Muthoot Finance , India's largest gold financing company, has reported stellar financial results for the first quarter, showcasing robust growth across key metrics.

Record-Breaking Performance

The company achieved its highest ever standalone profit after tax of ₹2,046.00 crores, marking a substantial 90% year-over-year increase. This impressive growth was underpinned by a 42% rise in standalone loan assets under management (AUM), which reached ₹1,20,031.00 crores.

Gold Loan Portfolio Expansion

Muthoot Finance's core gold loan business continued to drive growth, with gold loan AUM expanding by 40% year-over-year to ₹1,13,194.00 crores. The company also reported its highest ever average gold loan AUM per branch at ₹23.21 crores.

Key Financial Highlights

• Total income rose by 54% to ₹5,720.00 crores
• Profit before tax increased by 84% to ₹2,745.00 crores
• Earnings per share (EPS) grew to ₹50.97, up from ₹26.87 in the previous year's Q1

Operational Metrics

The company's operational efficiency remained strong:

Customer Base and Gold Holdings

Muthoot Finance continued to expand its customer reach:

• Gold loan disbursements to new customers amounted to ₹6,355.00 crores, serving 4,45,481 customers
• The company held 209 tonnes of gold jewellery as security, marking its highest ever quantity

Subsidiary Performance

The company's subsidiaries also showed positive results:

• Muthoot Homefin reported a 41% increase in loan AUM to ₹3,096.00 crores
• Muthoot Money saw a significant 202% growth in loan AUM, reaching ₹5,000.00 crores

Management Commentary

George Alexander Muthoot, Managing Director, stated, "We had an impressive start to the year with our Standalone Loan Assets Under Management reaching a historic high of ₹1,20,031.00 crores, driven by robust 40% YoY growth in gold loan of ₹32,272.00 crores and a 10% QoQ increase of ₹10,238.00 crores. This growth is a testament to our three-pronged strategy to focus on disbursements, operational efficiency, and maintaining healthy margins."

He added, "Looking ahead, we are accelerating our efforts to digitally enable our gold loan offerings, making credit access faster, more seamless, and more inclusive. Our technology investments are already enhancing customer experience, reducing turnaround times, and strengthening operational efficiency."

Market Position

Muthoot Finance's market capitalization crossed the ₹1 trillion mark, reflecting investor confidence in the company's growth trajectory and financial performance.

The company's strong Q1 results underscore its leadership in the gold loan segment and its ability to capitalize on the growing demand for quick, reliable, and affordable credit in India's evolving financial landscape.

Muthoot Finance Limited , India's largest gold financing company, has reported stellar financial results for the first quarter, with significant growth across key metrics.

Record-Breaking Performance

The company achieved its highest ever standalone profit after tax of ₹2,046.00 crores, marking a remarkable 90% year-over-year increase from ₹1,079.00 crores in the same quarter of the previous year. This exceptional growth was driven by a robust 42% year-over-year expansion in standalone loan assets under management (AUM), which reached ₹1,20,031.00 crores.

Gold Loan Portfolio Surge

Muthoot Finance's core gold loan business saw substantial growth, with gold loan AUM increasing by 40% year-over-year to ₹1,13,194.00 crores. The company's gold holdings also hit a record high, with 209 tonnes of gold jewellery held as security in its lockers.

Operational Highlights

The company's branch network expanded marginally to 4,877 branches, while the average gold loan per branch increased significantly to ₹23.21 crores, up from ₹16.67 crores in the same quarter last year. This indicates improved operational efficiency and higher business volumes per branch.

Financial Metrics

Muthoot Finance demonstrated strong financial performance across various metrics:

Consolidated Results

On a consolidated basis, including its subsidiaries, Muthoot Finance reported:

• 37% year-over-year growth in consolidated loan AUM to ₹1,33,938.00 crores
• 65% year-over-year increase in consolidated profit after tax to ₹1,974.00 crores

Subsidiary Performance

The company's subsidiaries also showed mixed results:

• Muthoot Homefin (India) Ltd saw a 41% year-over-year increase in loan AUM to ₹3,096.00 crores
• Muthoot Money Ltd experienced significant growth with a 202% year-over-year increase in loan AUM to ₹5,000.00 crores
• Belstar Microfinance Limited faced challenges, reporting a loss of ₹128.00 crores for the quarter

Management Commentary

George Jacob Muthoot, Chairman of Muthoot Finance, stated, "Muthoot Finance has begun with a strong footing with our Consolidated Loan Assets Under Management reaching highest ever level of ₹1,33,938.00 crores and Standalone Loan Assets Under Management reaching highest ever level of ₹1,20,031.00 crores."

George Alexander Muthoot, Managing Director, added, "We had an impressive start to the year with our Standalone Loan Assets Under Management reaching a historic high of ₹1,20,031.00 crores, driven by robust 40% YoY growth in gold loan of ₹32,272.00 crores and a 10% QoQ increase of ₹10,238.00 crores."

Market Position

The company's strong performance has bolstered its market position, with its market capitalization crossing the ₹1 trillion mark. As of the end of the quarter, Muthoot Finance's market capitalization stood at ₹10,53,915.00 million.

These results underscore Muthoot Finance's continued leadership in the gold loan segment and its ability to capitalize on the growing demand for quick and reliable credit in India's evolving financial landscape.