Latest news with #Kerala-headquartered
Mint
6 days ago
- Business
- Mint
Malabar Gold & Diamonds weighs entry into lab-grown diamond segment
New Delhi: Malabar Gold & Diamonds is exploring an entry into the lab-grown diamond market with a distinct branding strategy, joining a small but growing list of large jewellery retailers eyeing the nascent segment. The company is studying consumer interest in lab-grown diamonds and evaluating how best to position its offering, said M.P. Ahammed, chairman of the Kerala-headquartered group. 'We want to come in with a different proposition with a separate identity and not mix it with natural diamonds, as customers are different. We will formalize something,' he said on the sidelines of a press conference in Delhi. Malabar has not yet set a timeline for its venture. 'Malabar is always open to understanding customer needs. Lab-grown is definitely in the market…We are still doing the research and understanding whether consumers like it. We don't want to do anything with a short-term view,' added O. Asher, managing director. If it moves ahead, Malabar would be among the few national jewellery chains in India to enter this space. Last year, Senco Gold Ltd began piloting lab-grown diamonds under a sub-brand called Sennes. India's overall diamond market is estimated at $6.2 billion in FY25, with lab-grown diamonds accounting for just $0.4 billion, according to Wazir Advisors. Both segments are expected to grow, with natural diamonds projected to reach $8.6 billion and lab-grown $0.6 billion by FY28. While India and China have emerged as major producers of lab-grown diamonds, retail adoption in both markets has been slow, executives said. Lab-grown diamonds are typically priced at a significant discount to natural ones and have found takers among a mix of jewellery startups and traditional family-run jewellers looking to diversify. Malabar, which primarily caters to the wedding segment with gold jewellery as its mainstay, also retails solitaires and engagement rings. The company operates over 390 stores across 13 countries and reported an annual turnover of $6.2 billion calendar year 2024. The company is also responding to the impact of high gold prices, which have weighed on consumer demand. In April, gold touched a high of ₹ 96,875 per 10 grams, prompting a visible correction in volumes, as per industry executives. 'Consumers with a budget of ₹ 1 lakh cannot increase their spending, so we have seen a correction in volumes,' Asher said. 'We are trying to take more market share by coming up with different programmes and categories of products. We are also offering jewellery in various carats.' 'Due to a jump in gold prices, consumers with a budget of Rs1 lakh cannot increase their budget, so we have seen a correction in volumes. What we are able to do—we are trying to take more market share by coming up with different programs and different categories of products. We are also coming in various carats (of gold). So it's a different business plan we are coming up with so consumers can still afford gold jewellery," he said. Malabar plans to introduce more 18-carat and 14-carat designs to offer value-conscious customers more options, mirroring a shift seen across the organised jewellery sector. 'We are trying to explore a little bit in 18 karat,' Asher added. 'We have come up with various innovations to reduce the budget without reducing the look.' The company aims to open at least 50 new stores in India this fiscal as it expands its retail footprint.
Time of India
15-05-2025
- Business
- Time of India
South Indian Bank Q4 Results: Profit jumps 19% to Rs 342 crore despite rise in provisions
South Indian on Thursday reported a near 19% year-on-year jump in fourth quarter net profit at Rs 342 crore as compared with Rs 288 crore in the year ago-period, despite a six-fold rise in provisions and contingencies. The bank's share price jumped 3.8% to 27.77 on BSE reacting to the financial numbers. Pre-provision operating profit for the quarter stood 57% higher at Rs 683 crore against Rs 434 crore. Provisions and contingencies were at Rs 224 crore as compared with Rs 41 crore. The bank's annual net profit for FY25 stood at Rs 1303 crore, which is its highest-ever, up 22% over 1070 crore in the preceding fiscal. Its board has declared a 40% dividend for FY25. Shareholders will get 40 paise per equity share of face value of Re 1 each. The Live Events The Kerala-headquartered lender's asset quality improved with gross non-performing assets to 3.20% at the end of March, down by 130 basis points from 4.50% a year-back. Net NPA stood at 0.92% against 1.46%. Its gross advances grew 8.9% year-on-year to Rs 87,579 crore with the corporate loan segment growing about 13% to Rs 36198 crore. ETMarkets WhatsApp channel )
Mint
15-05-2025
- Business
- Mint
Muthoot Finance share price declines 5% despite stellar Q4 earnings
