Muthoot Finance's Q3 FY26 results: Profit rises 95% to ₹2,656 crore

Muthoot Finance recorded 94.88 per cent year-on-year (YoY) growth in its standalone net profit to ₹2,656 crore in the October–December quarter of FY26 (Q3 FY26) from ₹1,363 crore in Q3 FY25.

 

The total income of the company rose nearly 64 per cent YoY to ₹7,269 crore in the quarter, while expenses rose 42 per cent YoY to ₹3,681 crore.

 

Net interest income (NII) rose 64 per cent YoY to ₹4,467 crore from ₹2,721 crore reported in the same quarter of the previous financial year.

 

The company reported consolidated loan assets under management (AUM) of ₹1.64 trillion as on December 31, 2025, 48 per cent higher than ₹1.11 trillion in the April–December period of FY25. Loan AUM stood at ₹1.47 trillion in 9M FY26 as compared to ₹97,487 crore in 9M FY25, registering a growth of 51 per cent YoY.

 

Gold loan AUM reached ₹1.40 trillion as on December 31, 2025, from ₹92,964 crore a year ago. During Q3 FY26, gold loan AUM increased by ₹14,740 crore, registering a growth of 12 per cent. Gold loan disbursements to new customers rose by 32 per cent YoY to ₹20,737 crore, covering 13,13,710 customers.

 

George Alexander Muthoot, managing director, Muthoot Finance, said, “Our standalone loan AUM achieved a historic YoY growth of ₹50,065 crore, primarily fuelled by a robust 50 per cent YoY growth in our core gold loan portfolio.”

 

“The higher price of gold has further empowered our customers to unlock greater value from their existing assets to confidently meet their personal and business financial needs,” he added.

 

The percentage of Stage-III assets on loan assets stood at 1.58 per cent in the quarter compared to 4.22 per cent in the same period last year.

 

The microfinance subsidiary — Belstar Microfinance Limited (BML) — saw its loan AUM for 9M FY26 at ₹7,911 crore. The total revenue stood at ₹1,312 crore in 9M FY26. The Stage-III loan assets stood at 4.93 per cent, with a provision coverage of 96.59 per cent. Consequent to the Reserve Bank of India (RBI) allowing microfinance companies to have 40 per cent non-microfinance loan portfolio, it has opened 39 gold loan branches in 9M FY26 to diversify the loan product portfolio.

 

“Our microfinance vertical recorded strong recovery, reporting a profit of ₹51 crore for Q3 FY26. This was driven by better underwriting practices following the implementation of guardrails,” George Jacob Muthoot, chairman, The Muthoot Group, said.