Mahindra & Mahindra Finance declares Q4FY16 results

Mahindra & Mahindra Finance has declared its Q4FY16 results. Consolidated net income from operation has been up by 19 per cent and stands at Rs 188662.24 lacs as compared to the previous quarter, where the consolidated results stood at Rs 166491.25 lacs. Consolidated net profit for the quarter ended has increased by 3.26 per cent and stands at Rs 41132.67 lacs. Loan provisions and write off has decreased by 0.33 times and stands at Rs 11664.09 compared to Rs 35213.57 lacs for the previous quarter.

On a YoY basis consolidated earnings stand at Rs 655386.74 lacs, which is up by 7.8 per cent as compared to the previous year.Net profit for the year ended has also been up 2.3 per cent and stands at Rs 77229.36 lacs. EBITDA margins were also up by 1 per cent and stand at Rs 409451.5 lacs as compared to the previous year, where EBITDA stood at Rs 404861.2 lacs. On a YoY basis the loans provisions and write off has increased by 8.6 per cent which is not a good sign at all, as compared to the previous year where Loans provisions and write off had been reported at Rs 84912.26 lacs.

The share price of the company is trading at Rs 285.30 and is up by 9 per cent which is probably due to strong quarterly and YoY results posted. The vibe is positive due to low provisions and write off reported in this quarter.

Mahindra & Mahindra Financial Services Limited is an Indian non-banking financial company that provides financial services in rural and semi urban areas. The company funds utility vehicles, tractors, cars, construction equipment, personal loans, and home loans. They also offer low-risk fixed deposit banking; and advise customers on investments in mutual funds.