Cholamandalam Investment and Finance
Company Limited Q1 – Results

 

Chennai, 31 July 2014 : The Company disbursed rs2320 Cr. in Vehicle Finance as against rs 2609 Cr. in Q1 of 2013-14 and disbursed rs716 Cr. in Home Equity loans as against rs62 Cr. in Q 1 of 2013-14. Disbursements from new businesses were
rs153 Cr. The aggregate disbursements of the Company for the quarter are rs318 Cr. as against rs 3278 Cr. in Q 1 of 2013-14.

Total Income is rs869 Cr. compared to rs762 Cr. in Q1 of 2013-14 registering a growth of 14%.

Profit before tax is rs141 Cr. as against rs138 Cr. in Q1 of 2013-14 registering a growth of 2%.

Profit after tax is rs93 Cr. as against rs 91 Cr. in Q1 of 2013-14 registering a growth of 2%.

Financial Performance – Summary

2013-14 Particulars 2014-2015 Q-o-Q
Q-1 Q-1 Growth
3,278.35
761.82  
 Disbursements
Total Income
3,188.39
869.27  
-3%
14%
138.13
91.18  
 Profit Before Tax
Profit After Tax
141.03
93.10  
2%
2%

The Company has expanded its presence in 3 additional locations taking the total number of branches to 577 as on 30th June 2014.

The Company raised Tier II capital of rs270 Cr. by way of subordinated debt and perpetual debt instruments to strengthen its capital adequacy ratio.

The capital adequacy ratio (CAR) of the company was at 18.05% as against the regulatory requirement of 15%.

Subsidiaries Performance:

The subsidiaries Cholamandalam Securities Limited and Cholamandalam Distribution Services Limited had together made a profit of rs 2.56 Cr. as against rs 0.87 Cr. in Q1 of 2013-14.

Consolidated Results:

The consolidated profit after tax is rs96 Cr. as against rs92 Cr. in Q1 of 2013-14 registering a growth of 4%.

Equity Issuance:

The Board of Directors at their meeting held on 26 July, 2014 considered and approved an issue of 50,00,00,00 Compulsorily Convertible Preference Shares (“CPS”) of rs100 each aggregating to rs500 Crores (Rupees Five Hundred Crores only) on a preferential basis. This capital infusion will help the Company to meet the business growth and augment he Tier 1 capital.

About Cholamandalam Investment and Finance Company Limited

Cholamandalam Investment and Finance Company Limited was incorporated in 1978 as the financial services arm of the Murugappa Group. Chola commenced business as an equipment financing company and has today emerged as a comprehensive financial services provider offering vehicle finance, home loans, home equity loans, SME loans, investment advisory services, stock broking and a variety of other financial services to customers. Chola operates from over 575 branches across India with assets under management above INR 25,000 Crores. The subsidiaries of Cholamandalam include Cholamandalam Securities Limited (CSEC) and Cholamandalam Distribution Services Limited (CDSL).The vision of Chola is to help people enter a better life. Chola has a growing clientele of over 7.5 lakh happy customers across the nation. Ever since its inception and all through its growth, the company has kept a clear sight of its values. The basic tenet of these values is a strict adherence to ethics an d a responsibility to all those who come within its corporate ambit – customers, shareholders, employees and society.