Manappuram Finance Ltd recorded dip in net profit by 48 per cent to Rs 84.38 crore in the third quarter of the current financial year which ended on December 31, 2012.
The company recorded Rs 161.37 crore in the corresponding quarter of the previous year.
Operating income dipped to Rs 586.20 crore against Rs 721.37 crore in the similar quarter of the last year. The profit before tax (PBT) stood at Rs 124.57 crore as against Rs 239.54 crore.
Provisioning for income tax was Rs 40.19 crore as against Rs 78.17 crore.
Mr. V P Nandakumar, Managing director and CEO of Manappuram Finance said "However, we are confident that with the positive report of the K. U. B. Rao Committee, and renewed willingness on the part of the banking sector, mutual funds and institutional investors to fund gold loans, the outlook from now on would be positive".
The company attributed the dip in profits to the fall in yield following the realignment of the lending rates in line with lower LTV norms. Moreover, the company has launched lower yielding gold loan products to restart growth in disbursements.