The Hindu Business Line : Manappuram Fin Q1 net more than doubles

Kochi, Aug. 4 Manappuram General Finance and Leasing Ltd (MAGFIL), the flagship company of the Manappuram Group, has posted a net profit of Rs 14.2 crore for the first quarter of the current fiscal as against Rs 6 crore during the corresponding quarter of the previous year, an increase of 137 per cent.

Mr V. P. Nandakumar, Chairman of the group, said that income from operations increased 135 per cent to Rs 67.13 crore (Rs 28.6 crore). The profit before tax for the quarter amounted to Rs 21,66 crore (Rs 9.11 crore) for the corresponding period.

During the quarter, the company disbursed gold loans worth Rs 1,045 crore to 2.18 lakh customers through its network, he said.

Another group company, Manappuram Finance Tamil Nadu Ltd (MAFIT), a 100 per cent gold loan company, is being merged with the flagship company. The merger formalities are at advanced stage.

Group total

The group recorded a net profit of Rs 17.54 crore (Rs 9.52 crore) during the quarter. The group’s asset under management increased to Rs 1,538 crore (Rs 975 crore) during the period.

The total gold loan disbursed by the group during the quarter aggregated Rs 1,310 crore. Net worth of the group increased from Rs 141 crore at the end of June 2008 to Rs 271.15 crore at the end of June this year. Working capital limits extended to the group by bank and financial institutions aggregated Rs 2,428 crore.