Muthoot Microfin Q2FY27 PAT Soars 263% to ₹110.8 Cr; Disbursements Hit Record ₹2,900 Cr
Muthoot Microfin reported a record Q2 FY27 with PAT at ₹110.8 crore, up 263% YoY. Disbursements hit ₹2,900 crore, up 27.5% YoY. GLP grew 22% to ₹15,323 crore. Non-JLG portfolio reached 31% of GLP. NIM improved to 12.5%, and average borrowing cost entered single digits at 9.93%.
The announcement details record-breaking quarterly disbursements, substantial PAT growth, improved profitability ratios, and successful diversification of the loan portfolio. These strong financial and operational achievements are expected to have a significant positive impact on investor confidence and the company's market position.
The company reported significant year-on-year growth in key financial metrics such as Profit After Tax (PAT), disbursements, and Gross Loan Portfolio (GLP). Improvements in Net Interest Margin (NIM), reduction in borrowing costs, and strengthening asset quality further contribute to a positive sentiment.
Muthoot Microfin Limited announced its unaudited financial results for the quarter and half-year ended September 30, 2026. The company achieved its highest-ever quarterly disbursements, reaching ₹2,900 crore, a growth of 27.5% year-on-year and 9.7% quarter-on-quarter. The Gross Loan Portfolio (GLP) grew 22.0% year-on-year to ₹15,323 crore.
The company has successfully strengthened its portfolio mix, with the Non-JLG portfolio expanding to 31% of GLP. The Small and Micro Enterprise Loan portfolio reached ₹4,164 crore (27% of GLP) with near-zero delinquency. Digital collections increased significantly to 46.7% of total collections, up from 25% in Q2 FY26.
Financially, total income grew 26.9% year-on-year to ₹732.9 crore, and Net Interest Margin (NIM) improved by 50 basis points quarter-on-quarter to 12.5%. Pre-Provision Operating Profit (PPOP) increased by 67.4% year-on-year to ₹249.4 crore. Profit After Tax (PAT) stood at ₹110.8 crore, marking a substantial growth of 262.9% year-on-year. Asset quality further strengthened with GNPA improving to 3.38% and NNPA reducing to 1.05%. The credit cost was maintained at 2.6%, within the guided range. The average cost of borrowing declined to 9.93%, entering single-digit territory for the first time. The capital adequacy ratio (CRAR) remained healthy at 25.5%.
Mr. Thomas Muthoot, Chairman & Non-Executive Director, highlighted the company's focus on building stronger institutions, diversifying lending models, and meeting growing credit demand while maintaining asset quality. Mr. Sadaf Sayeed, CEO, emphasized the strong performance across all parameters, including business growth, portfolio quality, operational efficiency, and profitability, noting the significant shift in portfolio mix and improved asset quality.
What to do with a filing like this
Muthoot Microfin Limited filed this with the NSE as a statutory disclosure, categorised under quarterly results. It is a primary document, not a recommendation, and the desk marks it high impact, which is the band that most often changes something.
That call is the part a filing cannot make for you. On RealCase, SEBI-registered research analysts and investment advisers read announcements like this one and turn the ones that matter into actions inside their model portfolios: a change in weight, a hold, or nothing at all. You are not left working out which of the roughly 250 filings published each day needs a response. The portfolio you follow is updated when a filing actually warrants it, with the reason written down.
See the model portfoliosA plain-language summary of a public exchange filing by Muthoot Microfin Limited. Read the original for the full detail.