The net profit of Muthoot Capital Services Ltd reduced to Rs 14 crore in Q3 of FY21 compared to Rs 19 crore in the same quarter last year.

The total income for the quarter touched Rs 120.7 crore. With things slowly starting to return back to normal, the company while continuing to adopt a conservative approach, disbursed two-wheeler loans amounting to Rs 304 crore only and had a total disbursement of Rs 326 crore during the quarter. The total AUM reached Rs 2,224 crore at the end of the quarter, including the assigned portfolio of Rs 25 crore.

For the same quarter last year, the company had a total disbursement of Rs 465.8 crore and AUM at the end of same quarter last year was at Rs 2,751 crore. During the same quarter last year, the company reported total revenue of Rs 150.9 crore.

Thomas George Muthoot, Managing Director, Muthoot Capital Services Ltd, said, “While we are seeing improvement on the ground and return of customers back to the dealer points, the challenging period still continues. The business is expected to do well going forward, various requirements such as social distancing, need for your own personal vehicle etc, as well as the trends seen during the current festive season, could mean that it would take a few more months before we go back to the pre-covid levels.”

“The GDP has already contracted, impacting the common man and his livelihood. This will increase our collection efforts and make us be circumspect during disbursement. Our liquidity position is strong, and our cost of funds is seeing a downward trend. With assistance offered by the Government / RBI, a loyal team of staff and a loyal customer base, the post Covid growth will be phenomenal,” he said.

Madhu Alexiouse, Chief Operating Officer, said, “After seeing good volumes in October and November, December was a lacklustre month in comparison. We expect volumes to pick-up in January and move to pre-covid levels by March.

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