Muthoot Finance Q2 results: net profit up 27% to Rs 2,978 crore, NII up 34%
Muthoot Finance Q2 results: net profit rose 27% to Rs 2,978 crore and net interest income jumped 34%, both beating poll estimates.
Muthoot Finance Q2 results show net profit up 27% to Rs 2,978 crore, with net interest income (NII) up 34.4%. NII is the gap between interest earned on loans and interest paid on borrowings. Both figures came in above CNBC-TV18 poll estimates. The gold loan lender also raised its FY27 gold loan growth guidance by an additional 10%, according to Managing Director Alexander George Muthoot.
Muthoot Finance Q2 key numbers
- Net profit for the quarter: Rs 2,978 crore, up 27% from Rs 2,345 crore
- Net interest income: Rs 5,365 crore, up 34.4% from Rs 3,992 crore
- Consolidated loan assets under management (AUM) for the half year: Rs 2,09,317 crore, up 42%. AUM is the total value of loans outstanding.
- Consolidated profit after tax for the half year: Rs 6,103 crore, up 39%
- Consolidated gold loan AUM: Rs 1,93,212 crore, up 46%
Gold loan growth and new RBI rules
The company said the RBI’s updated gold lending guidelines, effective April 1, 2026, are a learning curve for both the company and its customers, and expects things to settle over a few quarters. Standalone gold loan AUM rose 43% to Rs 1,78,956 crore. Standalone gold loan disbursements to new customers reached Rs 20,238 crore, covering 9,93,900 customers in the half year.
Customers and gold held
Active customers rose to 69 lakh from 64 lakh, adding around 5 lakh in the half year. Gold pledged with the company as collateral grew to 204 tonnes, up from 196 tonnes.
Subsidiaries and merger
Muthoot Money reported loan AUM up 99% to Rs 12,716 crore in the half year, and profit after tax up around 242% to Rs 364 crore. Belstar Microfinance reported profit after tax of Rs 144 crore in the half year, against a loss of Rs 160 crore a year earlier. Its bad-loan ratio, gross non-performing assets (GNPA), eased to 3.26% from 4.58%.
The board approved merging wholly owned subsidiary Muthoot Money Limited into Muthoot Finance, with April 1, 2027 as the appointed date.
What to watch
The merger and the higher gold loan guidance are the two items to track in coming quarters. Follow more results news for other quarterly updates.
Frequently asked questions
What were Muthoot Finance Q2 results?
Muthoot Finance reported net profit of Rs 2,978 crore, up 27% from Rs 2,345 crore a year earlier, and net interest income of Rs 5,365 crore, up 34.4%.
Is Muthoot Finance merging Muthoot Money?
The board approved merging wholly owned subsidiary Muthoot Money Limited into Muthoot Finance, with April 1, 2027 as the appointed date.
This article is a summary for information only and is not investment advice. Figures are as reported by the sources above; please verify with the original filing or report before making any decision.
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