On Monday, Mahindra & Mahindra Financial Services Ltd. reported a 34 per cent rise in the consolidated net profit of Rs 353 crore for the quarter ended on 30 September, 2020, against a net profit of Rs 264 crore in the same period a year-ago.
The company in release said that during the September quarter it has considered an additional charge of Rs 433 crores due to a management overlay for reflecting deterioration in the macroeconomic outlook. The cumulative amount of management overlay provisions stood at Rs 1,484 crores as on September 30.
Further, Mahindra & Mahindra Financial (Mahindra Finance) said its total income for the September quarter increased 5 per cent to Rs 3,071 crore, against Rs 2,092 crore in previous year period. During the quarter, Assets Under Management (AUM) grew 12 per cent to Rs 81,682 crores from Rs 72,732 crores in the year-ago period.
Tractors, Passenger Vehicles and Light Commercial Vehicles (LCVs) are seeing healthy demand and continued growth was driven by pre-owned vehicles, the lender said. It also expects to see an increase in the digitally enabled lending and collections from rural and semi-urban markets.