Strong growth, profitability and asset quality drive MMFL’s rating upgrade
PANAJI
Muthoottu Mini Financiers Ltd. (MMFL), widely known as Muthoottu Yellow, has been upgraded to an [ICRA] A Stable credit rating for its long-term borrowings by ICRA Ratings. Previously, the company’s long-term facilities were rated CARE A-; Stable and IND A-; Stable by CARE Ratings Limited and India Ratings & Research Private Limited.
This upgrade reflects MMFL’s consistent financial performance, strong asset quality, and steady growth across India.
Between April and December 2024, MMFL saw impressive financial growth. Profit Before Tax (PBT) increased by 20.5%, reaching Rs 103.84 crore, up from Rs 86.18 crore in the same period last year. Profit After Tax (PAT) rose by 24.35% to Rs 74.66 crore, compared to Rs 60.04 crore the previous year.
The company also maintained a strong asset quality, with Net Non-Performing Assets (Net NPA) at just 0.77%, highlighting its robust risk management framework. MMFL’s Assets Under Management (AUM) is expected to reach Rs 4,200 crore by the end of FY25, demonstrating balanced growth while maintaining financial stability.
Commenting on the development, Mathew Muthoottu, Managing Director, Muthoottu Mini Financiers Ltd., said, “This rating upgrade by ICRA is a recognition of our commitment to financial discipline and sustainable growth. Our strong Q3 FY25 performance, marked by healthy revenue and profits, highlights our ability to create value in a dynamic market. We remain focused on expanding our presence while maintaining operational excellence.”
Adding to this, P.E Mathai, CEO, Muthoottu Mini Financiers Ltd., stated, “The rise in PAT and PBT reflects our operational efficiency and strategic investments in technology and talent. ICRA’s credit rating upgrade further validates our financial strength and disciplined approach to growth. As we expand into Tier 2 and Tier 3 cities, maintaining strong asset quality and customer trust remains our top priority.”
With a network of 948 branches across 12 states, including Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Haryana, Maharashtra, Gujarat, Delhi, Uttar Pradesh, Goa, and Puducherry, MMFL is committed to bridging financial inclusion gaps.
Supported by over 5,000 employees, the company continues to expand its reach and serve customers across urban and rural regions.
