Money & Banking

Manappuram Finance post 38% rise in Q1 profit

Kochi | Updated on July 29, 2020 Published on July 29, 2020

Gold-loan lender Manappuram Finance has posted a 38 per cent increase in net profit at ₹367.97 crore in Q1 of FY21 over the ₹266.78 crore recorded in the year-ago quarter.

The net profit in the quarter for the standalone entity (which excludes subsidiaries) is ₹369.11 crore. The consolidated profits have declined by 7.59 per cent in comparison to the preceding quarter (Q4 of FY20), reflecting the impact of Covid and the lockdowns.

VP Nandakumar, MD and CEO, said: “This was a quarter when the overall business environment was severely affected by the lockdowns. However, we were able to maintain growth in our core business of gold loans, thanks to our digital infrastructure, particularly our robust online gold loan platform.”

The total consolidated operating income during the quarter stood at ₹1,512.53 crore, an increase of 27 per cent in comparison to ₹1,190.69 crore reported in the year-ago quarter. The consolidated assets under management (AUM) grew by 25.56 per cent to ₹25,345.83 crore, from ₹20,185.94 crore reported in the year-ago quarter.

The gold loan portfolio increased by 33.44 per cent to ₹17,736.79 crorefrom ₹13,292.41 crore. While the aggregate gold loans disbursed during the quarter amounted to ₹68,389.77 crore, new customer acquisition was affected by closure of branches due to lockdowns and stood at 0.33 lakh. The number of live gold loan customers stood at 24.9 lakh as of June 30.

The microfinance subsidiary, Asirvad Microfinance, ended the quarter with an AUM of ₹5,038.31 crore, a growth of 20 per cent when compared to ₹4,198.30 crore

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Published on July 29, 2020
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