Muthoot Microfin · forward-looking guidance across the available source record.
Guidance tracker
Management explicitly stated confidence that credit cost could turn out 'significantly lower' than guidance, already at lower end of 4-6% range at 4.3% in Q1. Awaiting one more quarter before formal revision.
Management flagged potential upward revision to AUM growth guidance, citing July disbursements of ₹727 crores and trajectory toward ₹1,000 crores/month. Current guidance targets may be exceeded.
Management outlined monthly disbursement trajectory: July at ₹727 crores (already achieved), August-September targeting ₹800-850 crores, reaching ₹1,000 crores per month by end of Q3, with north of ₹1,000 crores for remaining 6 months.
Board-approved co-lending tie-up with parent Muthoot Finance: 60% on Muthoot Microfin book, 40% on MSL book. MSL handles underwriting, gold storage, and collections; operating cost to Muthoot Microfin is 'next to negligible'. UCI code ensures customer remains Muthoot Microfin customer.
Management guided 14% AUM growth for FY26 vs original guidance of 5-10%, targeting ₹14,000 crore AUM. Disbursements have recovered strongly to ₹850 crore/month with Q4 trajectory at ₹1,000 crore/month.
Company targets 20% AUM growth for FY27, reaching ₹17,000 crore from expected FY26 base of ₹14,000 crore. Portfolio mix expected to shift to 70:30 JLG/non-JLG by FY27 end from current 88:12.
FY27 ROA expected to cross 3%, with sustainable 3-3.5% ROA and 14-18% ROE over 3-5 years. Operating cost-to-income ratio targeting 43% (from current 54.8%) within 9-12 months.
Net interest margin expected to reach 12.7% as new disbursements at 24.85% yield (JLG) and 23% (individual loans) reprice the book. Overall blended yield target 23-23.5%. Cost of funds guidance at 9.7% in 12-18 months.