Muthoot Finance’s standalone net profit nearly doubled to Rs 2,656 crore in the third quarter, driven by strong interest income amid record gold loan disbursements. The country’s largest gold loan NBFC had reported a net profit of Rs 1,363 crore in the year-ago period. Standalone revenue from operations rose 64% year-on-year to ₹7,243 crore, led by a 63% jump in interest income to Rs 7,114 crore in Q3FY26.
Standalone loan AUM touched an all-time high of Rs 1.48 lakh crore as of 9MFY26, up 51% year-on-year, with gold loan AUM at Rs 1.40 lakh crore. In Q3 alone, gold loan AUM increased by Rs 14,740 crore, registering 12% sequential growth. For the nine-month period, loan AUM grew 36% surpassing earlier projections and prompting the company to raise its full-year guidance.
“We had earlier guided for 30–35% growth. It’s time to revise that to 45%,” said George Alexander Muthoot, MD, Muthoot Finance. He added that demand for gold loans remains strong due to tightening credit in unsecured personal loans, stress in microfinance, and limited availability of collateral-free business loans. “People are increasingly monetising their gold ornaments to access easy credit. Our branch network and goodwill are also helping us gain business,” he added.
The company had earlier raised its FY26 loan growth guidance to 30–35% from 15%.
On the RBI scrapping prior approval for branch expansion by gold loan NBFCs, Muthoot said the move reflects regulatory confidence in established players. “It shows the regulator wants the gold loan business to grow further,” he said. Earlier this month, the Reserve Bank of India announced that gold loan NBFCs with over 1,000 branches will no longer need prior approval to open new branches.
Muthoot Group has a consolidated network of 7,541 branches, having added 150 new branches during 9MFY26. “We typically open around 100 branches annually. Our branch expansion plans for FY26 and FY27 will continue in a calibrated and disciplined manner subject to necessary approvals from the RBI,” Muthoot said.
On a consolidated basis, loan AUM reached a record Rs 1.65 lakh crore as of Q3FY26. During 9MFY26, consolidated AUM grew by Rs 42,539 crore, or 35%. The consolidated numbers include Muthoot Homefin, Belstar Microfinance and Muthoot Insurance Brokers. Belstar Microfinance returned to profitability with a net profit of ₹51 crore on revenue of Rs 471 crore, after reporting losses of Rs 32 crore and Rs 128 crore in the first two quarters.
“Most of the bad loans have been written off and the new book is stabilising. By year-end, it should be at least at break-even,” Muthoot said.
Belstar’s MFI AUM declined to ₹7,911 crore in 9MFY26 from Rs 8,703 crore a year earlier. The company opened about 100 branches to expand non-MFI lending and diversify its portfolio. As per RBI norms, MFIs can have up to 40% of their loan book in non-MFI loans. Muthoot Money saw its loan portfolio triple to ₹8,003 crore in 9MFY26. Revenue rose to ₹361 crore, with profit at ₹97 crore. Shares of Muthoot Finance closed 3% higher at ₹4,070 on the NSE.