Muthoot Microfin Ltd. News, Corporate filings and Earnings/Conference Calls

Microfinance Institutions company Muthoot Microfin announced Q4FY25 & FY25 results Q4FY25 Financial Highlights: Net Interest Income for Q4FY25 stood at Rs 321.05 crore compared to 399.44 for Q4FY24, Pre-provision operating profit (PPOP) for Q4FY25 stood at Rs 130.29 crore, compared to 239.28 for Q4FY24 PAT for Q4FY25 stood at loss of Rs -401.5 compared to 119.76 for Q4FY24 FY25 Financial Highlights: Total income for the year stood at Rs 2,564 crore, a growth of 13.7% YoY Net Interest Income increased by 14.3% from Rs 1,357 crore to Rs 1,551 crore Pre-provision operating profit (PPOP) stood at Rs 868 crore, up 15.0% YoY Amid sectoral headwinds, the company maintained a cautious stance with elevated provisions and creation of a prudent management overlay to Rs 230 Crore resulting a loss of Rs 222 crore. The GNPA of the Company is at 4.84% as against GNPA of 2.29% a year ago, NNPA (Net of Stage III provision) stood at 1.34% as against 0.91% last year Robust liquidity of Rs 697 crore of unencumbered cash and cash equivalents, alongside unutilized sanctions totalling Rs 596 crore. Healthy capital position with a CRAR of 27.9% NII for FY25 at 1,551 Crore up 14.3% YoY; PPOP at 868 Crore up by 15.0% YoY AUM reached Rs 12,357 Crore, a growth of 1.3% YoY Commenting on the performance, Thomas Muthoot, Chairman & Non-Executive Director of Muthoot Microfin, said “FY25 has been a challenging year for the industry, testing our resilience and reafirming that true strength lies not in avoiding adversity, but in responding to it with discipline, empathy, and adaptability. At Muthoot Microfin, we chose to prioritise asset quality and customer engagement over short-term profitability. While this conservative approach impacted our profitability due to elevated provisions and a deliberate management overlay of Rs 230 crore, but these were essential steps to strengthen our long-term portfolio health. As part of this effort, we have further tightened our underwriting norms and aligned fresh disbursements with the new SRO guardrails implemented from April 1, 2025. This has led to higher rejection rates, reduced borrower over-leverage, and early signs of improving credit discipline. Importantly, we continued to invest in people and impact. We onboarded 834 female Relationship Oficers / Loan Oficers in FY25, reinforcing our commitment in building a more representative and empathetic workforce. Our social impact efforts also expanded meaningfully. We facilitated 10.2 lakh e-clinic consultations and 3.7 lakh tele-consultations till date, improving healthcare access in underserved areas. Additionally, we honoured 90,639 natural catastrophe insurance claims during FY25, disbursing over Rs 18.3 crore to support customers during difficult times. With AUM reaching Rs 12,357 crore as of March 2025, we continue to grow with discipline and caution. As we look ahead to FY26, we remain cautiously optimistic, guided by our belief that sustainable growth comes from strong fundamentals.” Sadaf Sayeed, CEO, Muthoot Microfin, said, “FY25 was undeniably a challenging year for the microfinance industry, with external disruptions and regional stress pockets, especially in Karnataka. In response, we adopted a prudent and measured approach focusing on enhancing operational efficiency and preserving liquidity. With a conscious decision to moderate disbursements for the fiscal year, our emphasis remained on conserving Tier-1 capital, maintaining strong liquidity bufers, resolving asset quality challenges, and steadily improving collection efficiency. For FY25, Net Interest Income stood at Rs 1,551 crore, growing 14.3% YoY, with PPOP at 868 Crore growing 15.0% YoY. We proactively strengthened provisioning bufers to safeguard long-term portfolio quality, helping contain stress in SMA buckets and limit forward flows. While this conservative approach led to a net loss of Rs 222 crore, it has laid a solid foundation for sustainable growth. We continue to maintain strong liquidity of Rs 697 crore and a healthy capital adequacy ratio of 27.9%, giving us financial flexibility to manage near-term challenges and support future expansion. Beyond financials, we continued to invest in digital empowerment. Over 1.5 crore transactions worth Rs 2,297 crore were conducted digitally by our customers for repayments. A meaningful portion of our customer base holds retail credit products, suggesting potential to gradually expand our oferings and diversify the loan portfolio. In a strong endorsement of our responsible growth model, Muthoot Microfin received an outstanding ESG score of 72.2 and was rated CareEdge-ESG 1. This places us among India’s ESG leaders in financial services and marks the highest ESG rating ever given by CARE for this sector. It stands as a strong testament to our unwavering commitment to responsible growth and excellence across environmental, social, and governance standards. With collection eficiency stabilising and early signs of recovery visible, we are well positioned for steady growth ahead. Our disciplined risk management, calibrated disbursement strategy, and focus on efficiency will continue to drive momentum while protecting portfolio quality.” Result PDF

47.59% Fall from 52W High

High volume+gain today

Muthoot Microfin Ltd. News, Corporate filings and Earnings/Conference Calls

Keep track of all breaking news and updates on Muthoot Microfin Ltd. from all sources in a single place.