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Mahindra & Mahindra Financial Services (NSE:M&MFIN) Return-on-Tangible-Equity : 8.59% (As of Mar. 2025)


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What is Mahindra & Mahindra Financial Services Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Mahindra & Mahindra Financial Services's annualized net income for the quarter that ended in Mar. 2025 was ₹18,289 Mil. Mahindra & Mahindra Financial Services's average shareholder tangible equity for the quarter that ended in Mar. 2025 was ₹212,840 Mil. Therefore, Mahindra & Mahindra Financial Services's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was 8.59%.

The historical rank and industry rank for Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity or its related term are showing as below:

NSE:M&MFIN' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 5.58   Med: 10.55   Max: 17.34
Current: 11.13

During the past 13 years, Mahindra & Mahindra Financial Services's highest Return-on-Tangible-Equity was 17.34%. The lowest was 5.58%. And the median was 10.55%.

NSE:M&MFIN's Return-on-Tangible-Equity is ranked better than
68.36% of 512 companies
in the Credit Services industry
Industry Median: 6.28 vs NSE:M&MFIN: 11.13

Mahindra & Mahindra Financial Services Return-on-Tangible-Equity Historical Data

The historical data trend for Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Mahindra & Mahindra Financial Services Return-on-Tangible-Equity Chart

Mahindra & Mahindra Financial Services Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.58 6.98 11.71 10.08 11.01

Mahindra & Mahindra Financial Services Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.54 10.05 7.83 18.45 8.59

Competitive Comparison of Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity

For the Credit Services subindustry, Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Mahindra & Mahindra Financial Services's Return-on-Tangible-Equity falls into.


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Mahindra & Mahindra Financial Services Return-on-Tangible-Equity Calculation

Mahindra & Mahindra Financial Services's annualized Return-on-Tangible-Equity for the fiscal year that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=22618.7/( (198028.2+212840 )/ 2 )
=22618.7/205434.1
=11.01 %

Mahindra & Mahindra Financial Services's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=18288.8/( (0+212840)/ 1 )
=18288.8/212840
=8.59 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Mahindra & Mahindra Financial Services  (NSE:M&MFIN) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Mahindra & Mahindra Financial Services Return-on-Tangible-Equity Related Terms

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Mahindra & Mahindra Financial Services Business Description

Traded in Other Exchanges
Address
Dr. G M. Bhosale Marg, 4th Floor, Mahindra Towers, A Wing, P.K. Kurne Chowk, Worli, Mumbai, MH, IND, 400 018
Mahindra & Mahindra Financial Services Ltd is a nonbanking financial company engaged in financing new and pre-owned auto, utility vehicles, tractors, passenger cars and commercial vehicles through its pan India branch network. The company has a diversified lending portfolio across retail, small and medium enterprises and commercial customers with a presence in rural and semi-urban India. The company has two segments : Financing Activities, that includes financing and leasing of automobiles, tractors, commercial vehicles, SMEs and housing finance.; and Other reconciling items which consists insurance broking, asset management services and trusteeship services. It derives maximum revenue from Financing Activities.

Mahindra & Mahindra Financial Services Headlines

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