Quick Take
- Aye Finance Q4 FY26 net profit surged 111% YoY and 102% QoQ to Rs 85.9 Cr, its strongest quarter on record.
- Full-year FY26 PAT reached Rs 193.6 Cr (+13% YoY); operating revenue grew 24% to Rs 1,814.7 Cr.
- AUM hit Rs 7,044 Cr (+27% YoY) while GNPA improved to 4.77%, reversing a multi-quarter deterioration trend.
Aye Finance Q4 FY26 net profit surged 111% year on year to Rs 85.9 Cr, up from Rs 40.7 Cr in Q4 FY25, the MSME-focused NBFC disclosed on April 27, 2026, marking its strongest quarterly earnings since listing on the BSE and NSE in February 2026.
The result turns a page on a difficult first half. Profit had slipped roughly 40% in H1 FY26 as impairment costs and NIM compression weighed on the books. The Q4 recovery — driven by record collection efficiency and a turning asset-quality cycle — signals that Aye Finance’s credit book has stabilised meaningfully.
StartupFeed Insight
The real story in the Aye Finance Q4 FY26 numbers is not the profit — it is the GNPA trajectory. GNPA declining to 4.77% from a peak above 4.85% earlier in the year, combined with collection efficiency reaching 99.50% on non-overdue accounts in March 2026, suggests the worst of the micro-MSME stress cycle is behind the company. For a newly listed NBFC trading near its IPO price of Rs 129, a clean exit from the credit cycle trough is the single biggest de-risking event that institutional investors were waiting for. If operating revenue growth stays above 20% and GNPA continues to drift below 4.5% through FY27, Aye Finance’s stock re-rating thesis becomes very compelling.
Aye Finance Q4 FY26: Full Financial Breakdown
| Metric | Q4 FY26 | Q4 FY25 | Change (YoY) | Q3 FY26 | Change (QoQ) |
|---|---|---|---|---|---|
| Net Profit (PAT) | Rs 85.9 Cr | Rs 40.7 Cr | +111% | Rs 42.6 Cr | +102% |
| Operating Revenue | Rs 528.4 Cr | ~Rs 409 Cr* | +29% | ~Rs 444 Cr* | +19% |
| Other Income | Rs 16.8 Cr | — | — | — | — |
| Total Income | Rs 545.3 Cr | — | — | — | — |
| Total Expenses | Rs 434.4 Cr | — | +18% | — | — |
| *Prior-period quarterly operating revenue figures derived from full-year disclosures; treated as estimated. | |||||
Revenue grew faster than expenses — up 29% against an 18% cost rise — compressing the cost-to-income ratio and driving the sharp PAT expansion. For the full fiscal year, FY26 PAT came in at Rs 193.6 Cr, a 13% increase over FY25’s Rs 171.3 Cr. Full-year operating revenue reached Rs 1,814.7 Cr, up 24% YoY.
About Aye Finance
Aye Finance Limited is a Gurugram-headquartered NBFC founded in 2014 by Sanjay Sharma (MD and CEO) and Vikram Jetley. The company provides secured and unsecured small-business loans — average ticket size roughly Rs 1.5 Lakh — to micro-scale MSMEs in manufacturing, trading, services, and allied agriculture. It operates across 18 states and 3 union territories, serving over 5.86 lakh active customers through 70+ business clusters and a “phygital” model combining branch presence with data-driven underwriting. As of FY26 year-end, AUM stood at Rs 7,044 Cr. Aye Finance listed on BSE and NSE in February 2026 via a Rs 1,010 Cr IPO at Rs 129 per share. Key investors include A91 Partners, CapitalG, LGT Lightstone, MAJ Invest, and British International Investment.
Is Aye Finance’s asset quality finally turning around?
The clearest signal from the FY26 provisional data is the GNPA reversal. GNPA improved to 4.77% in Q4 FY26, down from a peak of approximately 4.85% seen earlier in the year. The 1-90 DPD ratio (loans overdue between 1 and 90 days) tightened to 1.87% as of March 2026, pointing to fewer accounts entering the stress pipeline.
