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Manappuram Finance LtdQ1 FY27 earnings call

All quarters

Summary generated by AI from the official transcript Manappuram Finance Ltd filed with BSE on 17 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries

The short read

Manappuram Finance reported consolidated AUM of Rs 69,635 crores for Q1 FY27, up 9% quarter-on-quarter and 57% year-on-year, driven primarily by growth in the gold loan business. Consolidated revenue from operations was Rs 3,033 crores and profit after tax stood at Rs 585 crores, up 45% quarter-on-quarter and 47% year-on-year. Management discussed the implementation of new RBI gold loan LTV and income-generating asset guidelines, branch expansion plans, and provided commentary on yields, cost of funds, and business unit performance across gold loan, microfinance, vehicle finance and housing finance segments.

Numbers mentioned

Consolidated AUM: INR69,635 crores (Q1 FY27)

p. 3
Consolidated AUM for Q1 '27 was at INR69,635 crores, up by 9% QOQ and up by 57% year-on-year.

VP. Nandakumar, page 3 of the filed PDF · View the filing

Consolidated gold loan AUM: INR57,006 crores (Q1 FY27)

p. 3
Consolidated gold loan AUM for Q1 FY'27 was at INR57,006 crores.

VP. Nandakumar, page 3 of the filed PDF · View the filing

Consolidated revenue from operations: INR3,033 crores (Q1 FY27)

p. 3
Consolidated revenue from operations for the quarter stood at INR3,033 crores, up by 16% QOQ and up by 34% year-on-year.

VP. Nandakumar, page 3 of the filed PDF · View the filing

Profit After Tax: INR585 crores (Q1 FY27)

p. 3
Profit After Tax stood at INR585 crores, up by 45% QOQ and up by 47% year-on-year.

VP. Nandakumar, page 3 of the filed PDF · View the filing

Stand-alone gold loan AUM: INR54,655 crores (Q1 FY27)

p. 4
Stand-alone gold loan AUM for Q1 FY27 was at INR54,655 crores, up by 12% quarter-on-quarter and up by 97% year-on-year.

VP. Nandakumar, page 4 of the filed PDF · View the filing

Gold loan yield improvement: 59 basis points (Q1 FY27)

p. 4
As guided earlier quarter, our gold loan yield has improved by 59 basis points during the quarter.

VP. Nandakumar, page 4 of the filed PDF · View the filing

Asirvad AUM: INR7,188 crore (Q1 FY27)

p. 4
Asirvad AUM stands at INR7,188 crore, up by 5.8% QOQ and up by 7.2% year-on-year.

VP. Nandakumar, page 4 of the filed PDF · View the filing

Asirvad PAT: INR21 crores (Q1 FY27)

p. 4
Asirvad has reported a PAT of INR21 crores in this quarter, up by 58% QOQ and up by 108% year-on-year.

VP. Nandakumar, page 4 of the filed PDF · View the filing

Stand-alone GNPA: 1.56% (Q1 FY27)

p. 5
Stand-alone GNPA was at 1.56% versus 1.8% in prior quarter and credit cost in stand-alone entity for the quarter was 1%.

Buvanesh Tharashankar, page 5 of the filed PDF · View the filing

Vehicle finance AUM: INR2,562 crores (Q1 FY27)

p. 5
In the vehicle finance business, we have reported an AUM of INR2,562 crores, down 14.3% quarter-on-quarter and 43% year-on-year.

Buvanesh Tharashankar, page 5 of the filed PDF · View the filing

Vehicle finance GNPA: 13.3% (Q1 FY27)

p. 5
Focus is now on collections as GNPA continues to be elevated at 13.3% versus 10.4% in prior quarter.

Buvanesh Tharashankar, page 5 of the filed PDF · View the filing

Consolidated net worth: INR16,552 crores (as of June 30, 2026)

p. 6
The company's consolidated net worth stands at INR16,552 crores as of June 30, 2026, and book value per share stood at INR176.20.

Buvanesh Tharashankar, page 6 of the filed PDF · View the filing

Capital adequacy ratio: 21.29% (Q1 FY27)

p. 6
Our capital position is strong and company is well capitalized with a capital adequacy ratio of 21.29%.

Buvanesh Tharashankar, page 6 of the filed PDF · View the filing

Average gold loan LTV: 65.6% (Q1 FY27)

p. 5
Our average gold loan LTV was at 65.6% in Q1 FY27.

Buvanesh Tharashankar, page 5 of the filed PDF · View the filing

What management said it would do

A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.

Gold loan yield — around 18%

stated firmly by VP. Nandakumar

p. 11
We expect the yield to be somewhere around 18%. It may go down by 25 basis points or go up by 25 basis. Beyond that, we do not expect anything. It will be around 18%.

VP. Nandakumar, page 11 of the filed PDF · View the filing

Gold loan AUM growth — 25%-30% · FY27

stated firmly by VP. Nandakumar

p. 11
Our expectation for growth of gold loan this year is around 30%, because some quarters are as per season, some quarters are off seasons. We expect that to be some between 25%-30%.

VP. Nandakumar, page 11 of the filed PDF · View the filing

Branch expansion — 500 branches · FY27

stated firmly by VP. Nandakumar

p. 10
So we have the plan to open around 500 branches now. We are at stream now already, progressing in that stream.

VP. Nandakumar, page 10 of the filed PDF · View the filing

Microfinance share of consolidated AUM — below 10%

stated firmly by VP. Nandakumar

p. 13
I will tell at the group level, we want to contain microfinance at below 10% at a consolidated level.

