M&M Financial down 17%

M&M Financial was right there among the top five losers on the BSE in the opening bell session, recording a sharp fall.

The stock, which has closed on Friday at Rs.168.40, opened at Rs.164 and literally fell through the floor to Rs.139.10, a fall of over 17.5%. Its 20% UC for today is at Rs.134.75.

Apart from the overall gloomy moods in the market, there is disappointment over its Q4FY20 earnings. It reported a 66% (YoY) drop in consolidated net profit at Rs.239 crore.

Like many other companies, providing for the impact of Covid is what pulled down the bottomline. The company said that to cover the contingencies that may arise due to COVID–19 pandemic, it incorporated the management overlays in the impairment loss allowance and the total provision during the quarter stood at Rs 681 crore.

Its total income was up 8% at Rs.3140 crore.

The company has started operations in a phased manner in 524 branches in green and amber zones in May 2020, following all safety measures.