Manappuram Finance has reported a 62.05 per cent decline in its second-quarter profit, weighed down by a sharp fall in revenue from its microfinance segment.
The gold loan financier on Thursday said its consolidated net profit stood at ₹217.3 crore for the quarter ended September, compared to ₹572 crore in the same period last year. In the first quarter, the company had reported a profit of ₹132.4 crore.
Manappuram, whose major revenue comes from gold loans, said its total income for the quarter declined to ₹2,285 crore from ₹2,637 crore a year earlier. However, revenue from gold loans rose to ₹1,991 crore from ₹1,856.3 crore in the second quarter of FY24.
The company’s microfinance revenue, however, plunged 62.3 per cent to ₹294 crore from ₹780.7 crore in the same period last year.
Gold prices have risen to significant highs in recent months, touching over ₹95,000 per sovereign in Kerala, with the current price at ₹90,400 per sovereign as of Friday.
Manappuram also announced an interim dividend of ₹0.50 per equity share of face value ₹2 each.
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