Muthoot Finance, one of the leading gold lenders in the country is aiming to grow its assets under management (AUM) by 10% in the current fiscal, stated Mr. George Alexander Muthoot, MD Muthoot Finance.
The projections are very humble given the company's record in the past two years; the NBFC grew by 100% in 2010-11, and 55% in 2011-12. As on 31st March 2012, the company had AUM of Rs. 24,417 crore.
The company also announced a growth of near 81% in its bottom line; the profits after tax in the last fiscal were Rs. 892 crore against Rs. 494 year before. The core income almost doubled, and stood at Rs. 4,536 crore. Mr. Muthoot also mentioned the company making representation to the RBI on the regulator's move of 60% loan to value clause to control the gold loan companies.
The RBI had also asked the companies to reduce their exposure from 10% to 7.5% of net owned funds.