NBFC Muthoot Finance on Wednesday reported a 22.5% year-on-year (y-o-y) increase in its fourth quarter consolidated net profit to Rs 1,023.76 crore, largely due to good performance of the gold loan division.
The company, which also operates home loan, microfinance and insurance broking subsidiaries, said the net profit of the gold loan division rose 24% y-o-y, while net profit of the non-gold subsidiaries declined 32% to Rs 119 crore from Rs 176 crore in the year-ago period.
Gold loans under management reported a quarter-on-quarter growth of 5% during Q4, while other loans declined by almost 9%.
The Kerala-based lender said its consolidated loan assets under management increased 24% year-on-year to touch Rs 58,280 crore in Q4.
For the entire FY21, the NBFC reported a 21% y-o-y increase in its net profit to Rs 3,818.87 crore.
The standalone net profit of Muthoot Finance increased 22% y-o-y to touch Rs 995.66 crore in Q4. For the entire FY21, it reported a net profit of Rs 3,722.17 crore, an increase of 23% compared to Rs 3,018 crore in FY20.
Loan assets stood at Rs 52,622 crore as on March 31, 2021, as against Rs 41,611 crore in the year-ago period. During the quarter, gold loan assets increased by Rs 2,304 crore.
George Alexander Muthoot, managing director, said, “During the quarter, we disbursed fresh loans to 3.61 lakh new customers amounting to Rs 2,753 crore and to 4.32 lakh inactive customers amounting to Rs 2,917 crore.”
The long-term credit ratings of Muthoot was upgraded to ‘AA+’ by CRISIL and ICRA .