November 06, 2014

Retail Loan Assets Under Management at Rs. 21802crs as at 30th September, 2014 Total Income for Q2 FY15 at Rs. 1062crs PAT for Q2 FY15 at Rs. 171crs.

Muthoot Finance Ltd, the largest gold financing company in India in terms of loan portfolio, declared a net profit of Rs.171crs in the second quarter of FY15 and Rs.351crs for the half year ended FY15. Total income stood at Rs.1062 crs and at Rs.2154crs respectively.

Commenting on the results M G George Muthoot, Chairman stated “Company is back on growth mode with Rs.392crs increase in gold loan portfolio during the quarter. This was possible due to concerted effort across all levels of the company. Company’s performance during the quarter is a clear sign that the business model is capable of overcoming the adversities and deliver consistent results. The commitment and focus of the company in the business should benefit the stakeholders at large going forward.”

Speaking on the occasion George Alexander Muthoot, Managing Director said “This quarter we could reverse the degrowth trend which prevailed in the last three quarters in gold loan portfolio and achieved a net growth of Rs.392crs. We expect growth momentum to continue with increased customer footfalls. We have been able to winback our customers who left our fold during the period of regulatory uncertainties. However, we expect profitability to improve along with the increase in the loan portfolio. Considering the positive sentiment and availability of capital to meet the growth requirements, Company declared a higher first interim dividend of 40% (Rs.4/- per equity share) amounting to Rs.186crs(incl tax) on Sept 30,2014. Further, as a prudent provisioning policy, Company is maintaining a higher standard asset provisioning of 0.46% against regulatory requirement of 0.25%.”

Chairman also informed that “during the quarter, the company acquired equity shares of Asia Asset Finance PLC Colombo (AAF) a listed Financial Company in Sri Lanka, Subsequent to September 30, 2014, the company further acquired equity shares raising the total holdings to 37,19,52,627equity shares 44.32% of the total number of equity shares of AAF. Further he added that during the quarter, the Company has granted 8,43,000 options to the employees as approved by the ESOP Committee of Board of Directors in their meeting held on 8th July 2014 in accordance with the “Muthoot ESOP 2013″ scheme.

About Muthoot Finance Ltd:

Muthoot Finance Limited is the largest gold financing company in India in terms of loan portfolio. The company is a “Systemically Important Non-deposit taking NBFC” headquartered in the southern Indian state of Kerala. Operating history of Muthoot Finance has evolved over a period of 75 years since M George Muthoot (the father of our Promoters) founded a gold loan business in 1939 under the heritage of a trading business established by his father, Ninan Mathai Muthoot, in 1887.

The company provides personal loans secured by gold jewellery, or Gold Loans, primarily to individuals who possess gold jewellery but could not access formal credit within a reasonable time, or to whom credit may not be available at all, to meet unanticipated or other short-term liquidity requirements.

Company is listed on both National Stock Exchange and Bombay Stock Exchange.

For More Information Please Contact:

Babu John Malayil,
Muthoot Finance Ltd,
Contact: 0484-2396478
Rama Naidu,
Adfactors Public Relations Pvt Ltd
Contact: 9920209623


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