Major reason for lower opex in Muthoot is their AUM per branch which is very high compared to any gold financier. Muthoot has a per branch AUM of 14.2 cr, whereas Manappuram has 5.6 cr, IIFL has 8.8 cr, FedFina has 7.1 cr. I don’t know how Muthoot is able to do that. Even if I assume they have bigger branches compared to other players, their employee expenditure is proportionally low compared to other players, which signifies they do better in all parameters.
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