Net profit of Cholamandalam Investment and Finance Company jumped 184% to Rs 689.58 crore in the fourth quarter of FY22 from 243.21 crore posted in the fourth quarter of FY21.
Total revenue increased by 4.5% year-on-year (YoY) to Rs 2,631.75 crore in the quarter. Overall disbursements in Q4 FY22 were Rs 12,718 crore compared to Rs 8,071 crore in Q4 FY21, with a growth of 58%.
The Vehicle Finance (VF) business recorded disbursements of Rs 8,785 crore in Q4 FY22 compared to Rs 6,153 crore in Q4 FY21, registering a growth of 43%. Loan against Property (LAP), including affordable LAP, businesses saw a disbursement of Rs 1,978 crore in the fourth quarter of FY22, compared to Rs 1,191 crore recorded in the fourth quarter of FY21, registering a growth of 66%. The Home Lending (HL) business saw an 18% decline in disbursements to Rs 441 crore in the fourth quarter of FY22 from Rs 538 crore in the fourth quarter of FY21.
Assets under management as of March 31, 2022 increased by 8.3% to Rs 82,904 crore from Rs 76,518 crore at the end of March 2021.
Asset quality has declined slightly. The ratio of gross non-performing assets was 6.82% as of March 31, 2022 compared to 4% as of March 31, 2021. Net non-performing assets stood at 4.8% as of March 31, 2022 compared to 2.2% as of March 31, 2021. The ratio according to IND AS was 39.7% at the end of March 31, 2022 compared to 44.3% reported at the end of March 31, 2021.
NBFC said it continues to hold a strong liquidity position with a cash balance of Rs 5,341 crore at the end of March 2022 (including Rs 1,500 crore invested in GSec shown under investments) with a total liquidity position of Rs 13,246 crore (including undrawn sanctioned lines). Asset Liability Management (ALM) showed no negative cumulative mismatches across all time slices.
The company reported a 41.7% increase in net profit to Rs 2,146.71 crore on a 5.9% increase in total revenue to Rs 10,138.77 crore in the financial year ended March 31, 2022 compared to the fiscal year ended March 31, 2021.
The board of directors has recommended a dividend of Rs 0.7 per share for the financial year ending March 31, 2022.
Cholamandalam Investment and Finance Company, the financial services arm of the Murugappa Group, is a diversified non-banking finance company that provides automotive finance, business real estate and mortgage loans, small and medium-sized enterprise (SME) loans, investment advisory services, stock brokerage services. and a range of other financial services.
The certificate fell 11.07% to end at Rs 636.15 on Friday.
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