Event Type: Q2 FY '27 Earnings Conference Call to discuss unaudited financial results for the quarter ended September 30, 2026.

Date and Time: The conference call was held on November 06, 2026. Specific time and time zone were not mentioned in the disclosure.

Purpose: Discussion of quarterly results, strategic update, and business performance for Q2 FY27.

Management Participants:

  • Mr. Thomas Muthoot – Chairman
  • Mr. Sadaf Sayeed – Chief Executive Officer
  • Mr. Praveen T – Chief Financial Officer
  • Mr. Udeesh Ullas – Chief Operating Officer
  • Mr. Rajat Gupta – Senior AVP, Investor Relations

Moderator: Mr. Arun Antony Nalkara from JM Financial

Availability of Materials: The transcript of the earnings call is available on the company's website at: https://muthootmicrofin.com/financials-and-investor-presentations/?tab=6. Audio recordings were uploaded on stock exchanges on November 6, 2026, and will prevail in case of discrepancy.

Financial Period Discussed: Q2 FY27 (quarter ended September 30, 2026)

Key Financial Highlights Disclosed:

  • Highest ever quarterly disbursal: ₹2,900 crores (28% YoY growth, 10% QoQ growth)
  • First half disbursement: ₹5,545 crores
  • AUM growth: 22% YoY to ₹15,323 crores (above guidance of 18%-20%)
  • Total income: ₹733 crores (27% growth)
  • Net interest margin: Improved from 12% to 12.5%
  • PPOP: ₹249 crores (67% YoY growth)
  • Standalone profit after tax: ₹110.8 crores
  • ROA: 3%
  • ROE: 14.8%
  • First half total income: ₹1,403 crores (23% growth)
  • First half PPOP: ₹448 crores (56% growth)
  • First half total profit: ₹192 crores

Asset Quality Metrics:

  • Collection efficiency: 98.1% for quarter, improved to 99.2% in October
  • GNPA: 3.38% (32 bps improvement QoQ)
  • Net NPA: 1.05%
  • Provision coverage: 69.6%
  • Credit cost: 2.6% (within guided range of 2.5%-3%)

Funding and Liquidity:

  • Average cost of borrowing: Reduced to 9.93% (first time in single digits)
  • Incremental cost of borrowing: 9.69%
  • Q2 fund raising: ₹3,213 crores
  • First half fund raising: ₹5,947 crores
  • Includes ₹250 crores NCD at 9.25% coupon rate
  • Liquidity on balance sheet: ₹1,835 crores
  • Unavailed sanctions: ₹4,442 crores
  • Capital adequacy ratio: 25.5%

Portfolio Diversification:

  • JLG to non-JLG mix: 69:31 (improved from 83:17 in March)
  • Muthoot Small and Growing Business portfolio: ₹4,164 crores (27% of total AUM)
  • Gold loan disbursement: ₹453 crores during quarter
  • Micro LAP AUM: Crossed ₹100 crores in October
  • Active customer base: Approximately 32.7 lakh
  • 81% of customers have either only Muthoot Microfin or one additional relationship

Operational Efficiency Improvements:

  • AUM per branch: ₹9.1 crores (from ₹7.3 crores)
  • AUM per loan officer: ₹1.8 crores
  • OPEX to GLP: Reduced from 7% to 6.1%
  • Cost-to-income ratio: 48.1% standalone
  • Digital collection: 47% of overall collection

Risk Management:

  • Exposure to drought-affected Maharashtra and Karnataka: 3.6% of portfolio (₹550 crores)
  • 81% of affected portfolio covered by NATCAT insurance
  • 85% of total portfolio covered by natural calamity insurance
  • Less than 2% of portfolio directly dependent on agriculture

Guidance Reaffirmed:

  • FY27 AUM growth: 20%
  • Credit cost: Expected to do better than guidance
  • NIM: Confident of being on upper end of guidance
  • ROA: Expect to beat guidance (upper bracket 3.3%)
  • ROE target: 18%
  • Annual profit target: ₹425-450 crores
  • Long-term target: ₹30,000 crores AUM by 2030

Additional Business Updates:

  • Branch network: 1,675 branches
  • Expansion into Assam, Andhra Pradesh, Telangana, and soon Jammu & Kashmir
  • Suvidha loan app initiative with ₹1.5 crores disbursed digitally
  • 2.2 million customers subscribed to customer app

Additional Notes Section

The document includes the full transcript of the earnings conference call. No financial data was disclosed in the announcement itself beyond what was presented in the earnings call. The company indicated through standard compliance language that the transcript may contain edited content, with audio recordings on stock exchanges prevailing in case of discrepancy.