Muthoot Capital Services Limited — PPTs, 05-08-2025: Investor Presentation

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**Financial Highlights:** The company reported a Q1 FY26 net loss of ₹4.41 Cr, driven by a 61% Q-o-Q surge in loan loss provisions to ₹26.68 Cr. Despite this, Assets Under Management (AUM) saw impressive growth to ₹3,239 Cr (+49% Y-o-Y, +6% Q-o-Q). Gross NPAs rose to 5.76% and Net NPAs to 2.70%.

**Strategic Initiatives & Growth Drivers:** Muthoot Capital remains focused on automobile finance, particularly two-wheelers, which is a key growth driver. Its co-lending business showed strong disbursement growth. The company maintains a wide geographical footprint across 23 states.

**Business Developments:** Quarterly disbursements reached ₹619 Cr (+24% Y-o-Y), pushing AUM past the ₹3,000 Cr mark. A strategic shift was observed in co-lending partnerships, pausing new disbursements with certain partners while continuing collections.

**Market Position & Competitive Advantage:** An established NBFC in automobile finance, Muthoot Capital leverages its extensive national presence and a CRISIL A+ Stable rating, positioning it as a progressive leader in the sector.

**Investor Implications:** Robust AUM and disbursement growth suggest positive business expansion. However, the profitability decline due to escalating loan loss provisions and rising NPAs presents an execution risk investors should closely monitor.