VP. Nandakumar, page 13 of the filed PDF · View the filing

Gold loan share of consolidated AUM — 75%-80%

stated as an aspiration by VP. Nandakumar

p. 13
We want to maintain around 75%-80% of the consolidated AUM in gold.

VP. Nandakumar, page 13 of the filed PDF · View the filing

Vehicle loan disbursement — this year, potentially FY2028

stated conditionally by VP. Nandakumar

p. 14
We do not want to disburse any more vehicle loans during this year. After one year, that probably in FY 2028, we may consider whether to restart or not.

VP. Nandakumar, page 14 of the filed PDF · View the filing

MFI disbursement — INR400 crores to INR500 crores

stated as an aspiration by VP. Nandakumar

p. 11
The growth will remain at a level of, I feel like INR400 crores to INR500 crores, as a disbursement in MFI.

VP. Nandakumar, page 11 of the filed PDF · View the filing

ROA — 3.5% to 4%

stated as an aspiration by VP. Nandakumar

p. 15
We are targeting an ROA of around 3.5% to 4%, and targeting an ROE of 15% to 18%, which is the ROE target.

VP. Nandakumar, page 15 of the filed PDF · View the filing

ROE — around 18% · three years

stated as an aspiration by VP. Nandakumar

p. 15
In three years, our expectation is to take that ROE to around 18%.

VP. Nandakumar, page 15 of the filed PDF · View the filing

Cost of fund (incremental) — 8.8% to 9%

stated conditionally by Buvanesh Tharashankar

p. 10
On an incremental basis, I would say, we will be around the 8.8 to 9 handle, is what I would look at.

Buvanesh Tharashankar, page 10 of the filed PDF · View the filing

Q&A highlights

Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.

Management said the interest rate on this scheme ranges from 14% to 16%.

Answered by VP. Nandakumar

Asked by Shreepal Doshi: What is the interest rate range on the new income-generating loan products?

p. 6
The interest rate on this scheme, it ranges from 14%-16%.

VP. Nandakumar, page 6 of the filed PDF · View the filing

Management said pricing actions taken to correct earlier overcorrection drove the yield improvement, not a shift in customer mix.

Answered by Buvanesh Tharashankar

Asked by Rajiv Mehta: What drove the 60 basis points improvement in portfolio yield?

p. 7
we had taken some pricing actions, which are beginning to kind of yield results to us, which is what you see in Q1 numbers.

Buvanesh Tharashankar, page 7 of the filed PDF · View the filing

Management said LTV would range between 64% and 67% under normal conditions.

Answered by Raju Narayanan

Asked by Piran Engineer: Where can LTV settle if gold prices are stable?

p. 8
normally, in this level, it is 64% to 67% is the average LTV range in the normal scenario.

Raju Narayanan, page 8 of the filed PDF · View the filing

Management confirmed a plan to open around 500 branches across the group following removal of the RBI prior approval requirement.

Answered by VP. Nandakumar

Asked by Bhaskar Basu: What are the branch expansion plans for the year?

p. 10
we have the plan to open around 500 branches now. We are at stream now already, progressing in that stream.

VP. Nandakumar, page 10 of the filed PDF · View the filing

Management explained that Q4 had one-time provision releases, making Q1 a more normalized level.

Answered by Buvanesh Tharashankar

Asked by Gaurav: Why did microfinance provisions increase quarter-on-quarter?

p. 12
In Q4 there were one-timers in terms of releases. I think Q1 is more representative of a normalized provision cycle.

Buvanesh Tharashankar, page 12 of the filed PDF · View the filing

Management said they intend to contain microfinance below 10% of consolidated AUM while focusing on asset quality.

Answered by VP. Nandakumar

Asked by Anuj Jain: What is the long-term strategy for the microfinance business?

p. 13
I will tell at the group level, we want to contain microfinance at below 10% at a consolidated level.

VP. Nandakumar, page 13 of the filed PDF · View the filing

Management said attrition has actually come down and remains around 2% to 2.5% per month at branch level.

Answered by VP. Nandakumar

Asked by Pradeep Agrawal: Has employee attrition changed amid rising competition?

p. 15
Our attrition level remained around 2% to 2.5% per month. Yes. It is not rising even now.

VP. Nandakumar, page 15 of the filed PDF · View the filing

Risks flagged

Elevated GNPA in the vehicle finance business requiring collection focus

p. 5
Focus is now on collections as GNPA continues to be elevated at 13.3% versus 10.4% in prior quarter.

Buvanesh Tharashankar, page 5 of the filed PDF · View the filing

Industry-wide stress in microfinance over recent years

p. 4
Microfinance companies have witnessed industry-wide stress over the few years.

VP. Nandakumar, page 4 of the filed PDF · View the filing

Rising short-term funding rates including MIFOR at elevated levels affecting cost of funds

p. 10
we have seen MIFOR also at all-time high levels.

Buvanesh Tharashankar, page 10 of the filed PDF · View the filing

Uncertainty in predicting where cost of funds will settle given elevated rate environment

p. 10
It is very difficult to put a number in terms of where this will settle in.

Buvanesh Tharashankar, page 10 of the filed PDF · View the filing

Competitive intensity on the ground in gold loans

p. 8
we are seeing a lot of competition on the ground in gold loans

Piran Engineer, page 8 of the filed PDF · View the filing

Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.