The Hindu Business Line : Manappuram net up 44%

Kochi, May 6 The net profit of Manappuram General Finance and Leasing has grown by 44 per cent to Rs 30.30 crore (Rs 20.99 crore) during 2008-09. With gold loans comprising 95 per cent of its loan portfolio the company was nestled in safety.

As gold is turning out to be a rock steady investment option and as an asset showing the least market volatility and liquidity, the company expects to augment the business by providing micro credit against gold jewellery, a press release issued here said. The NBFC disbursed gold loan worth Rs 3,056 crore to 10.92 lakh customers through its 517 branches spread across 14 States. It plans to expand its branch network to 900 this year and enter into new States.

Total income from operations grew by 108 per cent to Rs 165 crore (Rs 79.40 crore). Profit before tax grew by 45 per cent to Rs 46.28 crore (Rs 31.96 crore). The board has approved a final dividend of Rs 2.5 per equity per share with a face value of Rs 10. The share price of the company rose to Rs 137 on Thursday from Rs 135.