Muthoot Finance profit surges 46pc to Rs1720 cr

KOCHI: Muthoot Finance Ltd, the largest gold financing company in India in terms of loan portfolio, registered an increase in net profit of 46 per cent, to Rs1720 crore for the year ending March 31 2018 against Rs1180 crore the group posted for the previous year.

The loan book during this period expanded by 7 per cent to Rs29,138 crore from Rs27,278 crore a year ago. According to a company release, the company paid an income tax of Rs1037 crore, which is considered to be one of the largest from any corporate groups in the country.

Muthoot Homefin (India) Ltd (MHIL), the wholly owned subsidiary of the group, increased its loan portfolio by Rs1024 crore to Rs1465 crore during the year.

Total revenue for the year stood at Rs126 crore as against the previous year’s total revenue of Rs24 crore, and this has helped the home finance arm to achieve a net profit of Rs28 crore for the year that closed on March 31, 2018.

Another subsidiary, Belstar Investment and Finance Pvt Ltd (BIFPL), where Muthoot Finance holds 66.61 per cent stake grew its loan book by 97 per cent to Rs1137 crore during the year. The company reported a net profit of Rs34 crore against Rs10 crore it reported for the previous financial year.

Muthoot Insurance Brokers Pvt Ltd (MIBPL), another wholly owned subsidiary of the Group,  generated a first year premium collection amounting to Rs101 crore during the year against the previous year premium collection of Rs70 crore.

The Sri Lankan subsidiary – Asia Asset Finance (AAF) where Muthoot Finance holds 60 per cent stake, increased its loan book by 13 per cent to LKR995 crore during the period.

M G George Muthoot (shown in the picture), the chairman of the Group said while the Group continued the thrust on increasing the gold loan business, its focus on diversification of lending portfolio has started yielding results. The consolidated loan book of the Group has increased by 12 per cent year-on-year to reach Rs32,154 crore.

“We are proud to announce that we are one of the top 50 corporate income tax payers in the country paying Rs1037 crore during the financial year 2017-18,” the chairman added.

 

Leave a Reply

Your email address will not be published. Required fields are marked *