Gold finance major Muthoot Finance's Q1 net up 48%

Gold financing company Muthoot Finance Ltd has posted 48% rise in net profit at Rs 270 crore in first quarter ended June 2016 on improvement in collection efficiency.

It had posted a net profit of Rs 183 crore in April-June 2015. Its stock closed 3% higher at 318 per share on the Bombay Stock Exchange.

George Alexander Muthoot, its Managing Director said, the interest income has seen substantial growth on sustained improvement in collection efficiency for loans.

The Net Interest Margin (NIM) stood at 11% for Q1. The Asset under Management (AUM) increased by 6% at Rs 25, 860 crore at the end of June 30, 2016 as against Rs 24,409 crore last year.