MMFSL surges on expected monsoon

The shares of Mahindra and Mahindra Financial Services (MMFSL), the NBFC arm of the famous Mahindra Group, on July 1 have surged by more than 6 per cent on an intraday basis. The shares have surged on the expectation of general monsoon which will indirectly boost the sentiments of agriculture and related business. Non-banking financial companies like Mahindra Finance are expecting their loan book to swell as farm income is expected to rise along with the demand for tractors, two-wheelers, small cars and utility vehicles.

The shares of the company are currently trading at Rs 357.60, up by 7 per cent. The shares in the last 5 days have gained by 15 per cent. In the last 6 months the shares have given a return of 45 per cent. 52-week High/Low stand at Rs 359.55/173.40.

The company has reported a standalone net profit of Rs. 370.27 crores for the quarter ended March 31, 2016, registering a growth of 11.06 per cent YoY and 451.27 per cent on QoQ. Its Net Interest Income (NII) for the quarter stands at Rs. 1,001.05 crores, clocking a growth of 13.31 per cent YoY and 37.01 per cent QoQ. On a consolidated basis, for the year ended March 31, 2016, the company has reported a net profit of Rs. 772.29 crores.

MMFSL is one of India’s leading Rural NBFC headquartered in Mumbai, India. It is amongst the top tractor financers in India and offers a wide range of financial products to address varied customer requirements.