Mahindra & Mahindra Financial Services (Mahindra Finance) on Thursday reported an over three-fold rise in consolidated net profit at Rs 1,103 crore for the September quarter, boosted by healthy operating performance and reversal of impairment cost.
The company had posted a net profit of Rs 353 crore in the corresponding quarter of last year.
Total income declined by 4 per cent to Rs 2,951 crore during the quarter ended September 30, 2021, as against Rs 3,071 crore in the year-ago period, Mahindra Finance said in a release.
"Healthy operating performance together with reversal of impairment cost led to a significant sequential recovery in profits after tax which stood at Rs 1,023 crore during the quarter as against PAT of Rs 304 crore during the corresponding quarter last year," it said.
Standalone income was down by 5 per cent at Rs 2,522 crore.
The gross NPA showed smart recovery from 15.5 per cent in June to 12.7 per cent in September, thereby releasing Rs 1,002 crore from the impairment cost provisions, it added."The overheads to average assets were higher at 2.7 per cent as the economic activity and collection efforts intensified in Q2," it said.