Shares of Muthoot Finance ltd jumped over 7 percent on Monday, buoyed by a strong third quarter performance. The gold finance company’s shares quoted at Rs 792.35 apiece, up 6.3 percent on BSE at 9.36 am. The stock opened at Rs 774, up over 3.5 percent from its Friday’s close of Rs 746.60. The stock surged to a new 52-week high of Rs 801.70 per share.
So far this year, the stock has gained nearly 3 percent, while the one year return on the stock is more than 50 percent (Sensex return at 15 percent). The five-year return on the stock is more than 268 percent, compared to Sensex return of over 41 percent.
The non-banking financial company reported a 66 percent jump in the non-banking financial company’s consolidated net profit to Rs 803 crore in the third quarter ended December 31.
Muthoot Finance’s net profit was at Rs 485 crore in the corresponding October-December period of 2018-19.
Total income increased by 35 percent to Rs 2,313 crore during the reported quarter of 2019-20 from Rs 1,717 crore in the year-ago period, it said in a release.
The gold financing company said its loan portfolio registered an increase in net profit of 50 percent to Rs 2,191 crore for the nine months of FY20 as against Rs 1,461 crore in the previous year.
Loan assets stood at Rs 38,498 crore as on December 31, 2019 compared to Rs 32,470 crore as on December 31, 2018, a growth of 19 percent.
During the quarter, gold loan assets increased by Rs 2,783 crore. The net interest margin (NIM) at 17.1 percent, which is the highest in the last 12 quarters.