Muthoot Finance shares rally 5% as gold loan AUM crosses ₹1 trillion | Stock Market News
Source: Live Mint
Shares of Muthoot Finance surged 5 percent on Monday, March 17, after the company announced a significant milestone—its gold loan asset under management (AUM) crossed ₹1 trillion on March 13, 2025. This achievement underscores the company’s strong position in the non-banking financial company (NBFC) space and reflects sustained business growth.
In a regulatory filing, Muthoot Finance stated, “We would like to proudly announce the crossing of the landmark milestone of ₹1 trillion gold loan assets under management on March 13, 2025. This remarkable achievement underscores the trust and confidence of our lenders, investors, customers, and all other stakeholders placed in us and reaffirms our commitment to delivering sustained value and growth.”
The company emphasized its ongoing focus on sustained growth, customer-centric innovations, and digital transformation to further strengthen its leadership in the sector.
George Alexander Muthoot, Managing Director of Muthoot Finance, highlighted the company’s long-standing commitment to excellence, innovation, and customer engagement, stating, “Reaching ₹1 trillion in gold loan AUM is a testament to our unwavering commitment and the trust we have built over generations. I would also like to extend my gratitude to our employees, whose relentless dedication and expertise have been instrumental in achieving this success. We sincerely thank our customers, banking partners, lenders, NCD holders, investors, shareholders, and other stakeholders for their trust and continued support.”
He also acknowledged the role of regulators in fostering a stable financial environment, expressing gratitude to the Reserve Bank of India (RBI) for its guidance and oversight.
Stock Price Performance
Following the announcement, Muthoot Finance’s stock climbed 5 percent to an intra-day high of ₹2,307.95. The stock is now just 1 percent away from its 52-week high of ₹2,335.00, which was recorded last month.
Over the past year, Muthoot Finance has delivered strong returns, rallying 64 percent. In March alone, the NBFC stock has gained over 7 percent, rebounding after a 5.5 percent decline in February. In January, the stock had gained nearly 6 percent.
Financial Performance and Loan Portfolio
In the December quarter of the current financial year (Q3FY25), Muthoot Finance reported a 22 percent year-on-year rise in net profit to ₹1,392 crore, compared to ₹1,145 crore in Q3FY24.
The company’s consolidated loan AUM crossed ₹1,11,000 crore by the end of December 2024. Of this, Muthoot Finance’s gold loan portfolio stood at ₹92,963.6 crore, reinforcing its dominance in the gold-backed lending space.
With strong financial performance and a focus on digital transformation, Muthoot Finance continues to position itself as a leader in the gold loan segment, catering to the evolving needs of its customers.
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