Manappuram records 16% drop in net profit

Board of Directors recommends an interim dividend of Rs. 0.45 per share of face value of Rs.2

Manappuram Finance Limited has declared a net profit of Rs 71.05 crore for the quarter ended December 31, 2013 as against Rs 84.38 crore in the same quarter of the last financial year.

A 16% drop was recorded in net profit. The company recorded a gross profit of Rs 108.19 crore as against Rs 124.56 crore.

The total income from operations stood at Rs 534.9 crore, registering a decline of 10.3% in comparison to Rs 596.5 crore, reported in Q3 of the previous financial year.

The fall is on account of a decrease in average assets under management (AUM) during the period, mainly due to the recovery of overdue loans by auction, a press release said. AUM has dropped to Rs 8,529 crore from Rs 10,393 crore in the same period of the last financial year.

The Board of Directors has recommended an interim dividend of Rs 0.45 per share of face value of Rs 2.

This is the third such instance in the current fiscal year and follows the interim dividend of Rs 0.45 per share earlier declared in August and November, 2013.