Muthoot Finance delivers stellar FY25 results, but stock under pressure amid broader market sentiment Muthoot Finance, India's largest gold loan company, delivered a strong performance for the quarter as well as financial year ended March 31, 2025. Despite the strong fundamentals, its shares fell over 5 percent on Thursday, May 15, amid overall weak market sentiment. For the March quarter (Q4FY25), the Kerala-headquartered firm reported a 22 percent year-on-year increase in consolidated net profit at ₹ 1,444 crore, up from ₹ 1,182 crore in the same quarter last year. This surge was supported by robust growth in its lending portfolio. On a standalone basis, net profit stood at ₹ 1,479 crore, marking a 41 percent rise compared to ₹ 1,050 crore in the year-ago quarter. The company's consolidated assets under management (AUM) jumped 37 percent year-on-year to ₹ 1.22 lakh crore, while standalone AUM surged 41 percent to ₹ 1.06 lakh crore. Muthoot's gold loan portfolio continued to be its main growth driver, with gold loan AUM reaching an all-time high of ₹ 1,02,956 crore—a 41 percent jump over the previous year. Annual consolidated profit after tax for FY25 stood at ₹ 5,352 crore, up 20 percent from ₹ 4,468 crore last year. Standalone profit also saw a sharp 28 percent rise to ₹ 5,201 crore. The company reported its highest-ever interest income of ₹ 15,586 crore for the year, reflecting strong customer repayment trends and an expanding lending base. In terms of operational metrics, Muthoot Finance achieved multiple milestones. The average gold loan AUM per branch touched a new high of ₹ 21.21 crore. The company disbursed ₹ 21,888 crore in gold loans to nearly 18 lakh new customers during the year—both the highest-ever figures in its history. The total gold pledged as security in Muthoot's lockers reached 208 tonnes. To reward shareholders, Muthoot Finance declared its highest-ever dividend of 260 percent, translating to ₹ 26 per equity share of face value ₹ 10 each. However, performance from its subsidiaries presented a mixed picture. The group's microfinance arm, Belstar Microfinance, reported a 20 percent decline in AUM to ₹ 7,980 crore, down from ₹ 10,023 crore in the previous year. The subsidiary also saw its annual net profit shrink sharply to ₹ 46 crore from ₹ 340 crore amid industry-wide stress and asset quality concerns. Despite the exceptional earnings report, Muthoot Finance shares dropped as much as 5.1 percent to ₹ 2,139.20 on the BSE. The stock remains over 12 percent below its 52-week high of ₹ 2,444.65 touched in March 2025. It has gained 35 percent from its 52-week low of ₹ 1,580 hit in June 2024. On a yearly basis, the stock is still up over 34 percent. But it has struggled in recent months—down around 1 percent so far in May after a 9 percent correction in April. This follows a 12 percent rally in March, a 5.5 percent decline in February, and a 5.7 percent gain in January. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
08-05-2025
- Business
- Time of India
Muthoot Microfin reports Rs 401 crore net loss in Q4 amid asset quality crisis
Kolkata: Muthoot Microfin has suffered a Rs 401 crore net loss in the fourth quarter due to over 10 times jump in provisions against bad loans while it breached financial covenants relating to borrowing outstanding. #Operation Sindoor Live Updates| From Sindoor to showdown? Track Indo-Pak conflict as it unfolds India hits Lahore's Air Defence Radars in proportionate response Pakistan tried to hit military targets in these 15 Indian cities, New Delhi thwarts strikes The Kerala-headquartered microfinance lender earned a net profit of Rs 120 crore in the year ago period. The sector slipped into an asset quality crisis from the first quarter of FY25. For the full financial year ending March 31, 2025, the company suffered a net loss of Rs 223 crore as compared with Rs 450 crore of net profit in the preceding fiscal. Pre-provision operating profit for the year stood at Rs 868 crore, up 15% year-on-year. The company's total income for the quarter stood lower at Rs 556 crore against Rs 645 crore in the year-ago period. Its gross non-performing assets ratio soared to 4.84% at the end of the reporting period from 2.29% a year back. The Karnataka Micro Loan and Small Loan (Prevention of Coercive Actions) Ordinance contributed to fluctuations in portfolio performance, the company said in a regulatory filing to stock exchanges. Provisions against bad loans during the quarter stood at Rs 652 crore against Rs 62 crore in the year-ago period. "There has been instances of breach covenants relating to borrowings outstanding during the quarter and the year ended as at 31 March 2025," the company said in a regulatory filing to stock exchanges. The lender's gross loan portfolio rose 1.3% year-on-year to Rs 12,357 crore while borrower base grew by 2.3% to 34.3 lakhs. "With a conscious decision to moderate disbursements for the fiscal year, our emphasis remained on conserving tier-1 capital, maintaining strong liquidity buffers, resolving asset quality challenges, and steadily improving collection efficiency," Sayeed said.
