Muthoot Finance Limited is the **largest gold financing company in India** in terms of loan portfolio. Headquartered in Kochi, Kerala, the company operates over **5,000 branches** throughout the country, spread across 29 states and union territories of India. Having served over **70 Crore customers** to date (including repeat customers) and serving over **2.5 Lakh customers daily**, The Muthoot Group has not only grown exponentially but has also facilitated growth for a sizeable population of the country, particularly those in underprivileged categories.
The company was initially set up by M. N. Mathai (who goes by N. Mathai Muthoot) in **1887** at Kozhencherry, a small town in Kerala. It was later taken over by his son M. George Muthoot, who incorporated the finance division of the group, which had until then been primarily involved in the wholesale of grains and timber. Muthoot Finance was incorporated as a private limited company under the name "The Muthoot Finance Private Ltd" on **March 14, 1997**, and was converted into a public company in **2008**.
As its core business, Muthoot Finance provides **business loans secured by gold jewellery, commonly known as gold loans**. The company primarily caters to individuals who possess gold jewellery but may not have access to formal credit within a reasonable time, or for whom credit may not be available at all. Muthoot Finance has established itself as a trusted financial partner for millions of customers requiring quick access to credit against their gold assets.
The company operates **4,800+ branches** across 29 States and Union territories. It holds **202 tons of gold jewelry as security** and services over 2 lakh customers daily. This extensive branch network ensures that customers across India can conveniently access Muthoot Finance's services, making it one of the most accessible gold loan providers in the country.
While its core offering is gold loans, the company also provides a range of other products and services to its customers. These include foreign inward money transfer services, domestic money transfer services, instant money transfer services, microfinance, non-convertible debentures, home loans, personal loans, corporate loans, foreign exchange services, and insurance services, among others.
The market capitalization of Muthoot Finance Ltd (MUTHOOTFIN) is **₹105,401.53 Crore** as of July 3, 2025. The company has demonstrated strong financial performance with consistent growth across key metrics.
For the quarter ended March 2025, the company reported robust results:
- Net profit rose **29.73% to ₹1,477.68 Crore**, compared to ₹1,139.07 Crore during the previous quarter ended March 2024.
- Sales rose **35.01% to ₹5,621.75 Crore**, compared to ₹4,163.80 Crore during the previous quarter ended March 2024.
For the full year ended March 2025:
- Net profit rose **23.32% to ₹5,332.90 Crore**, compared to ₹4,324.29 Crore during the previous year ended March 2024.
- Sales rose **34.21% to ₹20,214.17 Crore**, compared to ₹15,061.66 Crore during the previous year ended March 2024.
The company's strong financial performance underscores its dominant position in the gold loan market and effective operational management.
The 52-week high of Muthoot Finance Ltd (MUTHOOTFIN) is **₹2669.90**, and the 52-week low is **₹1664.60**. The P/E (price-to-earnings) ratio of Muthoot Finance Ltd is **19.76**, and the P/B (price-to-book) ratio is **4.09**.
Over the last 3 years, Muthoot Finance Ltd's share price moved up by **157.43% on BSE**. This impressive performance demonstrates the market's confidence in the company's business model and growth prospects.
Muthoot Finance has fixed **April 25, 2025**, as the record date for the payment of an interim dividend of **₹26 per equity share for FY 2024-25**. The company has maintained its commitment to returning value to shareholders through regular dividend payments.
Promoter holding in Muthoot Finance Ltd remained stable at **73.35% as of March 2025** (unchanged from June 2024). The consistent promoter holding indicates strong management confidence in the company's future prospects.
As per the Brand Trust Report 2024, Muthoot Finance has been recognized as **'India's No. 1 Most Trusted Financial Services Brand' for 8 years in a row since 2016**. This consistent recognition makes Muthoot Finance a promising stock for investment and underscores the company's commitment to maintaining high standards of customer service and ethical business practices.
Muthoot Finance aims to raise **$750 million through external commercial borrowings in FY26**, targeting **15% growth**. The company is actively pursuing growth opportunities while maintaining its focus on the core gold loan business.
The Board of Muthoot Finance, at its meeting held on April 21, 2025, recommended for shareholder approval an increase in the borrowing powers of the Board of Directors under Section 180 (1) (c) of the Companies Act, 2013, for an amount up to **₹2 lakh Crore**. This expansion of borrowing capacity strategically positions the company for future growth initiatives.
Beyond India, Muthoot Finance has established its presence in the **UK, the US, and the United Arab Emirates**. The Muthoot Group operates in 29 states in India and has an international presence in Nepal, Sri Lanka, the US, the UK, and the UAE. This international presence provides the company with additional revenue streams and diversification opportunities.
Muthoot Finance represents a compelling investment opportunity in India's growing financial services sector, particularly in the specialized gold loan segment. The company's strong market position, consistent financial performance, and trusted brand make it a noteworthy consideration for investors seeking exposure to India's expanding credit market. With its extensive branch network and deep customer relationships, Muthoot Finance is well-positioned to capitalize on India's continued economic growth and the increasing demand for accessible credit solutions.
