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Muthoot Microfin Ltd Q2 FY26 Results

MUTHOOTMFQ2 FY26 Results
Filing
MetricValue ( Cr)vs Q1 FY26
Revenue576.333.2%
Total Income577.393.3%
Expenditure540.282.4%
PBT37.11544.1%
Net Profit30.52393.5%
OPM44.83%4.36pp
NPM5.29%4.18pp
EPS1.82391.9%
View full financials

Muthoot Microfin Returns to Growth Mode with 28.1% QoQ Disbursement Growth and Improved Asset Quality

05 Nov 2025 · 5 Nov 2025, 07:03 pm

Summary

Muthoot Microfin Limited, a leading NBFC-MFI, has announced its unaudited financial performance for the quarter and half year of the financial year 2025-26. The company's GLP grew by 2.5% QoQ to Rs. 12,558.8 crore, and it disbursed Rs. 2,273.9 crore, registering a growth of 28.1% QoQ. The company's total income for the quarter stood at Rs. 577.4 crore, and the pre-provision operating profit (PPOP) stood at Rs. 149.0 crore. The company's Net Interest Margins are at 11.9%, up 43 bps. The GNPA has been reduced to 4.61% as against 4.85% in Jun-25, and the NNPA (Net of Stage III provision) stood at 1.41% as against 1.58% in Jun-25. The company's capital adequacy improves to 28.91%, up 24 bps YoY and 106 bps QoQ.

Key Highlights

  1. 1

    Q2 FY26 e GLP grew by 2.5% QoQ to Rs. 12,558.8 crore

  2. 2

    Company disbursed Rs. 2,273.9 crore registering 28.1% QoQ

  3. 3

    CRISIL upgrades outlook on long term facilities/NCDs ‘Stable’ to ‘Positive’

  4. 4

    Ratings Reaffirmed at 'Crisil A+’

  5. 5

    CareEdge Global assigns ‘BB-/Stable’ rating to dollar bonds of Muthoot Microfin Limited

  6. 6

    GNPA reduced to 4.61% as against 4.85% in Jun-25

  7. 7

    NNPA (Net of Stage III provision) stood at 1.41% as against 1.58% in Jun-25

  8. 8

    Capital Adequacy improves to 28.91%, up 24 bps YoY and 106 bps QoQ

  9. 9

    25% of our collections are via digital channels such as UPl/Customer App

  10. 10

    100% disbursements are entirely executed digitally

Management Comments

M

Mr. Thomas Muthoot

The business is firmly back on track, with healthy momentum across disbursements, profitability, and asset quality. We believe this momentum will only strengthen in the coming quarters. With the business momentum expected to sustain and accelerate, we are enhancing our product portfolio and actively pursuing our diversification strategy to drive the next phase of growth. The core microfinance business continues to be the foundation of our operations, we are expanding into product segments such as Gold Loans, Loan Against Property, and Individual Loans. Backed by disciplined risk management, responsible lending practices, and a sharpened focus on operational excellence, we have laid a strong platform for continued performance improvement. We expect this momentum to further accelerate over the next two quarters. Looking ahead to FY27, we are entering a phase of strong and sustained growth. With a strong underwriting and operational excellence, Muthoot Microfin is well-positioned to capture the significant opportunities in coming years.

Informational and educational content only. Not investment advice.