Gold loan finance organization Muthoot Finance Ltd (MFIN) on Wednesday revealed a 22 percent bounce in standalone profit after charge at Rs 996 crore for the three months to March 2021.

The organization had posted a standalone profit after expense of Rs 815 crore in the year-prior period. For the entire year, the standalone net profit rose by 23% to Rs 3,722 crore as against Rs 3,018 crore in FY20.

“We have seen great business development during the last year, especially in the second and the third quarters. After the pandemic, there was a great deal of interest for gold loans. “Everyone needed to restart their business and needed fast financing, which is the reason the interest for gold loans developed,” its Managing Director George Alexander Muthoot said.

The bank was ready to develop its asset under administration (AUM) in gold credit segment by 27% in FY21 contrasted with a development of 22% in the previous year. Gold loans under administration stood at Rs 51,926.6 crore as of end-March 2021. During the final quarter of FY21, gold credit assets increased by Rs 2,304 crore.

Consolidated profit after charge increased by 21% at Rs 3,819 crore in FY21 as against last year’s figure of Rs 3,169 crore. Consolidated credit assets of the gathering developed by 24% at Rs 58,280 crore as against Rs 46,871 crore in FY20.

Absolute pay increased by 18% to Rs 2,828 crore during the detailing quarter contrasted with Rs 2,403 crore prior. Its gross NPA or Stage-3 assets on gross advance assets improved to 0.88 percent as against 2.16 percent.

Expected credit losses (ECL) provision as a level of gross advance assets stood at 1.19 percent as of end-March 2021. Capital sufficiency proportion improved to 27.44 percent from 25.47 percent.

Muthoot said the first 15 days of April were OK in terms of business however after that request got hit in May as branches were closed. He expects request to improve before this month’s over.

“Business will start resuming before this month’s over. At the point when businesses start opening, individuals will require cash and certainly gold loans will get like last year,” he clarified. Muthoot expects a 15 percent development in AUM in the fiscal 2021-22.

“By and large, we give a direction of 15% however in the last three years we have had the option to do (develop) more than that. This year, our direction is also 15% however will surpass that,” he said. MFIN’s housing money subsidiary Muthoot Homefin (India) Ltd (MHIL) detailed a plunge in net profit at Rs 13 crore in FY21 as against Rs 32 crore last year.

Its Stage-3 assets on gross advance asset stood at 4% and net of Stage-3 ECL provisions was 2.78 percent as on March 31, 2021. Its microfinance arm Belstar Microfinance’s profit after charge stood at Rs 47 crore in FY21 as against Rs 99 crore in the previous year.

The organization’s scrip finished at Rs 1,414 each, up 8.06 percent, on BSE on Wednesday.