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PNB Housing expects to cross Rs 1 lakh crore AUM in Q3 FY27: MD Ajai Shukla

PNB Housing Finance expects to cross the Rs 1 lakh crore assets under management (AUM) mark in Q3 FY27, with the lender retaining its 18-20 per cent growth guidance despite the impact of rate cuts on margins and balance transfers. The housi

1 lakh croreQ3 FY27
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Executive Summary

PNB Housing Finance is on track to cross the milestone of ₹1 lakh crore in Assets Under Management (AUM) during the third quarter of FY27 (Q3 FY27), according to Managing Director and Chief Executive Officer Ajai Shukla.

With the company's loan book currently standing at over ₹93,000 crore, the mortgage lender is driving a deliberate portfolio re-engineering. The strategy focuses on scaling affordable and emerging housing loans to represent 50% of the total loan book by FY28, alongside launching specialized micro-housing credit lines in Tier-2, Tier-3, and peri-urban markets.


Key Financial Targets & Strategic Milestones

Strategic MetricCurrent LevelTarget LevelTarget Timeline

Total Assets Under Management (AUM)

₹93,000+ Crore

₹1,00,000+ Crore (₹1 Lakh Cr)

Q3 FY27

Affordable & Emerging Housing Share

Expanding

45% of Portfolio

End of FY27

Affordable & Emerging Housing Target

—

50% of Portfolio

FY28

Micro-Housing Loan Book (₹9L–₹20L)

Newly Launched

₹100 Crore Portfolio

End of FY27


Core Strategic Growth Engines Under MD Ajai Shukla

The growth trajectory under Ajai Shukla—who took charge as MD & CEO in December 2025 with over three decades of mortgage lending leadership—is anchored by three operational pillars:

1. Rapid Scaling of Affordable Housing ("Roshni")

PNB Housing is actively shifting its disbursement mix toward higher-yielding affordable and emerging tier-2/tier-3 housing loans. By targeting a 45% portfolio share by FY27 and 50% by FY28, the company aims to enhance its Net Interest Margins (NIMs) and insulate yields against aggressive pricing competition from universal commercial banks in the prime metro segment.

2. Entry into Sub-₹20 Lakh Micro-Housing

The company has introduced a dedicated micro-housing vertical offering loan ticket sizes between ₹9 lakh and ₹20 lakh, targeting a ₹100 crore book by the end of FY27. This segment addresses informal, self-employed income earners who require localized cash-flow assessments rather than standard payroll documentation.

3. Granular Balance-Sheet De-risking

By systematically reducing large-ticket corporate developer exposures in favor of granular, small-ticket retail home loans, PNB Housing has strengthened its asset quality, resulting in lower credit costs and stable asset tagging.


Why it matters

Housing Finance Sector Outlook

As India’s large universal banks leverage low-cost CASA deposits to dominate prime salaried mortgages, non-bank housing finance companies (HFCs) are securing their long-term competitive moat in informal and affordable housing finance.

Through its calibrated branch expansion, dedicated affordable underwriting architecture, and entry into micro-mortgages, PNB Housing Finance is positioning itself to enter the ₹1 lakh crore AUM tier with sustainable margins and resilient asset quality through FY27 and FY28.

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Sources

Finsamudra Desk27 Aug 2026, 7:33 am IST
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