Monday, October 29, 2012

Muthoot Finance Apr-Sep profit up 27% to Rs 514 cr


Muthoot Finance Ltd today said posted a 27 per cent growth in its net profit to Rs 514 crore for the half year ended September 30. The company had a net profit of Rs 406 crore in the same period last fiscal, its Chairman M G George Muthoot said. For the quarter ended September 30, the company's profit rose 25 per cent to Rs 268 crore from Rs 215 crore in the same period last year.

The total income for the half year period grew 29 per cent to Rs 2,610 crore, he added. The company's board at its meeting here today also decided to raise the public holding of its shares to 25 per cent from the current 19.88 per cent in line with Sebi stipulation of minimum public holding of 25 per cent by May 2014.

The dilution may be through any of the modes approved by Sebi from time to time in one or more tranches or in combination of including institutional private placement subject to shareholders’ approval, he said. Due to the negative perception about the sector, while the asset growth decelerated, borrowing cost went up considerably, he said.

The Capital Adequacy Ratio rose to 19.95 per cent and loan losses for 6 months was at a negligible level of 0.014 per cent (Rs 3.25 crore) of Retail Loan Portfolio. The company's Executive Director K Padmakumar said despite the adversities, the firm was hopeful of retaining the profitability metrics through customized portfolio restructuring and geographic expansion to register handsome portfolio growth in the next half year. The asset base of the company would go up by Rs 500 crore by the end of the current year.



Source: www.moneycontrol.com

Thanks,
Gaurav Agarwal
Head Dealer
DENIP Consultants Pvt Ltd

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