iifl-logo

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

sidebar image

Muthoot Finance declines after muted Q4 performance

27 May 2022 , 12:16 PM

Operating profit declined 6.8% YoY to Rs 1,387.21 crore during the quarter. Provisions and write-off dropped 82.4% to Rs 14.61 crore in Q4 FY22 from Rs 83.15 crore in Q4 FY21. Profit before tax in Q4 FY22 stood at Rs 1,351.83 crore, down by 2.4% from Rs 1,385.16 crore in Q4 FY21. The company recorded 5.6% growth in consolidated net profit to Rs 4,016.62 crore on a 5.8% increase in total income to Rs 12,237.46 crore in FY22 over FY21. Muthoot Finances consolidated loan assets under management grew 11% YoY to Rs 64,494 crore as at FY22 as against Rs 58,280 crore last year. George Jacob Muthoot, Chairman stated, ?Despite the ongoing geo-political crisis and covid related base challenges, Muthoot Finance has delivered a consistent performance in this quarter?.. As the economy is gradually recovering, the demand for gold loans has been steady and we remain optimistic for the coming financial year. Gold prices have been steadily rising over the last three years and this has attracted new customers towards the product and has positively helped the sector. With Indian Households owning the worlds biggest private stock of gold, and only about ten percent in the organized gold loan market space including gold loan companies, there is huge untapped opportunity in gold loan sector. We aim to keep innovating and maintain our leadership in the gold loan sector.? George Alexander Muthoot, Managing Director said, ?Since we are witnessing signs of recovery in the economy, the RBI rate hike may not dampen overall demand scenario and we are expecting borrowing cost to go up gradually during the year. Gold loans are a great option both, in times of rise and drop in economic activities. As the economy recovers and overall economic demand revives, our focus will be to make the most of the opportunities and keep innovating further. With respect to our subsidiaries, following the rise in demand in the economy, the collections from Micro finance, vehicle finance and home loans have improved. We aim to further improve our collections in these segments. However, we will continue to adopt a balanced growth strategy and given the ongoing macro-economic environment we continue to be cautious on the Micro finance and Vehicle finance business.? Muthoot Finance is the flagship company of the Kerala-based business house, The Muthoot Group, which has diversified operations in financial services, healthcare, education and hospitality. It is Indias largest gold loan focussed NBFC. The company derives a major portion of its business from South India, where gold loans have traditionally been accepted as a means of availing short-term credit, although it has increased its presence beyond South India over the last few years.Powered by Capital Market – Live News

Related Tags

  • capital market
sidebar mobile

BLOGS AND PERSONAL FINANCE

Read More
Knowledge Center
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Capital Services Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Loading...

Follow us on

facebooktwitterrssyoutubeinstagramlinkedintelegram

2025, IIFL Capital Services Ltd. All Rights Reserved

ATTENTION INVESTORS

RISK DISCLOSURE ON DERIVATIVES

Copyright © IIFL Capital Services Limited (Formerly known as IIFL Securities Ltd). All rights Reserved.

IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)

ISO certification icon
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.