Mahindra Finance Q2 PAT up 132% to Rs 3.81 bn, AUM sees 26% y-o-y growth

Gross NPAs have come down from 13.1% in Q2 FY2018 to 9% at the end of Q2 FY2019

Mahindra Finance has posted a net profit growth of 132 per cent to Rs 3.81 billion for the quarter ended September 30, 2018, as against Rs 1.64 billion in net profit during the same period of the previous financial year.  

Total income rose by 39 per cent to Rs 21.5 billion for Q2 FY2019, as against Rs 15.4 billion in the corresponding quarter of FY2018. 

The total assets under management (AUM) for Mahindra Finance stood at Rs 594.7 billion at the end of Q2 FY2019, registering a year-on-year growth of 26 per cent, from Rs 472.1 billion at the end of Q2 FY2018.   

Gross non-performing assets (GNPAs) have come down from 13.1 per cent in Q2 FY2018 to 9 per cent at the end of Q2 FY2019. Net NPA has reduced from 8.7 per cent in Q2 FY2018 to 6 per cent at the end of Q2 FY2019.  

Mahindra Rural Housing Finance, a subsidiary of Mahindra Finance, disbursed Rs 8.24 billion worth of loans in Q2 FY2019, as against Rs 5.82 billion worth of loans disbursed in Q2 FY2018. 

The housing finance arm posted a net profit growth of 39 per cent from Rs 430 million in Q2 FY2018 to Rs 600 million at the end of Q2 FY2019. 

Mahindra Insurance Brokers received Rs 752 million in income during Q2 FY2018, while it received Rs 445 million in income during the corresponding quarter of the previous financial year. 

Net profit for the insurance broker grew by 34 per cent, year-on-year, from Rs 80 million in Q2 FY2018 to Rs 118 million at the end of Q2 FY2019. 

Mahindra Asset Management Company incurred a loss of Rs 115.3 million in Q2 FY2019, as against a loss of Rs 62.3 million during the same period in the previous year.  

AuM for the asset management firm has grown by 193 per cent, year-on-year, to Rs 43.4 billion at the end of Q2 FY2019. 

Mahindra Finances' stock price closed at Rs 399.65 on the NSE, up by 6.76 per cent from its previous closing price.