IIFL Finance has announced plans to launch a retail bond issuance worth **Rs 2,000 crore** next week. This strategic move aims to fuel a business trajectory that has seen its core growth metrics more than double over the past year. The company’s expansion is primarily powered by a massive surge in the gold loan segment. Following the lifting of previous regulatory restrictions, gold loan assets under management (AUM) reached a historic high of **Rs 43,432 crore** in the December 2025 quarter. This represents a staggering **189% year-on-year increase**, as borrowers take advantage of record-high gold prices to secure higher loan values. Current market data indicates that gold prices in India have crossed **Rs 94,000 per 10 grams** as of early 2026. This appreciation has significantly boosted the value of collateral, allowing the company to maintain a robust loan-to-value (LTV) profile. The overall consolidated AUM has climbed to **Rs 98,336 crore**, bringing the firm to the threshold of the Rs 1 lakh crore milestone. Financial health remains a key highlight of the latest quarter. IIFL Finance reported a consolidated profit after tax of **Rs 501 crore**, marking a **20% growth** on a sequential basis. Asset quality has also shown marked improvement, with gross non-performing assets (GNPA) dropping to **1.60%** from 2.14% in the previous quarter. The upcoming bond issue is expected to further diversify the company’s funding mix and lower its average cost of borrowing, which recently moderated to approximately **9.24%**. With a healthy liquidity buffer of over **Rs 9,400 crore**, the firm is positioning itself to capture a larger share of the organized gold loan market, which is projected to exceed **Rs 10 lakh crore** in the current fiscal year. To reward shareholders during this growth phase, the board recently approved an interim dividend of **Rs 4 per share**. The management remains focused on a "phygital" expansion strategy, combining its extensive branch network with AI-driven risk assessment to sustain this momentum through 2026 and beyond.