Chennai, 26 April 2013 : Q4 has been a good quarter for the Company, with disbursements in vehicle finance growing by 32% and disbursements in home equity loans growing by 42% compared to the same period last year.

The Company disbursed 3140 Crore in Vehicle Finance as against 2370 Crore in Q 4 of 2011 – 12 and disbursed 639 Crore in Home Equity loans as against 448 Crore in Q 4 of 2011 – 12. Gold Loan disbursements were 14 Crore for the quarter as against 54 Crore in Q 4 of 2011 – 12. Home Loan disbursements were 2 Crore for the quarter. The Company launched its Corporate Finance loan business during the later part of the quarter and disbursed 13 Crore in this regard. The aggregate disbursements of the Company for the quarter are 3808 Crore as against 2872 Crore in Q 4 of 2011 – 12 registering a growth of 33%.

The Company issued and allotted 1,05,26,315 Equity Shares at a price of 285 per Equity Share (face value of 10 per Equity Share and premium of 275 per Equity Share) aggregating to 300 Crore in the month of Feb 2013. The issue had 21 investors constituting FII, Mutual Funds, Insurance Companies and Private Equity Funds contributing to the issue.

Total Income is 726 Crore compared to 523 Crore in Q 4 of 2011 -12 registering a growth of 39%.

Profit before tax is 122 Crore as against 91 Crore in Q 4 of 2011 -12 registering a growth of 34%. Profit after tax is 86 Crore as against 54 Crore in Q 4 of 2011 -12 registering a growth of 59%.

FY – 13 – Performance Highlights

The Company disbursed 9882 Crore in Vehicle Finance as against 7307 Crore in FY – 12, disbursed 2161 Crore in Home Equity loans as against 1528 Crore in FY – 12 and Gold Loan disbursements were at 59 Crore as against 54 Crore in FY – 12. The newly launched business which started in the H2 of FY -13 includes home loans vertical disbursements of 3 Crore and Corporate Finance disbursements of 13 Crore The aggregate disbursements of the Company for the FY – 13 is 12,118 Crore as against 8,889 Crore in FY- 12 registering a growth of 36%.

Total Income is 2556 Crore compared to 1788 Crore in FY 12 registering a growth of 43%.

Profit before tax is 451 Crore as against 290 Crore in FY – 12 registering a growth of 55%.

Profit after tax is 307 Crore as against 173 Crore in FY – 12 registering a growth of 78%.

Financial Performance – Summary

2011 – 12

Particulars

2012 – 13

Q-o-Q

Y-o-Y

Q – 4

FY

Q – 4

Full Year

Growth

Growth

Actuals

Actuals

Actuals

(%)

(%)

2,872 8,889 Disbursements 3,808 12,118 33% 36%
523 1,788 Total Income 726 2,556 39% 43%
103 324 Profit before Tax and Exceptional Items 122 451 19% 39%
(12) (33) Exceptional Items
91 290 Profit Before Tax 122 451 34% 55%
54 173 Profit After Tax 86 307 59% 78%
  • The Company has expanded its presence to 518 branches as on 31st March 2013 compared to 375 as on 31st March 2012. The additional branches are in Tier III and Tier IV locations across India.

  • The Company raised Tier II capital of 698 Crore during the FY -13 by way of subordinated debt and perpetual debt instruments to strengthen its capital adequacy ratio.

  • Capital adequacy ratio stands increased to 19.04% compared to 18.08% in Mar 12.

Subsidiaries Performance

The wealth management business constituting Chola Securities and Chola Distribution Services had made a profit of 1 Crore during the year compared to a loss of 3 Crore in FY – 12.

Cholamandalam Factoring Limited (CFACT) made a profit of 1 Crore during the year compared to a loss of 61 Crore in FY – 12.

Consequent to the approval of the Boards of both the companies for amalgamation of CFACT with the Company, CFACT has filed the Scheme of Amalgamation and other relevant applications with Honorable High Court of Judicature at Madras for necessary Orders.

Consolidated Results

The consolidated profit after tax for the year was 308 Crore as against a PAT of 169 Crore in FY – 12 registering a growth of 82%.

Others

The Board has recommended a final dividend of 1/- per share (10% on the face value of 10/- per share) to its equity shareholders.

About Murugappa Group

Founded in 1900, the 22314 Crores (USD 4.4 billion) Murugappa Group is one of India’s leading business conglomerates. The Group has 28 businesses including eight listed Companies actively traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Tube Investments of India Ltd., and Wendt (India) Ltd.

Market leaders in served segments including Abrasives, Auto Components, Cycles, Sugar, Farm Inputs, Fertilizers, Plantations, Bio-products and Nutraceuticals, the Group has forged strong alliances with leading international companies like Groupe Chimique Tunisien, Foskor, Cargill, Mitsui Sumitomo, Morgan Crucible and Sociedad Química y Minera de Chile (SQM). The Group has a wide geographical presence spanning 13 states in India and 5 continents.

Renowned brands like BSA, Hercules, Ballmaster, Ajax, Parry’s, Chola, Gromor and Paramfos are from the Murugappa stable. The organization fosters an environment of professionalism and has a workforce of over 32,000 employees.