Cholamandalam Investment and Finance Co. Ltd. (CIFCL) has posted a 24% jump in its standalone net profit for the quarter ended March 31 at ₹853 crore, aided by strong disbursals and collections.
During the period under review, total revenue from operations rose 43% to ₹3,701 crore, it said in a regulatory filing.
Disbursements grew 65% to ₹21,020 crore, while the net income margin climbed 32% to ₹2,060 crore. Total assets under management (AUM) was higher by 36% at ₹1,12,782 crore.
CIFCL said its gross non-performing assets (NPAs) declined to 4.63% from 5.37% while net NPA was down to 3.11% from 3.76%. It had a capital adequacy ratio of 17.13%.
The board declared a final dividend of 70 paise per share and it will be paid by August 30.
CIFCL has gained market share across the product segment in vehicle finance and other business units. The overall passenger vehicle industry sales rose 27% to 38.89 lakh units. Loan against property & SME loans witnessed strong growth in FY23 on the back of lower growth during the pandemic period, amidst a revival in demand from smaller businesses.
Leveraging the industry growth, CIFCL has improved market share across product segments. Retail AUM of NBFCs is expected to grow at a healthy 12-14% in FY24, after a strong rebound in the year-earlier period, it said.
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