Manappuram Finance looks at flat growth in first two-quarters this fiscal

Sunday, May 17, 2020
Economic Times


In the fiscal ended March 31, 2020, the company's gold loan disbursement grew by 31 per cent to Rs 16,967 crore.
Non-banking financial company Manappuram Finance is looking at a flat growth in its gold loan business during the first two-quarters of the current fiscal due to the disruptions caused by COVID-19, a top company official has said.
The gold loan financier, however, expects pick up in gold loans in the second half of FY21 if economic activity, which has come to a standstill, restarts fully.

In the fiscal ended March 31, 2020, the company's gold loan disbursement grew by 31 per cent to Rs 16,967 crore.
The share of gold loans in the company's total asset under management (AUM) is around 67 per cent.
"The current situation has disturbed everybody's working capital cycle. Our customers are also paying back their loans to free up their collaterals which they can monetise to meet their immediate funding needs. This trend is likely to be there for some time and, hence, we are looking at a flat growth for the first two quarters," Manappuram Finance managing director and CEO V P Nandakumar told PTI.
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