Aye Finance Reports Stellar Growth, Triples Profit in FY24

Aye Finance Triples Profit
Preeti Bali / 8:05 am / June 7, 2024

Aye Finance, a leading non-banking financial institution (NBFC) focused on micro-enterprise lending, has unveiled impressive financial results for the fiscal year 2023-24. The company’s profit after tax (PAT) witnessed a remarkable surge, nearly tripling to Rs 161 crore compared to Rs 57 crore in the previous year. Revenue also experienced significant growth, climbing 67% to Rs 1,072 crore from Rs 643.34 crore. Assets under management (AUM) mirrored this positive trend, expanding to Rs 4,400 crore from Rs 2,700 crore.

Maintaining Financial Discipline and Market Focus

Aye Finance has successfully maintained its net non-performing assets (NPA) below 1%, with a significant portion of its loan portfolio secured by collateral. This financial discipline underscores the company’s robust market presence and strategic commitment to the micro, small, and medium enterprises (MSME) sector.

“Our growth is fueled by the unwavering strength of the micro-MSME segment,” stated Sanjay Sharma, Managing Director of Aye Finance. “We remain steadfast in empowering MSMEs, fostering financial inclusion, and contributing to the nation’s overall economic development,” he added in a press release.

A Legacy of Empowering Micro-Enterprises

Founded in 2014 by veterans of Ujjivan Finance, Sanjay Sharma and Vikram Jetley, Aye Finance has carved a niche in supporting micro-enterprises across India. The company has disbursed over Rs 12,000 crore in small-ticket loans to more than nine lakh businesses, providing unsecured financial assistance to underserved micro-enterprises. By leveraging advanced data analytics and technology, Aye Finance has streamlined its credit assessment, underwriting, and loan administration processes, enhancing both efficiency and accessibility.

Financial Strength Bolstered by Strategic Investments

Aye Finance achieved profitability in the first quarter of FY24 itself, with a PAT of Rs 38.67 crore. The company’s robust growth trajectory and financial stability are further bolstered by the support of prominent impact investors, including CapitalG, Elevation Capital, Light Rock, Alpha Wave, A91 Partners, and MAJ Invest.

Securing Capital for Continued Growth

Aye Finance has actively secured funding to fuel its expansion plans. In March 2024, the company secured €15 million ($16.2 million) in debt funding from German impact investor Invest in Vision’s private funds. Additionally, December 2023 saw Aye Finance raise Rs 310 crore in a Series F funding round led by the UK’s development finance institution British International Investment. This followed a significant external commercial borrowing of $10 million from Swiss-based responsAbility Investments AG in December 2022.


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