The company has written back credit cost amounting to 75 bps (annualized) in Q4FY2019 compared with 154 bps in preceding quarter and 78 bps in the corresponding quarter last year. The net interest margin (NIM), on calculated basis, of the company improved to 8.56% in Q4FY2019 compared with 8.40% in the corresponding quarter last year.

Income from Operations increased 37% to Rs 2455.19 crore during the quarter ended March 2019, compared to the corresponding previous year quarter. Other Income jumped 124% to Rs 24.35 crore. The total Income moved up 37% to Rs 2479.54 crore, while interest expenses increased 47% to Rs 1144.33 crore in the quarter ended March 2019.

The staff cost moved up 28% to Rs 314.10 crore, while other operating expenses increased 35% to Rs 223.50 crore. The ensuing operating profit improved 29% to Rs 797.59 crore in the quarter ended March 2019.

Depreciation rose 47% to Rs 17.30 crore during the quarter under review. Provisions & write-off worth Rs 114.45 crore were written back in Q4FY2019. The profit before tax increased 74% to Rs 894.74 crore. After accounting for taxation of Rs 306.78 crore, net profits increased 87% to Rs 587.97 crore in the quarter ended March 2019.

AUM of the company on standalone basis increased 26% to Rs 61250 crore at end March 2019. MMFSL currently has a network of 1321 offices. The company's customer base has crossed 6.10 million customers at end March 2019. The disbursements of Mahindra Finance were steady at Rs 11725.7 crore in the quarter ended March 2019.

AUM of the company on consolidated basis increased 27% to Rs 67078 crore end March 2019 over March 2019.

Asset Quality

The Gross Stage 3 levels have declined to 5.9% end March 2019 from 7.7% a quarter ago. The Net Stage 3 levels have gone down to 4.8% end March 2019 from 5.8% a quarter ago. The Stage 3 provisioning coverage ratio stood at 19.2% end March 2019.

Mahindra Insurance Brokers (MIBL)

During the quarter ended March 2019, MIBL registered income at Rs 99.7 crore as against Rs 88.3 crore, registering a growth of 13% over the same period previous year. The Profit after Tax (PAT) registered was Rs 26.7 crore as against Rs 21.5 crore, registering a growth of 24% over the same period previous year.

Mahindra Rural Housing Finance (MRHFL)

During the quarter ended March 2019, MRHFL disbursed Rs 804.3 crore as against Rs 1029.3 crore during the same period previous year, registering a decline of 22% over the same period previous year. MRHFL registered income at Rs 353.7 crore as against Rs 287.8 crore, registering a growth of 23% over the same period previous year. The Profit after Tax (PAT) registered a growth of 77% at Rs 82 crore as against Rs 46.3 crore for the same period previous year. GNPA ratio has declined to 13.02% and NNPA ratio has dipped to 10.77% end March 2019. The Total Assets Under Management (AUM) increased 28% at Rs 7689 crore end March 2019.

Mahindra Asset Management Company (MAMCPL)

MAMCPL earned fees of Rs 3.30 crore in Q4FY2019 as compared to Rs 7.01 crore in the same period previous year. The company incurred a loss of Rs 7.69 crore in Q4FY2019 as against Rs 13.47 crore in the same period previous year. MAMCPL earned fees of Rs 23.07 crore in FY2019 as compared to Rs 18.62 crore in FY2018. The company incurred a loss of Rs 39.49 crore in FY2019 as against Rs 37.43 crore in FY2018.

The Average Assets under Management of MAMCPL stood at Rs 4871 crore end March 2019 across nine schemes which showed a growth of 45% over the March 2018 average assets of Rs 3352 crore. Of these assets, MAMCPL managed Rs 1449 crore of equity assets which showed a growth of 24% over March 2018 equity assets of Rs 1173 crore. The number of client accounts increased to 159,399 from 126,737 showing a growth of 26% over the previous year end figure.

Mahindra Finance USA, LLC (MFUSA)

MFUSA registered income at US$ 17.24 Million in Q4FY2019 as against US$ 14.88 Million in Q4FY2018, registering a growth of 16 % over the same period previous year. The Profit After Tax (PAT) registered was US$ 4.46 Million in Q4FY2019 as against US$ 3.04 Million Q4FY2018, registering a growth of 47% over the same period previous year.

MFUSA registered income at US$ 67.68 Million in FY2019 as against US$ 56.13 Million in FY2018, registering a growth of 21% over the same period previous year. The Profit After Tax (PAT) registered was US$ 16.26 Million in FY2019 as against US$ 9.70 Million FY2018, registering a growth of 68% over the same period previous year.

Book value of the company on standalone basis stood at Rs 177.40 per share end March 2019. Adjusted book value (net of net Stage 3 loans) stood at Rs 124.05 per share on standalone basis at end March 2019.

Annual Financial Performance:

For the year ended March 2019 (FY2019), MMFSL reported 31% rise in the Income from Operations to Rs 8722.91 crore, against the corresponding previous year period. Other Income increased 68% to Rs 86.90 crore. As a result, the total Income grew 32% to Rs 8809.81 crore. Interest expenses moved up 28% to Rs 3944.56 crore, while the operating expenses increased 35% to Rs 1787.37 crore leading the operating profits to jump 35% to Rs 3077.88 crore. Depreciation increased 36% to Rs 60.23 crore, while Provisions & write-off increased 12% to Rs 635.21 crore. PBT moved up 43% to Rs 2382.44 crore. The effective tax rates stood at 34.6% in FY2019 compared with 35.4% in FY2018. Net Profit galloped 45% to Rs 1557.06 crore in FY2019 over FY2018.