• AUM growth target: Aye Finance is targeting 25% to 30% AUM growth, supported by a recent $15 million fundraise and resilient demand across its unorganized micro-MSME customer base.
• Margin outlook: Net interest margins are projected to stay close to 14.5%, as an expected 40 to 50 basis point decline in borrowing costs offsets the margin impact of a higher share of mortgage loans.
• Branch expansion strategy: Over half of future growth will be generated by existing branches and a quarter from repeat loans, with plans to add only 40 to 50 branches to the current network of 577.
• Credit cost improvement: Credit costs are expected to normalize to the 3.5% to 4.0% range from 4.6% last year, driven by sustained collection efficiency gains over the past 12 months.
• Profitability guidance: The FY27 PAT target of ₹350 to ₹400 crore will be driven by an operating expense ratio reduction of nearly 1 percentage point and the absence of previous clean-up write-offs of ₹80 to ₹90 crore.