Limited “NHFPL” formerly known as IndoStar Home Finance Private Limited):

·                    AUM at ₹ 2,748 crore, up 7% QoQ from ₹ 2,562 crore in Q2 FY25, and up 34% from Q3 FY24

·                    Disbursements at ₹ 281 crore, up 25% from ₹ 224 crore in Q3 FY24

·                    Debt/Equity Ratio at 2.99x times

·                    Gross Stage 3 assets at 1.64% for Q3 FY25

·                    Net Stage 3 assets at 1.29% for Q3 FY25

·                    Strong Capital Adequacy at 52.62%, on a standalone basis

Progress on key initiatives is detailed here:

Allotment of warrants to BCP V Multiple Holdings Pte Ltd (“BCP V”): During the quarter, the Board approved the allotment of warrants of the Company on a preferential basis by way of a private placement, to BCP V, a promoter of the Company. Total consideration received ₹ 205 crore (i.e., 80% of the total subscription amount of ₹ 257 crore). 

Change in name of material subsidiary: w.e.f. November 22, 2024, the name of IndoStar Home Finance Private Limited (“IHFPL”) a wholly owned subsidiary of IndoStar Capital Finance Limited (Indostar) has been changed to “Niwas Housing Finance Private Limited”.

Sale of Stressed Pool: On December 31, 2024, IndoStar sold a pool of assets from its Commercial Vehicle business worth ₹174 crore to Assets Care & Reconstruction Enterprise Limited (“ACRE”).

IndoStar Capital Finance Limited (“ICFL”) (Standalone) Financial performance

ICFL delivered a PAT of ₹ 11 crore in Q3 FY25. The AUM for ICFL stands at ₹ 7,877 crore out of which the retail vehicle finance business is ₹ 7,303 crore. Disbursements during the quarter stood at ₹ 1,291 crore, up 15% from ₹ 1,121 crore in Q3 FY24. The company’s Gross Stage 3 reduced to 4.92% in Q3 FY25 and Net Stage 3 is at 2.71%. The company maintained a strong Capital Adequacy Ratio (CAR) of 28.51% on a standalone basis. Debt equity ratio stood at 2.04x.

Niwas Housing Finance Private Limited (“NHFPL”) (Standalone) Financial Performance

NHFPL delivered a PAT of ₹ 16 crore in Q3 FY25 aided by AUM growth and securitization transactions. The AUM in NHFPL stands at ₹ 2,748 crore in Q3 FY25, up 34% from ₹2,047 crore in Q3 FY24. NHFPL continues to deliver on its core strategy of providing affordable housing loans in semi-rural and rural markets, while maintaining healthy asset quality. The company reported Gross Stage 3 assets at 1.64%. NHFPL has a Capital Adequacy Ratio (CAR) of 52.62%.

Key Performance Highlights (ICF Standalone):

Key Performance Highlights (NHFPL Standalone):