Archive · 22 Jul 2026
Aye Finance shares drop 8% despite 144% profit jump
Aye Finance, a small financial company, recently reported a big increase in profits for the first quarter of the financial year 2026-27.
Their profit after tax grew by 144% compared to the same quarter last year.
However, despite this good news, their share price dropped by almost 8% on the stock market.
The company's revenue also increased by 17.7% year-on-year, but it decreased by 7.3% compared to the previous quarter.
They also reported improvements in their asset quality and a significant increase in the number of new borrowers.
The company's managing director attributed the positive performance to their strong underwriting model and good credit discipline.
Aye Finance's share price dropped 7.6% to ₹175.15 despite a 144% year-on-year increase in profit for Q1FY27.
Profit after tax grew to ₹74.5 crore from ₹30.6 crore in the same quarter last year.
Total revenue from operations rose 17.7% year-on-year but dropped 7.3% quarter-on-quarter to ₹477.37 crore.
GNPA and NNPA improved to 4.49% and 1.67%, respectively, with a continuous reduction in credit cost.
AUM grew by 28% year-on-year to ₹7,324 crore, driven by a 38% increase in new customer onboarding.
- Who
- Aye Finance, a small-cap NBFC
- What
- Share price dropped 8% despite a 144% year-on-year increase in profit for Q1FY27
- When
- On 22 July, during intraday trade
- Where
- On the BSE (Bombay Stock Exchange)
- Why
- Investors may be reacting to the quarter-on-quarter drop in profit and other market factors
Investor Reaction
Company Performance
Stock Performance
Investor Reaction
Investors reacted negatively, causing an 8% drop in share price.
Company Performance
The company reported a 144% year-on-year increase in profit for Q1FY27.
Profit Trends
Investor Reaction
Investors may be concerned about the 13.3% quarter-on-quarter drop in profit.
Company Performance
The company highlighted a 28% year-on-year growth in AUM and a 22% increase in disbursements.
- Share Price Drop
- 7.6%
- Profit After Tax (PAT)
- ₹74.5 crore (144% YoY increase)
- Total Revenue
- ₹477.37 crore (17.7% YoY increase)
- GNPA
- 4.49%
- NNPA
- 1.67%
- Credit Cost
- 4.01% (down from 4.30% in Q4FY26)
- AUM Growth
- 28% YoY to ₹7,324 crore
- New Borrowers
- 44,736 (38% YoY increase)