Manappuram Finance Q1 FY26 Earnings Results Out: Net Profit Drops 75% YoY

As per Manappuram Finance Q1 FY26 earnings results, the company’s net profit has declined sharply by 75% year-on-year. It has dropped to ₹138 crore, down from ₹555 crore during the same period last year. This significant drop highlights the challenges faced by the company in some of its business segments.

The firm’s total revenue from operations also declined by 9% to ₹2,262 crore. However, the gold loan segment performed relatively well, with revenue rising 10% year-on-year to ₹1,904 crore. On the contrary, the microfinance segment experienced a steep drop in revenue, falling more than 53% to ₹361 crore.

Segment-wise Breakdown of Manappuram Finance Q1 Earnings Results

Gold loans continued to be the backbone of the company, generating a profit before tax (PBT) of ₹538.79 crore in Q1 FY26, slightly down from ₹618.83 crore a year ago. The microfinance segment, however, reported a loss before tax of ₹437 crore compared to a profit of ₹775 crore in Q1 FY25. This sharp loss in microfinance has significantly impacted the overall profitability of the company.

Dividend and Leadership Changes

Along with the Q1 results, Manappuram Finance announced an interim dividend of ₹0.50 per share. The record date to determine which shareholders are eligible for the dividend is set for August 14.

In leadership news, the company revealed that Managing Director V. P. Nandakumar will take over as Chairman of the board effective August 28. He will replace Shailesh Jayantilal Mehta, who is retiring on August 27 after completing his second term as Independent Director.

Manappuram Finance Share Price Performance

On August 8, 2025, Manappuram Finance share price fell 1.4% to close at ₹257.35 on the NSE. Despite the recent setback, the stock has gained nearly 26% over the past 6 months and currently trades at a price-to-earnings (P/E) ratio of 18.34.

Read more: Kalyan Jewellers Q1 FY26 Earnings Out: Net Profit Rises 48.6% to ₹264 Crore.

Conclusion

Manappuram Finance’s Q1 performance reflects mixed outcomes: steady growth in gold loans but significant losses in microfinance. With leadership changes and dividend announcements, investors should monitor the company closely and manage risks accordingly. The stock’s future performance will depend on how well it navigates challenges in the microfinance sector and maintains its core gold loan business.

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