Manappuram Finance (MGFL) results surprised negatively with a sharp decline in gold AUM and higher auctioning. Healthy revenue/earnings growth, traction in its MFI portfolio, improved CE in July, and new clientele addition were key positives. Q2/ H2FY22 will be a quarter of test and define the strength of the business model for the gold financiers. We expect MGFL to navigate well as it has resorted to auctioning (vs. recognizing it as NPA) given its product design. We like MGFL for its diversified balance sheet, healthy revenue/earnings growth, and superior return ratios. Retain BUY with...