Cholamandalam DBS posts 213 per cent growth in Profit and 125 per cent growth in revenue during the third quarter

Chennai, 25 January 2008: Cholamandalam DBS Finance Limited records a growth of 125 per cent in Revenue over the corresponding period last year. The revenue stands at Rs.243 crore for the Quarter ended October - December, 2007 as against Rs.109 crore during the same period in the previous financial year.

The Profit Before Tax (PBT) is up by 213 per cent at Rs. 33.70 crore as compared to Rs.10.78 crore during the same period in the year 2006. The Profit After Tax (PAT) is up by 180 per cent at Rs. 20.25 crore as compared to Rs.7.23 crore during the same period in the year 2006.

The consolidated Profit Before Tax (PBT), including all subsidiaries, is up by 176 per cent at Rs. 32.56 crore as compared to Rs.11.81 crore during the same period last year. The Profit After Tax (PAT) were up by 127 per cent at Rs. 18.37 crore as compared to Rs.8.10 crore during the same period in the year 2006. This was driven by the increase in costs of adding 60 new branches and employees in the Wealth Management vertical.

The company posted a growth of 88 per cent in total disbursements during the period October - December, 2007 over the corresponding period of the previous year. The disbursements were at Rs. 1379 crore up from Rs. 733 crore during the same period last year.

The Vehicle Finance disbursements grew by 49 per cent over the same quarter previous year. Personal Loans, Home Equity loans and the newly launched businesses, also demonstrated high growth rates during the quarter.

The Consumer Finance business has expanded to 93 neighbourhood branches in over 50 cities, across India. Home Equity Loans business was launched in October 2006 in Chennai, Bangalore, Hyderabad and Coimbatore and is now available in 15 cities.

During this quarter the company also launched its e-broking under the Wealth Management Business as an additional product offering in the Retail product market. The Two Wheeler Loan business, which was launched in the previous quarter has increased its distribution network and is currently offered from over 20 cities. The company plans to expand the product offering to the other locations by the end of this Financial Year.

Speaking on the occasion, Mr. Atul Pande, Managing Director said "Our endeavor to focus in the retail market continues to add value to our customers and growth in revenues for the company. With the introduction of new products and businesses we are now prepared to service our customers both in Consumer Borrowing and Wealth Management/ Investment Advisory Services through over 300 outlets across India"

About Cholamandalam DBS Finance Limited
Cholamandalam DBS is a joint venture between the Murugappa Group and DBS Bank of Singapore. The Company, along with its subsidiaries and affiliates offers individual and institutional customers a range of financial services such as, Personal Loans, Vehicle Finance, Home Equity Loans, Capital Market Finance, Corporate Finance, Mutual Funds, Securities Broking and Distribution of Investment and Insurance products. The Company's shares are listed on Bombay (BSE) and National (NSE) stock exchanges.

About the Murugappa Group
Headquartered in Chennai, the USD 2 billion (Rs.8500 crore) Murugappa Group is India's leading business conglomerate. Market leaders in diverse areas of business including engineering, abrasives, finance, general insurance, sanitary-ware, cycles, sugar, farm inputs, fertilisers, plantations, bio-products and nutraceuticals, its 29 registered companies have manufacturing facilities spread across 14 states in India. The organization fosters an environment of professionalism and has a workforce of over 30,000 employees.

The Group has forged strong joint venture alliances with leading international companies like Roca, Cargill, DBS Bank, Mitsui Sumitomo and Groupe Chimique Tunisien and has consolidated its status as one of the fastest growing diversified business houses in India

About DBS
Headquartered in Singapore, DBS Group Holdings Ltd is the holding company of DBS Bank and is one of the largest companies in terms of market capitalisation whose shares are listed on the Singapore Exchange. DBS Group and its subsidiaries form one of the largest banking groups in the region in terms of shareholders' funds and total assets as at 31 December 2006, being approximately SGD18.7 billion (USD12.2 billion) and approximately SGD197.4 billion (USD129 billion). DBS is a leading bank in Hong Kong. Beyond the anchor markets of Singapore and Hong Kong, DBS serves corporate, institutional and retail customers through its operations in Thailand, Malaysia, Indonesia, India, China and The Philippines. The Bank's credit ratings are one of the highest among banks competing in the Asia-Pacific region, and in Singapore.

For further information, please contact:
Mr. Atul Pande
Managing Director
Cholamandalam DBS Finance Limited
Tel: 044-25307172

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