Muthoot Finance Q1 FY27 Results: Consolidated PAT Jumps 43% To ₹2,824.8 Crore

Muthoot Finance reported a strong set of numbers for the June quarter, led by growth in its core gold loan business. Consolidated profit after tax (PAT) rose 43% year-on-year to ₹2,824.8 crore, while total income increased 34% to ₹8,695 crore. Profit before tax (PBT) climbed 43% to ₹3,797 crore.

On a standalone basis, PAT grew 25% YoY to ₹2,550.5 crore, while total income rose 33% to ₹7,603 crore. Interest income increased 34% to ₹7,506 crore and standalone loan assets under management (AUM) expanded 43% YoY to ₹1,72,053 crore. Consolidated loan AUM also grew 43% to ₹1,91,532 crore, driven by continued demand for gold loans.

Muthoot Finance Q1 Results: Performance Highlights

The company's gold loan business remained the biggest growth driver during the quarter. Standalone gold loan AUM increased 44% year-on-year, while the consolidated gold loan portfolio grew 48%, with gold-backed loans accounting for 92% of the overall loan book.

Asset quality improved during the quarter. Gross Stage III assets declined to 2.28% from 2.58% a year ago, while the expected credit loss provision ratio fell to 1.03% from 1.30%. The company also maintained a capital adequacy ratio of 20.30%, with a return on equity of 26.6%.

At the same time, higher business volumes pushed up finance costs by 48%, while employee and administrative expenses also increased.

The company's subsidiaries also reported healthy growth. Muthoot Money more than doubled its loan AUM and posted a sharp jump in profit, while Muthoot Homefin and Sri Lanka-based Asia Asset Finance delivered higher loan growth and earnings. Belstar Microfinance returned to profit during the quarter and also reported an improvement in asset quality.

Management Commentary And Stock Price

The company said rising gold prices continued to support collateral values during the quarter, while borrower equity in pledged gold remained comfortable. It added that growth across the gold loan business, digital channels and subsidiaries helped support overall performance.

By the close of the day on 31 July 2026, Muthoot Finance’s share price was up by 3.7% to reach ₹3,119.6 on the National Stock Exchange.

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