Tepid bike sales hit profit of Muthoot Cap

Mumbai: Muthoot Capital Services reported a net profit of Rs 13.6 crore, a fall from Rs 17.5 crore in the same quarter last year. The drop in the net profit can be attributed to the overall downhill journey of two-wheeler sales in the economy.

“The aftermath of liquidity crisis and the continued and steep slide in automotive sales posed tough times for the sector and many a large NBFCs reeled under the pressure. With the festive season coming in the second quarter, in fact, we are anticipating significant opportunities for the business, ahead,” said, Thomas George Muthoot, managing director, Muthoot Capital Services.

The total income for the quarter under review touched Rs 144 crore. The NBFC disbursed vehicle loans accounting to Rs 451.3 crore and had a total disbursement of Rs 486.9 crore during the quarter versus Rs 485.5 crore for the same quarter last year.