Investment Overview

Arohan Financial Services is an unlisted company operating in the Financials sector (Microfinance). Arohan Financial Services Limited is a non-banking finance company–microfinance institution focused on financial inclusion. Part of the Aavishkaar Group, Arohan provides income-generating loans and allied products to low-income customers with limited access to formal credit. As of March 31, 2025, it…

Strengths

• : Marketplace Leadership – Fifth-largest NBFC-MFI in India with a stronghold in Eastern India.
• : Rapid Growth – Loan portfolio expanded at a 68% CAGR, reaching ₹6,616 crore in 2024.
• : Strong Asset Quality – Gross NPA reduced from 11.23% (2021) to 1.64% (2024), with Net NPA at 0%.

Key Risks

• : High Borrowing Dependency – Borrowings reached ₹5,617 crore, making up 69% of liabilities.
• : Low PAT Margins – Profitability impacted, with PAT margins at 22.7% due to rising costs.
• : Regional Concentration – Heavy exposure to low-income states increases default risks.

Valuation View

The current unlisted market price is ₹232.65 per share with a market capitalisation of approximately ₹3734 crore. IPO Status: Forthcoming/Deferred. Investors are advised to review the full financial data and consult an advisor before investing.