Mumbai, the financial capital of India, is abuzz with positive news as Star Housing Finance Limited (Star HFL) has announced its financial results for the second quarter and half-year ending September 30, 2025. The company, which specializes in home finance for semi-urban and rural areas, showcased remarkable growth across various business metrics, indicating a strong performance amidst the competitive landscape of the housing finance sector.
In the latest report, Star HFL revealed a 9.55% year-on-year increase in Assets Under Management (AUM), which now stands at ₹567.27 crore. The company disbursed ₹30.56 crore during the period under review. This growth reflects the rising demand for housing finance solutions, particularly in underserved regions. Furthermore, the interest income has surged by 21.33% year-on-year, demonstrating the effectiveness of the company's strategies to enhance profitability.
The asset quality of Star HFL remained robust, with a PAR (0+ days past due) ratio at 5.13%. The Gross Non-Performing Assets (GNPA) stood at 1.65%, while the Net Non-Performing Assets (NNPA) were recorded at 1.16% as of September 30, 2025. These figures indicate a stable asset quality, a critical factor for maintaining investor confidence and ensuring long-term sustainability in the housing finance sector.
On the profitability front, Star HFL reported a profit before tax of ₹4.08 crore and a profit after tax of ₹3.17 crore for the first half of FY2025-26. The company has established strong relationships with banks and financial institutions, which supports its lending growth. Current borrowings are at ₹391.77 crore, reflecting a well-planned liability management strategy to meet business objectives.
As of the end of September 2025, Star HFL boasts a net worth of ₹146.54 crore, with leverage levels maintained at 2.67x. The company's credit ratings from CARE and India Ratings remain stable at BBB / Stable, underscoring its financial strength and commitment to maintaining a sound business model. With these promising results, Star HFL is well-positioned to continue its growth trajectory in the housing finance market, catering to the evolving needs of its customers.