- 03 Apr 2024
- ICICI Securities
M&M FINANCIAL SERVICES REPORTED HEALTHY PERFORMANCE FOR THE MONTH OF MARCH 2024
M&MFIN - 268 Change: -5.40 (-1.98 %)News: Mahindra & Mahindra Financial Services, in an exchange filing, has reported healthy performance for the month of March 2024. For the month of March 2024, disbursement stood at ₹6100 crore, a growth of 9% YoY. Overall AUM growth for FY24 came at 24% YoY to ₹102400 crore, with disbursement at ₹56200 crore in FY24. Collection efficiency was 101% for the month of March 2024 and 98% in Q4FY24. Stage 3 assets is estimated to improve from 4% in Q3FY24 to 3.3% in Q4FY24, while stage 2 assets has improved from 6% in Q3FY24 to 5.1% in Q4FY24.
Views: Business growth remains in-line with management’s guidance, however, disbursement trajectory remains watchful. Improved collection efficiency is expected to aid earnings momentum and thus return ratio. Anticipation of above normal rainfall is seen to aid continued momentum in business traction and improvement in asset quality.
Impact: Positive