In the last two quarters, MGFL traded off margin/spreads for Gold loan growth. This new business strategy helped it cover a lot of lost ground in terms of market share, with a cumulative Gold loan growth of ~24% over 2Q and 3QFY22. This new strategy also meant: a) elevated advertising/promotion costs and incentives for employees translating in higher operating expenses, and b) compression in spreads to ~11.5% v/s 14.5-15% under its earlier high yielding business model. At this juncture, MGFL can neither afford such high operating expenses, nor can it cut yields further to match the...