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The company’s AUM stood at ₹25,948 crore for the March 2025 quarter, marking a 2.9% year-on-year decline but showing a 4.6% quarter-on-quarter growth from ₹24,810 crore.
Despite the sequential growth, the decline compared to the previous year highlights the ongoing challenges in the microfinance sector.
More concerning is the sharp increase in PAR 90+ days, a key indicator of loan repayment issues. The data revealed that Karnataka saw a significant jump, with PAR 90+ days rising to 2.4% from 1.2% quarter-on-quarter.
In Tamil Nadu, the figure climbed to 4.5%, up from 3.2%, reflecting growing borrower distress.
Bihar reported the highest surge, with PAR 90+ days escalating to 7.3% in the March 2025 quarter, up from 5.3% in the previous quarter.
On a broader scale, the overall PAR 0+ days slightly increased to 6.9% from 6.8% quarter-on-quarter. Excluding Karnataka, the figure improved to 6.1%, though this represents a decline from 8% in the prior quarter. The PAR 90+ days also rose to 3.3%, up from 2.6% in the previous quarter.
Industry experts suggested that the rising PAR levels could indicate mounting repayment challenges, possibly driven by economic pressures in key lending regions.
In January, CreditAccess Grameen cut its FY25 loan growth forecast to 8–12%, down from 23–24%, marking the second revision in four months.
The microfinance lender reported a net loss of ₹99.5 crore for the quarter ended December 31, 2024, due to early risk recognition, conservative provisioning, and accelerated write-offs. This contrasts with a net profit of ₹353.4 crore in the same quarter last year.
Net interest income (NII) grew 6.4% YoY to ₹905.5 crore, up from ₹850.7 crore. AUM rose 6.1% YoY to ₹24,810 crore, with the borrower base increasing 2.4% YoY to 48.05 lakh and the branch network expanding 8.7% to 2,059 branches.
Shares of CreditAccess Grameen were trading 1.19% higher at ₹968.05 on the BSE around 11.50 am.
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