Change in Management
Awaiting price reaction for this filing.
Manappuram Finance Limited's Board approved its audited consolidated and standalone financial results for Q4 and FY ended March 31, 2025. Consolidated total income rose to Rs. 10,074.94 crores from Rs. 8,920.09 crores, but profit after tax fell sharply to Rs. 636.41 crores from Rs. 1,203.81 crores, mainly because the Microfinance segment swung to a Rs. 811 crore pre-tax loss versus a Rs. 627.54 crore profit last year. The Gold loan segment remained healthy with PBT of Rs. 2,476.64 crores. The Board declared an interim dividend of Rs. 0.50 (25%) per share with record date May 15, 2025. It also approved investing up to Rs. 500 crores in compulsory convertible preference shares of subsidiary Asirvad Micro Finance, revised remuneration of Managing Director Mr. Nandakumar V P and Executive Director Dr Sumita Nandan (subject to shareholder approval), and appointed KSR & Co as Secretarial Auditors for FY26–FY30. Auditors issued an unmodified opinion but flagged two emphasis-of-matter items: a Rs. 19.78 crore embezzlement by an employee of subsidiary Manappuram Comptech, and the RBI's now-lifted October 2024 lending restrictions on Asirvad Micro Finance over excessive interest spreads.
Shareholders benefit from a 25% interim dividend even as earnings fell sharply due to microfinance stress at subsidiary Asirvad. The microfinance segment loss, ongoing RBI scrutiny history, and residual embezzlement overhang are negatives for sentiment, though the gold loan core business remains profitable and qualified borrowings grew modestly to Rs. 14,275 crores while retaining AA+ rating.