NBFC major M&M Financial Services Ltd has reported that its first quarter 2015-16 consolidated net profit slumped by 37 per cent at Rs 107 crore from the same period a year ago as revenue was hit by lower disbursements amid stress in the semi-urban and rural sector while increased credit costs due to lower collections also hit profitability.
In Q1 FY 2014-15, the company posted a consolidated net income of Rs 170 crore, M&M Financial Services Ltd said in a filling to the Bombay Stock Exchange (BSE).
Net revenue on a consolidated basis climbed 9.3 per cent at Rs 1,505 crore in Q1 FY 2015-16 from Rs 1,377 crore in the same period a year ago.
Total expenses on a consolidated basis climbed 31 per cent at Rs 650 crore in Q1 FY 2015-16 from Rs 497 crore in the same period a year ago.
Other income climbed 5 per cent at Rs 8 crore in Q1 FY 2015-16 from Rs 7.6 crore in the same period a year ago.
Finance costs climbed by about 11 per cent, year on year at Rs 693 crore in Q1 FY 2015-16.
Total Assets Under Management (AUM) stood at Rs 37,554 crore as on 30th June 2015 compared to Rs 34,271 crore a year ago, representing a growth of 10 per cent.