Muthoot-Backed Asia Asset Finance Delivers 110% Growth in First-Half Profit

Newswire and Hiru News report that Asia Asset Finance PLC posted profit after tax of Rs. 838.5 million for the six-month period ending 30 September 2026, 110% higher than a year earlier. Newswire gives the prior-period figure as Rs. 400 million.

Newswire reports profit before tax rose 140% to Rs. 1.62 billion. It says interest income advanced 75% to Rs. 6.86 billion, while net interest income was up 92% at Rs. 3.78 billion. Annualised return on equity was 28.5%, according to Newswire.

Newswire describes Asia Asset Finance as a Muthoot Finance Limited subsidiary and part of the Muthoot Group. It reports total assets of Rs. 66.63 billion on 30 September, 24% above the level at 31 March, and net loans and advances of Rs. 51.88 billion. Newswire says gold loans represented approximately 73% of lending.

Newswire reports deposits grew 37% during the six months to Rs. 35.51 billion. Shareholders’ funds rose 47% to Rs. 7.01 billion, which Newswire attributes to a Rs. 1.50 billion rights issue and retained earnings. The outlet also reports the gross non-performing loan ratio fell to 7.6%, compared with 9.4% a year before.

Newswire reports that Chief Executive Officer Rajiv Gunawardena linked improved efficiency and profitability to cost controls, digitisation and directing funds toward quality assets with better yields. The outlet says Asia Asset Finance has 125 branches and women account for 56.6% of active customers; it identifies financial inclusion and women’s economic empowerment among the company’s priorities.