M-;M Financial Services hits upper circuit today, find why here

3 Nov 2022 , 01:40 PM

Mahindra & Mahindra Financial Services (M&M Finance), which posted better-than-expected profits for the September quarter, increased by as much as 10% during early trade on Thursday.

In the three months ending September 30, the NFBC’s net profit decreased by 55% to Rs448 crore from Rs1,103 crore in the same period last year, when the lender reversed impairment provisions.

According to Refinitiv statistics, analysts had predicted that the company would make close to Rs 390 crore in profit.

Shares of M&M Finance soared 10% to Rs212.95 after the announcement, before trading at 212.35 at 10.50 am. On Wednesday, the scrip closed at Rs193.60.

According to a press release, overall revenue climbed by 3% to Rs3,029 crore during the reviewed quarter from Rs2,951 crore during the same quarter last year.

The non-banking financing company, which specializes in offering financial services in the rural and semi-urban sectors, said in Q2FY22 that an improvement in asset quality caused a large reversal of impairment reserves.

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