Muthoot Finance Q3 net profit flat at Rs 485 cr

Muthoot Finance Wednesday reported a 1 per cent rise in its net profit at Rs 485 crore for the third quarter ended December 2018.

The company had registered a net profit of Rs 479 crore in the same period in 2017-18.

Muthoot Finance's total income for October-December quarter of 2018-19 stood at Rs 1,717 crore, up 8 per cent from Rs 1,591 crore reported in the year-ago period, the company said in a regulatory filing.

Its loan assets stood at Rs 36,497 crore as on December 31, up 19 per cent year-on-year.

"Third quarter was a turbulent period for all NBFCs because of concerns on liquidity scenario. Muthoot Finance as a responsible company to all the stakeholders acted cautiously and conserved liquidity rather than growth. Hence our loan assets remained flat for the quarter," Muthoot Finance Chairman M G George Muthoot said.

Managing Director George Alexander Muthoot said, "Considering that gold loans are of short duration of around three to four months, our balance sheet always carry positive ALM. Markets have realised this fact and have shown significant interest in subscribing to our commercial paper issuances during the quarter. Our subsidiaries achieved year-on-year loan growth of 65 per cent, reaching Rs 4,027 crores as against Rs 2,448 crore last year."