AgenciesNEW DELHI – Shares of plummeted 11 per cent in early trade on Thursday as the leading NBFC reported over 44 per cent year-on-year (YoY) decline in net profit at Rs 261 crore in the quarter ended March 2022.
The company had posted a net profit of Rs 468 crore in the same quarter of the previous year.
The company’s shares slumped to a low of Rs 93.10 as against Rs 104.60 at the previous close on the BSE.
"Our PAT (Profit After Tax) has been affected temporarily due to shifting of high yield to lower-yielding gold loans. We have reduced Opex (operating expenses) during this quarter and we intend to maintain it at this level” PTI quoted the company as saying.
"We are focusing more on collection efficiency and quality growth in MFI books and building up gold loan portfolio," the report said.
The company's net interest income also fell by 10.2 per cent in the March quarter of FY22 to Rs 986.50 crore as against Rs 1,098.40 crore in the year-ago period, PTI reported, adding that the NII was up by 3.5 per cent from the previous quarter's Rs 953.40 crore.
The income from operations was down by 8.7 per cent, at Rs 1,481.40 crore during the quarter from Rs 1,484.5 crore.
Talking about the gold loan business, Manappuram Finance said currently over Rs 2 lakh ticket size constitutes 33 per cent of its Asset Under Management (AUM) which stood at Rs 30,300 crore as of March 2022, the report said.
The AUM of the gold loan financier grew by 11.2 per cent from a year ago, while it fell marginally by 0.5 per cent from the preceding quarter.
For the full year 2021-22, the net profit of the company was down by 23 per cent at Rs 1,320.20 crore from Rs 1,708.60 crore.
The company had posted a net profit of Rs 468 crore in the same quarter of the previous year.
The company’s shares slumped to a low of Rs 93.10 as against Rs 104.60 at the previous close on the BSE.
"Our PAT (Profit After Tax) has been affected temporarily due to shifting of high yield to lower-yielding gold loans. We have reduced Opex (operating expenses) during this quarter and we intend to maintain it at this level” PTI quoted the company as saying.
"We are focusing more on collection efficiency and quality growth in MFI books and building up gold loan portfolio," the report said.
The company's net interest income also fell by 10.2 per cent in the March quarter of FY22 to Rs 986.50 crore as against Rs 1,098.40 crore in the year-ago period, PTI reported, adding that the NII was up by 3.5 per cent from the previous quarter's Rs 953.40 crore.
The income from operations was down by 8.7 per cent, at Rs 1,481.40 crore during the quarter from Rs 1,484.5 crore.
Talking about the gold loan business, Manappuram Finance said currently over Rs 2 lakh ticket size constitutes 33 per cent of its Asset Under Management (AUM) which stood at Rs 30,300 crore as of March 2022, the report said.
The AUM of the gold loan financier grew by 11.2 per cent from a year ago, while it fell marginally by 0.5 per cent from the preceding quarter.
For the full year 2021-22, the net profit of the company was down by 23 per cent at Rs 1,320.20 crore from Rs 1,708.60 crore.
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