Cholamandalam Investment Q4 profit crosses ₹1,000 cr
Murugappa Group NBFC Cholamandalam Investment and Finance Co has said it has recorded the best-ever profitability, disbursements, and collections in Q4-FY24. The board of the company has recommended a final dividend of ₹0.70 per share (35 per cent). This is in addition to the interim dividend of ₹1.30 per share (65 per cent) for 2023-24 declared by the company on January 25.
In the March 2024 quarter, the company’s profit after tax surpassed ₹1,000 crore, reaching ₹1,058 crore compared with ₹852 crore in the year-ago quarter. Disbursements also increased 18 per cent, reaching ₹24,784 crore (₹21,020 crore).
In Q4 of FY24, vehicle finance disbursements increased 6 per cent, supported by consistent growth. The loan against property business experienced a substantial 55 per cent growth, while home loans grew 24 per cent, attributed to the company’s expansion into tier-3 and -4 locations. Disbursements in other business segments also grew 24 per cent, according to a company statement.
ANNUAL RESULTS
For the year ended March 31, 2024, the company’s PAT grew 28 per cent to ₹3,423 crore (₹2,666 crore). Total income grew by a whopping 48 per cent at ₹19,216 crore (₹12,978 crore). Net income rose 38 per cent to ₹9,986 crore (₹7,229 crore). However, loan losses increased to ₹1,322 crore (₹850 crore).
Total disbursements for FY24 grew 33 per cent to ₹88,725 crore (₹66,532 crore). In the vehicle finance business, disbursements grew 22 per cent to ₹48,348 crore (₹39,699 crore). Disbursements in the loan against property business reported growth of 46 per cent at ₹13,554 crore (₹9,299 crore). Home loan business recorded a significant growth of 66 per cent in disbursements at ₹6,362 crore (₹3,830 crore).
SME loan business’ disbursements grew 27 per cent at ₹8,106 crore, while consumer and small enterprise loans (CSEL) disbursed ₹11,281 crore (₹6,865 crore).
Secured business and personal loan business disbursed ₹1,074 crore (₹451 crore).
AUM grew 36 per cent to ₹1,53,718 crore as of March 31, 2024 (₹1,12,782 crore).
The company’s gross NPA reduced to 3.54 per cent from 3.92 per cent in the preceding quarter, while net NPA dropped to 2.32 per cent from 2.56 per cent in the preceding quarter.
As of March 2024, the company had a good liquidity position with ₹7,899 crore as cash balance, while it held a total liquidity of ₹8,315 crore (including undrawn sanctioned lines). “The assets and liability management is comfortable with no negative cumulative mismatches across all time buckets as per regulatory norms,” it said.