Collection efficiency tells an even sharper story. March 2026 registered the highest collection efficiency levels of the entire fiscal year — 99.50% on non-overdue accounts and 62.50% on Bucket 1 (accounts overdue under 30 days). Top states Bihar, Uttar Pradesh, and Rajasthan — collectively representing 43% of AUM — all crossed 99.50% collection efficiency, with Rajasthan reaching 99.70%.
“We have closed FY26 on a strong note, with good growth in AUM and disbursements, along with clear improvement in asset quality metrics and collection efficiency.” — Sanjay Sharma, Managing Director, Aye Finance
Disbursements grew 20% YoY in FY26. Combined with the 27% AUM expansion to Rs 7,044 Cr, the numbers confirm that Aye Finance did not sacrifice growth to manage credit quality — it achieved both simultaneously in H2.
How does Aye Finance compare to MSME NBFC peers?
| Company | FY26 AUM (approx.) | GNPA (latest) | Focus Segment |
|---|---|---|---|
| Aye Finance | Rs 7,044 Cr | 4.77% | Micro-MSME (unsecured + secured) |
| Ugro Capital | ~Rs 10,000 Cr+ | ~2.5% (estimated) | SME (secured, data-driven) |
| Lendingkart | ~Rs 4,500–5,000 Cr | Not publicly disclosed | Digital SME (unsecured) |
Aye Finance’s GNPA is higher than peers in the secured SME segment, which reflects the inherently riskier micro-enterprise borrower profile — thin documentation, informal cash flows. The trade-off: Aye Finance reaches borrowers that larger NBFCs structurally cannot. India’s MSME credit gap is estimated at over Rs 25 lakh crore, and Aye Finance’s cluster-based underwriting is one of the few replicable models for that segment.
What’s Next
Watch for Aye Finance’s full Q4 FY26 audited results — the provisional figures published today will be replaced by audited financials in the coming weeks. The key metric to track: whether GNPA drops below 4.5% in Q1 FY27, which would confirm a sustained credit cycle recovery rather than a seasonal spike in collections. With AUM at Rs 7,044 Cr, the next milestone is Rs 10,000 Cr — achievable within 18–24 months at current disbursement velocity. Will the stock re-rate above the IPO price of Rs 129 once audited results confirm today’s provisional numbers?
Frequently Asked Questions
What was Aye Finance’s Q4 FY26 net profit?
Aye Finance’s Q4 FY26 net profit was Rs 85.9 Cr, an increase of 111% year on year from Rs 40.7 Cr in Q4 FY25 and a jump of 102% sequentially from Rs 42.6 Cr in Q3 FY26. Operating revenue for the quarter was Rs 528.4 Cr, up 29% YoY, with total income including other income at Rs 545.3 Cr.
What were Aye Finance’s full-year FY26 results?
For the full fiscal year FY26, Aye Finance reported a PAT of Rs 193.6 Cr, up 13% from Rs 171.3 Cr in FY25. Full-year operating revenue grew 24% YoY to Rs 1,814.7 Cr. AUM for the year expanded 27% to Rs 7,044 Cr, with disbursements growing 20% YoY. GNPA improved to 4.77% by the end of Q4 FY26.
What does Aye Finance do and who founded it?
Aye Finance is a Gurugram-based NBFC founded in 2014 by Sanjay Sharma and Vikram Jetley. It provides small-business loans — both secured and unsecured — to micro-scale MSMEs across 18 Indian states, using a cluster-based underwriting model to serve borrowers with limited formal documentation. It listed on BSE and NSE in February 2026 via a Rs 1,010 Cr IPO.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. StartupFeed and its authors are not SEBI-registered investment advisors. The analysis above is based on publicly available information and should not be the sole basis for any investment decision. Please consult a SEBI-registered financial advisor before making investment decisions.
Written by StartupFeed Desk. Published: April 27, 2026. Updated: April 27, 2026. Have a tip? Write to us at editorial@startupfeed.in.
