Gold loan-focused NBFC Muthoot Finance on Saturday reported a 25% year-on-year rise in standalone net profit to ₹2,550 crore for the quarter ended June 2026 (Q1FY27), driven by robust gold loan disbursements and higher interest income. Sequentially, however, profit declined from ₹3,086 crore in the March quarter, which is typically a seasonally strong period for lenders.

Standalone revenue from operations grew 33% year-on-year to ₹7,589 crore, primarily on the back of higher interest income, which increased to ₹7,506 crore from ₹5,592 crore a year earlier. Standalone loan assets under management (AUM) surged 43% to hit an all-time high of ₹1.72 lakh crore. Within that, gold loan AUM rose 44% to ₹1.63 lakh crore, while the non-gold loan portfolio expanded 28% to ₹8,755 crore.

“Standalone loan AUM reached a historic high of ₹1.72 lakh crore, driven by robust 44% year-on-year growth in gold loan AUM of ₹50,104 crore,” said George Alexander Muthoot, Managing Director. He attributed the growth to the company’s three-pronged strategy of accelerating disbursements, improving operational efficiency and maintaining healthy margins.

Standalone gold loan disbursements to new customers stood at ₹8,937 crore, with the company adding 4.82 lakh new customers during the quarter. Average gold loan outstanding per branch increased 40% year-on-year to ₹32.47 crore. In the previous quarter, Muthoot Finance had guided for 15% AUM growth in FY27, consistent with its practice of issuing conservative guidance at the beginning of the financial year, with the possibility of upward revisions in subsequent quarters.

On a consolidated basis, the company reported a 43% year-on-year increase in net profit to ₹2,825 crore, while consolidated AUM grew 43% to ₹1.92 lakh crore. The consolidated numbers include Muthoot Homefin, Belstar Microfinance and Muthoot Insurance Brokers.

Among subsidiaries, Belstar Microfinance’s loan AUM edged up 2% year-on-year to ₹7,842 crore. Muthoot Money, the company’s new gold loan subsidiary, more than doubled its AUM to ₹10,550 crore, while Muthoot Homefin’s loan book grew 13% to ₹3,496 crore. Muthoot Finance accounted for 88% of the group’s consolidated AUM as of June-end.

Shares of Muthoot Finance closed 4% higher at ₹3,119.60 on Friday, ahead of the results announcement on Saturday.