NBFC Muthoot Finance on Tuesday announced a 17% year-over-year increase in its third quarter consolidated net profit to Rs 1,006.6 crore with its rapidly growing gold loan portfolio.
The Kerala-based lender said its Consolidated Loan Assets Under Management (AUM) grew 28% year-on-year to Rs 55,800 crore in the quarter.
The finance company, which also operates mortgage lending, microfinance and insurance brokerage subsidiaries, said the net profit of the gold lending division, Muthoot Finance (MFIN), rose 22% in year on year to reach 991 crore rupees.
Managing Director George Alexander Muthoot said: “We have had a remarkable third quarter with several accomplishments. Our stand-alone loan assets from Muthoot Finance have passed the Rs 50,000 crore mark. Our active clients who currently have a loan account have also crossed the 50 lakh mark. We have achieved 22% growth in the gold loan portfolio in the nine months of the current year and we will likely end the year with at least 25% growth versus 22% growth. the previous year. “
“During the quarter, Muthoot Finance’s gold loan portfolio increased from Rs 3,389 crore to Rs 49,622 crore, representing growth of 7% quarter over quarter. Our disbursements for the quarter focused on new client additions, new loans to active and inactive clients and top-up loans to existing clients. We disbursed new loans at 3.88 lakh to new clients for an amount of Rs 2,976 crore and 4.38 lakh to inactive clients for an amount of Rs 2,960 crore, ”he added.
The subsidiaries have taken a cautious approach to credit. The share of subsidiaries constitutes 10% of the consolidated loan portfolio.