Muthoot Microfin Q4FY26 PAT at ₹71.1 Cr, GLP Crosses ₹14,005 Cr
Muthoot Microfin reported Q4 FY26 PAT of ₹71.1 crore, a turnaround from a loss of ₹401.2 crore in Q4 FY25. GLP grew 13.3% YoY to ₹14,005.6 crore. GNPA reduced to 3.89% and NNPA to 1.14%. CARE Ratings upgraded ESG rating to 80.8.
The results show a strong financial turnaround and improved operational performance, including significant growth in loan portfolio and disbursements, alongside better asset quality and profitability metrics. These are material developments for the company's stakeholders.
The company reported significant year-on-year improvements in profit after tax, gross loan portfolio growth, asset quality (reduction in GNPA and NNPA), and collection efficiency. The upgrade in ESG rating also contributes positively.
Muthoot Microfin Limited announced its audited financial results for the quarter and full financial year ended March 31, 2026. The Gross Loan Portfolio (GLP) crossed the ₹14,005.6 crore mark, registering a year-on-year growth of 13.3% and a quarter-on-quarter growth of 7.1%. Disbursements also saw significant growth, increasing by 46.8% YoY and 15.4% QoQ to ₹2,876.7 crore.
The company reported an improvement in asset quality, with Gross Non-Performing Assets (GNPA) reducing by 95 basis points YoY to 3.89% and Net Non-Performing Assets (NNPA) declining by 20 basis points YoY to 1.14%. Collection efficiency improved by over 575 basis points YoY to 96.43% for FY26.
Total income for Q4 FY26 stood at ₹638.9 crore, a 14.9% YoY increase. Pre-Provisioning Operating Profit (PPOP) grew by 48.0% YoY to ₹192.8 crore. Profit After Tax (PAT) for the quarter was ₹71.1 crore, a significant increase from a loss of ₹401.2 crore in Q4 FY25. For the full fiscal year FY26, PAT was ₹170.3 crore, a substantial turnaround from a loss of ₹222.5 crore in FY25.
The cost of funds declined by 75 basis points to 10.27%, while Net Interest Margin (NIM) remained healthy at 12.0% for the quarter. Credit cost for the full year reduced from 9.4% to 3.5%, and for Q4 FY26, it stood at 2.8%. Capital Adequacy was maintained at a robust 23.9%.
Digital adoption remained strong, with 33.9% of collections through digital channels. The company also saw its ESG rating upgraded by CARE Ratings to 80.8 (CareEdge -ESG 1+). Mr. Thomas Muthoot, Chairman & Non-Executive Director, highlighted the improving operating environment and the company's strategic shift towards higher-ticket, business-oriented, and secured lending. Mr. Sadaf Sayeed, CEO, emphasized the strong growth, improved profitability, and strengthening 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.